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UnitedHealth Group Incorporated
🇺🇸 UNH · NYSE/NASDAQ · US91324P1021
Insurance
USD 425.95 price at analysis
Scores
Key Metrics
Powered by EODHDP/E (TTM)
32.2
P/E (Price-to-Earnings)Shows how much investors pay for each $1 of profit. We display the TTM P/E (Trailing Twelve Months) which uses actual earnings from the last 4 quarters. This is more reliable than Forward P/E which uses analyst estimates.
Calculation: 425.95 ÷ 13.23 = 32.2
TTM period through: 2026-03-31
Forward P/E (estimated): 23.4
Based on analyst estimates
Reference: Provider P/E (Trailing): 32.1
Net Debt/EBITDA (TTM)
2.0x
Latest quarter: 4.6x
Net Debt / EBITDAA leverage ratio showing how many years of EBITDA (earnings before interest, taxes, depreciation, and amortization) it would take to repay net debt. EBITDA approximates operating cash generation. Lower ratios (e.g., <3x) are generally safer; higher (e.g., >5x) may indicate more financial risk.
TTM through: 2026-03-31
Latest quarter (2026-03-31): 4.6x
The quarterly value can spike when quarterly EBITDA is very low (e.g., one-time charges).
Quick guide: <2x manageable, >4x can be risky (sector-dependent).
ROE
12.2%
ROE (Return on Equity)A profitability measure: how much profit is generated from shareholders’ equity. Higher isn’t always better if it comes from high debt.
EV/EBITDA
19.0x
EV/EBITDAA valuation ratio that compares total business value (including debt) to EBITDA. Lower can mean cheaper, but context matters.
Dividend Summary
Powered by EODHDDividend Yield (Fwd)
2.18%
TTM: 2.07%
Dividend YieldThe Forward yield (Fwd) shows the next announced annual dividend / current price — what you'd earn going forward. The Trailing yield (TTM) in the tooltip shows dividends actually paid in the last 12 months. Forward is shown as primary because it reflects the company's current commitment to shareholders.
Forward Yield (estimated): 2.18%
Trailing Yield (TTM, last 12 months): 2.07%
Payout Ratio (Fwd)
70.2%
TTM: 66.5%
Payout RatioDividends as a percentage of earnings. The Forward payout (Fwd) uses the announced dividend divided by actual past earnings (TTM) — it tells you if the company can afford what it promised. Very high payouts can be risky, especially if profits fall.
Announced dividend / actual earnings (TTM)
Payout (Fwd): 70.2%
Payout (TTM): 66.5%
Cash Flow Payout (TTM): 34.6%
FCF Coverage (TTM): 2.46x
Growth Streak
8 yrs
Consec. increases
Div. Growth (5Y)
12.6%
Dividend History
EODHD Dividends API| Status | Type | Decl. Date | Ex-Div Date | Pay Date | Currency | Amount |
|---|---|---|---|---|---|---|
| Forecast* | Quarterly | — | 15 Jun 2027 | — | USD | 2.32 |
| Forecast* | Quarterly | — | 09 Mar 2027 | — | USD | 2.21 |
| Forecast* | Quarterly | — | 08 Dec 2026 | — | USD | 2.21 |
| Forecast* | Quarterly | — | 15 Sep 2026 | — | USD | 2.21 |
| Paid | Quarterly | 03 Jun 2026 | 15 Jun 2026 | 23 Jun 2026 | USD | 2.32 |
| Paid | Quarterly | 25 Feb 2026 | 09 Mar 2026 | 17 Mar 2026 | USD | 2.21 |
| Paid | Quarterly | 07 Nov 2025 | 08 Dec 2025 | 16 Dec 2025 | USD | 2.21 |
| Paid | Quarterly | 13 Aug 2025 | 15 Sep 2025 | 23 Sep 2025 | USD | 2.21 |
* Extrapolated from past dividend history. Not an official announcement — treat as an estimate, not a confirmed date or amount.
Summary
UnitedHealth Group is a dominant, vertically integrated healthcare enterprise with an entrenched market position and a highly secure, growing dividend. While the company offers exceptional long-term fundamentals and reliable cash flows, current valuation multiples (P/E 32.2) offer limited upside. Existing holders should maintain positions given the robust dividend coverage, but new investors may want to wait for a more attractive entry point.
Sector Context
UnitedHealth Group is a massive vertically integrated healthcare enterprise combining insurance benefits (UnitedHealthcare) with healthcare services, pharmacy benefits, and data analytics (Optum). While healthcare is an essential service providing long-term stability, intense regulatory scrutiny and heavy reliance on government reimbursement programs (Medicare/Medicaid) create ongoing policy and headline risks for dividend investors.
Temporary Opportunity Identified
Regulatory scrutiny, Medicare Advantage reimbursement shifts, and extensive litigation stemming from both AI-driven prior authorizations and the Change Healthcare cyberattack are pressuring margins and public sentiment.
📊 Strategy Analysis
- • Dominant vertically integrated market position in the US healthcare sector, creating massive scale advantages and strong competitive moats.
- • Highly secure dividend backed by robust free cash flow, evidenced by a very conservative cash flow payout ratio of 34.6%.
- • Consistent dividend growth history with an 8-year track record and a 12.6% 5-year CAGR, alongside strong revenue growth.
⚠ What to Watch
- • Elevated valuation with a TTM P/E of 32.20, trading far above the strategy's target range of 8-15x and offering limited margin of safety.
- • Current dividend yield of 2.07% falls short of the 3.0% minimum target for new income-focused positions.
- • Significant structural and regulatory headwinds, including active DOJ antitrust investigations, Medicare Advantage reimbursement (v28) pressures, and massive ongoing liabilities from the Change Healthcare cyberattack.
- • Profitability metrics show pressure, with a negative 5-year EPS CAGR (-6.0%) and net margins contracting from historical averages.
📊 Historical Trends (10 Years)
Powered by EODHDThese charts show how key metrics have evolved over the past decade, helping you identify if the company is improving or deteriorating.
Debt Evolution (Net Debt / EBITDA)
Lower values are better. A declining trend indicates the company is reducing its debt (deleveraging).
Revenue & Earnings Growth
Consistent growth in revenueRevenue
The money a company brings in from selling its products or services. It’s the top line before costs. (blue) and earningsEarnings (Profit)
What’s left after expenses. Positive earnings mean the business made a profit; negative means a loss. (green) indicates a healthy business. Look for upward trends and recoveries after temporary dips.
Dividend Sustainability (FCF vs Dividends Paid)
Free cash flowFree Cash Flow
Cash left after the company pays for running the business and maintaining it. Often used to fund dividends, pay debt, or buy back shares. (FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., blue) should cover dividends paidDividends Paid
Cash the company paid out to shareholders. It’s not guaranteed and can change over time. (green). If dividends consistently exceed FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., the dividend may be at risk.
Analysis date: 2026-07-04
Disclaimer: This information is for educational purposes only. Not financial advice.