UnitedHealth's 2026 Could Surprise The Street
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Danil SeredaInvesting Group LeaderFollow5ShareSavePlay(11min)Comment(1)SummaryUnitedHealth crashed over 40% YTD as seniors' utilization spiked and MLR neared 90%, but the stock has already rebounded ~25% since my mid‑May Buy.The Q3 showed 12% revenue growth and a 4% EPS beat despite ugly optics; management called trends historically high but consistent, signaling no new MLR shock emerging.UNH is deliberately exiting and repricing uneconomic Medicare Advantage business — shrinking MA membership by ~1 million while pushing double‑digit rate increases to structurally lift margins per remaining member.With over 50 million domestic members, strong commercial/ACA pricing, and an aging U.S. population, top‑line growth should re‑accelerate once this 2026 clean‑up year passes.At a discount to its 10‑year P/E and with EPS set to recover, I see scope for multiple expansion and roughly 30% upside into 2026–27. JHVEPhoto/iStock Editorial via Getty Images UnitedHealth Group Inc. (UNH) stock is down by over 33% YTD, and I can't say that this massive dip was unjustified. The company's insurance businesses have been facing pressure due to rising medical cost trends, and the medical loss ratio (MLR) has been quiteThis article was written byDanil Sereda14.09K FollowersFollowDaniel Sereda is chief investment analyst at a family office whose investments span continents and diverse asset classes. This requires him to navigate through a plethora of information on a daily basis. His expertise is in filtering this wealth of data to extract the most critical ideas. He runs the investing group Beyond the Wall Investing in which he provides access to the same information that institutional market participants prioritize in their analysis. Learn more.Analyst’s Disclosure:I/we have a beneficial long position in the shares of UNH either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.Recommended For You