Down More Than 50% From Its 52-Week High, Is UnitedHealth Stock a Steal of a Deal?

By David Jagielski, CPA – Updated Apr 7, 2026 at 10:00AM ESTKey PointsUnitedHealth Group stock has lost close to half of its value in just the past 12 months.Its medical care ratio was up to 89% last year -- far higher than what it was five years ago.UnitedHealth (UNH +0.11%) is a leader in the health insurance industry, but its share price hasn't been reflecting that of late. In just the past year, the stock has been nosediving, and it's now down around 54% from its 52-week high of $606.36, with investors feeling bearish on its business of late. There's been no shortage of bad news surrounding the stock, and there could still be plenty of challenges ahead for the business. But what if you're a long-term investor who's willing to hang on amid its current headwinds? Could it be worth buying right now? Here's what you need to know about the healthcare stock, and what kind of risk you might be taking with it if you invest in it today. Image source: Getty Images. UnitedHealth still isn't out of the woods While UnitedHealth's stock has been on quite the tailspin over the past 12 months, that doesn't necessarily mean it's due for a rally. A troubled stock can always fall lower. The biggest concern may be what happens regarding ongoing investigations into its billing practices. The Department of Justice is looking into the company's operations, and if drastic changes are needed or new restrictions are put in place, that could impact its growth prospects. Another issue is that UnitedHealth's costs remain high. Its medical care ratio (MCR), which tells investors how much of the premiums it collects it pays out for medical claims, was over 89% last year. Back in 2020, its MCR was just over 79%. Costs have swelled significantly due to higher utilization rates. The good news is that at this stage, investors and analysts may have already come to expect high MCRs, and thus, even a modest improvement in future quarters could be great news for the stock. ExpandNYSE: UNHUnitedHealth GroupToday's Change(0.11%) $0.34Current Price$306.32Key Data PointsMarket Cap$278BDay's Range$304.89 - $306.7352wk Range$234.60 - $606.36Volume4.3KAvg Vol10MDividend Yield2.89% The stock is cheap, but is it a good investment option? Buying a stock simply because it has come down in value significantly can be a risky approach. Remember, it's down for a reason. And when it's down as much as UnitedHealth stock is, there are likely very concerning reasons for its decline. UnitedHealth's drastic crash in value over the past year is indicative of that risk and uncertainty ahead. Even though its valuation may seem modest, with the stock trading at 21 times its trailing earnings, I wouldn't venture out and buy it today. The company's margins have been coming under pressure, and questions remain about its long-term growth amid greater potential scrutiny in the health insurance industry. I'd keep an eye on the stock, but there isn't an overwhelming reason to buy it right now.Read NextApr 7, 2026 •By Billy DubersteinWhy UnitedHealth Group Rallied TodayApr 6, 2026 •By Lyle DalyThe Largest Healthcare Companies by Market Cap in April 2026Apr 4, 2026 •By Parkev Tatevosian, CFAUnitedHealth Stock Analysis: Generational Buying Opportunity or a Falling Knife to Avoid?Apr 2, 2026 •By Brett Schafer3 Monster Dividend Stocks to Hold for the Next 10 YearsMar 18, 2026 •By Matt DiLalloRecession-Proof Stocks: Industries That Thrive During RecessionsMar 17, 2026 •By Stefon Walters1 Healthcare Stock Set to Rebound in 2026About the AuthorDavid Jagielski, CPA, has been a contributing Motley Fool stock market analyst covering healthcare, consumer staples, consumer discretionary, and technology stocks since 2017. David has more than 10 years of experience in finance roles across businesses of different sizes and sectors. He holds a Certified Public Accountant designation in Canada.TMFdjagielskiStocks MentionedUnitedHealth GroupNYSE: UNH$306.59(+0.20%)+$0.61*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.