May 8 – UnitedHealth (NYSE:UNH) is staring down a proposed class-action lawsuitwith investors claiming the healthcare giant misled them about key financial risks.
The lawsuit names CEO Andrew Witty and CFO John Rex as co-defendants, alleging they failed to come clean about the fallout from the sudden death of former top executive Brian Thompson on Dec. 4, 2024. Investors argue the company downplayed the impact of strategic changes and a critical U.S. Senate report from Oct. 17, 2024, that highlighted high claim denial rates.
Shares of UNH remains down 23% YTD.
The suit seeks unspecified damages for those who held shares between Dec. 3, 2024, and April 16, 2025.
Based on the one year price targets offered by 25 analysts, the average target price for UnitedHealth Group Inc is $549.91 with a high estimate of $677.00 and a low estimate of $490.00. The average target implies a upside of +40.62% from the current price of $391.06.
Based on GuruFocus estimates, the estimated GF Value for UnitedHealth Group Inc in one year is $707.40, suggesting a upside of +80.89% from the current price of $391.06.
This article first appeared on GuruFocus.
