Health Care

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: Shares jumped on UNH’s report of relatively mild financial impacts, in our view, from the Q1 cyberattack. We raise our 12-month target $18 to $515, 18.7x our 2024 EPS estimate (down $0.09 to $27.53), a premium to peers but below UNH’s recent historical average. We lower our 2025 EPS estimate by $0.10 to $31.10. UNH reported Q1 adjusted EPS of $6.91 vs. $6.26, beating consensus by $0.29, supported by Optum revenue growing 12.9% Y/Y on patient growth and higher Rx volumes. Optum segment adjusted operating margin declined to 6.4% from 6.9% in Q1 2023 given business disruption to OptumInsight. UNH indicated a $0.74 EPS hit from the cyberattack during the quarter and expects a full-year impact of $1.15-$1.35. Facing weaker Medicare reimbursement and the cyber incident, MCR

The following is a summary of the UnitedHealth Group Incorporated (UNH) Q1 2024 Earnings Call Transcript: Financial Performance: United Health Group reported Q1 2024 revenues of $75.4 billion, indicating an increase of nearly $5 billion. Medical care ratio for the first quarter was 84.3%. Despite the business disruption impacts related to Change Healthcare’s cyber attack which led to an estimated financial hit of $1.15 to $1.35 per share, full-year adjusted earnings per share are expected to be in the range of $27.50 to $28.00. Business Progress: UnitedHealthcare added 2.1 million new consumers in Q1, sustaining robust growth. Revenues for Optum Health and Optum Rx increased by 16% and 12% to $26.7 billion and $30.8 billion respectively, expanding services further and strengthening existing partnerships. UnitedHealth Group is taking measures to recover and mitigate the impacts of the cyber attack, including restoring system functionality and providing financial support to impacted clients. The

UnitedHealth Group (UNH) shares rose 5.3% in recent Tuesday trading after Q1 profit and revenue topped estimates by analysts, and the company affirmed its 2024 adjusted earnings outlook despite disruptions from a cyberattack. Earlier Tuesday, the company reported Q1 adjusted earnings of $6.91 a share, up from $6.26 a year earlier. Analysts polled by Capital IQ expected $6.62. Revenue in the quarter ended March 31 rose to $99.8 billion from $91.93 billion a year earlier. Analysts surveyed by Capital IQ expected $99.28 billion. The company said it continues to expect full-year 2024 adjusted EPS of $27.50 to $28. Analysts expect $27.53. UnitedHealth said it booked $872 million in costs in Q1 due to the Change Healthcare cyberattack, which is expected to cost $1.35 billion to $1.6 billion in the year ending Dec. 31. Chief Executive Officer Andrew Philip Witty said on an earnings call that UnitedHealth’s “substantial resources” helped mitigate

UnitedHealth Group Reports First Quarter 2024 Results — Revenues of $99.8 Billion Grew Nearly $8 Billion Year Over Year — Earnings Reflect $0.74 per Share of Impacts from Change Healthcare Cyberattack; $0.49 to Support Direct Response Efforts and $0.25 in Business Disruption Impacts — Company has Provided Over $6 Billion in Advance Funding and Interest-Free Loans to Support Care Providers in Need — First Quarter Net Loss of $1.53 Per Share is Due Primarily to Currency Effects of Previously Reported Brazil Sale and the Cyberattack — Adjusted Earnings of $6.91 Per Share Include the $0.25 in Business Disruption Impacts but Exclude Brazil Sale and Direct Response Costs UnitedHealth Group (NYSE: UNH) reported first quarter 2024 results reflecting broad-based growth at Optum and UnitedHealthcare, medical care activity consistent with expectations and the impact of the recent cyberattack on Change Healthcare. This press release features multimedia. View the full release here: UnitedHealth

UnitedHealth Sees Full-Year 2024 Cyberattack Impacts of $1.15-$1.35/Share.

UNITEDHEALTH GROUP Sees Fiscal Year 2024 EPS Range $27.50 – $28.00.

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: Ahead of the Q1 earnings release on April 16, we lower our 12-month target price by $20 to $497, 18x our 2024 EPS estimate (down by $0.18 to $27.62; we cut our 2025 estimate by $0.16 to $31.20), above peer multiples, but below UNH’s three- and five-year averages of 21.7x and 20.2x, respectively. CMS recently finalized its CY 2025 average benchmark rate change for Medicare Advantage at -0.16%, below market expectations for a small increase, in our view, though some improvement from the 1.14% cut in CY 2024. We think the rate change may put further pressure on industry margins, particularly as the industry is battling rising medical loss ratios due to deferred care from the pandemic and higher levels of medical utilization. Following the cyberattack on

Morgan Stanley analyst Ricky Goldwasser maintains UnitedHealth Group (NYSE:UNH) with a Overweight and lowers the price target from $618 to $584.