UNITEDHEALTH GROUP INC (UNH.DE) Stock Fundamental Analysis
Europe - FRA:UNH - US91324P1021 - Common Stock
311.65 EUR
+1.2 (+0.39%)
Taking everything into account, UNH scores 5 out of 10 in our fundamental rating. UNH was compared to 32 industry peers in the Health Care Providers & Services industry. Both the profitability and the financial health of UNH get a neutral evaluation. Nothing too spectacular is happening here. UNH has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year UNH was profitable.
UNH had a positive operating cash flow in the past year.
In the past 5 years UNH has always been profitable.
UNH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
UNH has a Return On Assets of 6.90%. This is amongst the best in the industry. UNH outperforms 84.38% of its industry peers.
UNH has a Return On Equity of 21.20%. This is amongst the best in the industry. UNH outperforms 87.50% of its industry peers.
With a decent Return On Invested Capital value of 7.89%, UNH is doing good in the industry, outperforming 71.88% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for UNH is above the industry average of 7.16%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 21.2% | ||
| ROIC | 7.89% |
ROA(3y)7.06%
ROA(5y)7.43%
ROE(3y)22.21%
ROE(5y)22.85%
ROIC(3y)10.14%
ROIC(5y)10.16%
1.3 Margins
UNH has a better Profit Margin (5.04%) than 81.25% of its industry peers.
In the last couple of years the Profit Margin of UNH has declined.
The Operating Margin of UNH (7.27%) is better than 62.50% of its industry peers.
UNH's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.27% | ||
| PM (TTM) | 5.04% | ||
| GM | N/A |
OM growth 3Y-1.09%
OM growth 5Y-0.16%
PM growth 3Y-15.71%
PM growth 5Y-8.84%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
UNH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
UNH has less shares outstanding than it did 1 year ago.
The number of shares outstanding for UNH has been reduced compared to 5 years ago.
Compared to 1 year ago, UNH has a worse debt to assets ratio.
2.2 Solvency
UNH has a debt to FCF ratio of 3.13. This is a good value and a sign of high solvency as UNH would need 3.13 years to pay back of all of its debts.
UNH has a better Debt to FCF ratio (3.13) than 87.50% of its industry peers.
UNH has a Debt/Equity ratio of 0.73. This is a neutral value indicating UNH is somewhat dependend on debt financing.
UNH's Debt to Equity ratio of 0.73 is in line compared to the rest of the industry. UNH outperforms 59.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 3.13 | ||
| Altman-Z | N/A |
ROIC/WACC0.94
WACC8.41%
2.3 Liquidity
UNH has a Current Ratio of 0.88. This is a bad value and indicates that UNH is not financially healthy enough and could expect problems in meeting its short term obligations.
UNH has a Current ratio of 0.88. This is in the lower half of the industry: UNH underperforms 62.50% of its industry peers.
A Quick Ratio of 0.88 indicates that UNH may have some problems paying its short term obligations.
UNH has a Quick ratio of 0.88. This is comparable to the rest of the industry: UNH outperforms 53.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
The earnings per share for UNH have decreased by -5.40% in the last year.
The Earnings Per Share has been growing by 13.07% on average over the past years. This is quite good.
UNH shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.70%.
Measured over the past years, UNH shows a quite strong growth in Revenue. The Revenue has been growing by 10.57% on average per year.
EPS 1Y (TTM)-5.4%
EPS 3Y13.67%
EPS 5Y13.07%
EPS Q2Q%-40%
Revenue 1Y (TTM)9.7%
Revenue growth 3Y11.65%
Revenue growth 5Y10.57%
Sales Q2Q%12.66%
3.2 Future
The Earnings Per Share is expected to grow by 2.92% on average over the next years.
Based on estimates for the next years, UNH will show a small growth in Revenue. The Revenue will grow by 6.32% on average per year.
EPS Next Y-41.32%
EPS Next 2Y-20.06%
EPS Next 3Y-9.21%
EPS Next 5Y2.92%
Revenue Next Year11.7%
Revenue Next 2Y7.76%
Revenue Next 3Y6.88%
Revenue Next 5Y6.32%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.26, which indicates a correct valuation of UNH.
Compared to the rest of the industry, the Price/Earnings ratio of UNH indicates a somewhat cheap valuation: UNH is cheaper than 68.75% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of UNH to the average of the S&P500 Index (27.55), we can say UNH is valued slightly cheaper.
UNH is valuated rather expensively with a Price/Forward Earnings ratio of 20.18.
Compared to the rest of the industry, the Price/Forward Earnings ratio of UNH indicates a slightly more expensive valuation: UNH is more expensive than 75.00% of the companies listed in the same industry.
UNH is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.26 | ||
| Fwd PE | 20.18 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as UNH.
UNH's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. UNH is cheaper than 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.89 | ||
| EV/EBITDA | 10.64 |
4.3 Compensation for Growth
UNH has a very decent profitability rating, which may justify a higher PE ratio.
UNH's earnings are expected to decrease with -9.21% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.09
EPS Next 2Y-20.06%
EPS Next 3Y-9.21%
5. Dividend
5.1 Amount
UNH has a Yearly Dividend Yield of 2.40%. Purely for dividend investing, there may be better candidates out there.
UNH's Dividend Yield is rather good when compared to the industry average which is at 2.30. UNH pays more dividend than 81.25% of the companies in the same industry.
UNH's Dividend Yield is comparable with the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.4% |
5.2 History
The dividend of UNH is nicely growing with an annual growth rate of 14.73%!
Dividend Growth(5Y)14.73%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
36.54% of the earnings are spent on dividend by UNH. This is a low number and sustainable payout ratio.
UNH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP36.54%
EPS Next 2Y-20.06%
EPS Next 3Y-9.21%
FRA:UNH (10/15/2025, 5:21:01 PM)
311.65
+1.2 (+0.39%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners86.49%
Inst Owner ChangeN/A
Ins Owners0.17%
Ins Owner ChangeN/A
Market Cap282.25B
Analysts75.63
Price Target296.83 (-4.76%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.4% |
Yearly Dividend7.08
Dividend Growth(5Y)14.73%
DP36.54%
Div Incr Years5
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-6.05%
Min EPS beat(2)-9.92%
Max EPS beat(2)-2.18%
EPS beat(4)2
Avg EPS beat(4)-2.67%
Min EPS beat(4)-9.92%
Max EPS beat(4)1.12%
EPS beat(8)6
Avg EPS beat(8)0.29%
EPS beat(12)10
Avg EPS beat(12)1.09%
EPS beat(16)14
Avg EPS beat(16)1.55%
Revenue beat(2)0
Avg Revenue beat(2)-1.85%
Min Revenue beat(2)-2.79%
Max Revenue beat(2)-0.91%
Revenue beat(4)1
Avg Revenue beat(4)-1.27%
Min Revenue beat(4)-2.79%
Max Revenue beat(4)0.55%
Revenue beat(8)3
Avg Revenue beat(8)-0.56%
Revenue beat(12)5
Avg Revenue beat(12)-0.28%
Revenue beat(16)8
Avg Revenue beat(16)-0.12%
PT rev (1m)4.24%
PT rev (3m)-12.77%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-44.92%
EPS NY rev (1m)0.11%
EPS NY rev (3m)-28.04%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)-0.3%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.26 | ||
| Fwd PE | 20.18 | ||
| P/S | 0.77 | ||
| P/FCF | 12.89 | ||
| P/OCF | 11.25 | ||
| P/B | 3.25 | ||
| P/tB | 3.25 | ||
| EV/EBITDA | 10.64 |
EPS(TTM)21.85
EY7.01%
EPS(NY)15.44
Fwd EY4.96%
FCF(TTM)24.17
FCFY7.76%
OCF(TTM)27.7
OCFY8.89%
SpS404.1
BVpS96.02
TBVpS96.02
PEG (NY)N/A
PEG (5Y)1.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 21.2% | ||
| ROCE | 10.15% | ||
| ROIC | 7.89% | ||
| ROICexc | 8.82% | ||
| ROICexgc | 33.7% | ||
| OM | 7.27% | ||
| PM (TTM) | 5.04% | ||
| GM | N/A | ||
| FCFM | 5.98% |
ROA(3y)7.06%
ROA(5y)7.43%
ROE(3y)22.21%
ROE(5y)22.85%
ROIC(3y)10.14%
ROIC(5y)10.16%
ROICexc(3y)11.32%
ROICexc(5y)11.36%
ROICexgc(3y)32.46%
ROICexgc(5y)32.01%
ROCE(3y)13.1%
ROCE(5y)13.1%
ROICexcg growth 3Y-2.11%
ROICexcg growth 5Y-0.12%
ROICexc growth 3Y-2.38%
ROICexc growth 5Y-0.43%
OM growth 3Y-1.09%
OM growth 5Y-0.16%
PM growth 3Y-15.71%
PM growth 5Y-8.84%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover1.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 3.13 | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 87.23% | ||
| Cap/Sales | 0.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.85% | ||
| Profit Quality | 118.76% | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | N/A |
F-Score8
WACC8.41%
ROIC/WACC0.94
Cap/Depr(3y)84.34%
Cap/Depr(5y)80.61%
Cap/Sales(3y)0.88%
Cap/Sales(5y)0.86%
Profit Quality(3y)124.43%
Profit Quality(5y)123.8%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.4%
EPS 3Y13.67%
EPS 5Y13.07%
EPS Q2Q%-40%
EPS Next Y-41.32%
EPS Next 2Y-20.06%
EPS Next 3Y-9.21%
EPS Next 5Y2.92%
Revenue 1Y (TTM)9.7%
Revenue growth 3Y11.65%
Revenue growth 5Y10.57%
Sales Q2Q%12.66%
Revenue Next Year11.7%
Revenue Next 2Y7.76%
Revenue Next 3Y6.88%
Revenue Next 5Y6.32%
EBIT growth 1Y-3.97%
EBIT growth 3Y10.44%
EBIT growth 5Y10.4%
EBIT Next Year-25.01%
EBIT Next 3Y-3.56%
EBIT Next 5Y4.32%
FCF growth 1Y-33.78%
FCF growth 3Y0.99%
FCF growth 5Y4.56%
OCF growth 1Y-29.96%
OCF growth 3Y2.39%
OCF growth 5Y5.37%