How Does UnitedHealth Stock Stack Up Against Its Peers?
Here is how UnitedHealth (UNH) stock stacks up against its peers in size, valuation, growth and margin.
- UNH has the highest operating margin among peers at 6.1%.
- UNH’s revenue growth of 10.5% in the last 12 months is strong, outpacing CVS but lagging CNC, MOH.
- UNH’s stock is down 46.5% in last 1 year, underperforming CVS, CNC, and currently trades at a PE of 16.9.
As a quick background, UnitedHealth provides diversified health care services, including consumer health benefit plans for various employers and individuals, and pharmacy care services like retail, home delivery, specialty, and clinical programs.
A single stock can be risky, but there is a huge value to a broader, diversified approach. If you seek an upside with less volatility than holding an individual stock, consider the Trefis High Quality Portfolio (HQ). HQ has outperformed its benchmark — a combination of S&P 500, Russell, and S&P midcap index — and achieved returns exceeding 105% since its inception. Risk management is key — consider what the long-term portfolio performance could be if you blended 10% commodities, 10% gold, and 2% crypto with HQ’s performance metrics.
| UNH | CVS | CNC | MOH | |
|---|---|---|---|---|
| Market Cap ($ Bil) | 296.7 | 101.4 | 17.4 | 7.5 |
| Revenue ($ Bil) | 435.2 | 394.1 | 185.9 | 44.5 |
| PE Ratio | 16.9 | 216.1 | -3.3 | 8.5 |
| LTM Revenue Growth | 10.5% | 6.8% | 14.9% | 13.7% |
| LTM Operating Margin | 6.1% | 2.7% | 0.6% | 3.0% |
| LTM FCF Margin | 4.0% | 1.6% | 1.8% | -1.3% |
| 12M Market Return | -46.5% | 49.2% | -41.8% | -56.3% |
Why does this matter? UNH just went down -8.7% in a month – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell UNH Stock to see if UnitedHealth is really a falling knife. Sharp dips often come with rebound opportunities – see how the stock has dipped and recovered in the past through UNH Dip Buyer Analysis lens.
Revenue Growth Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| UNH | 10.5% | 7.7% | 14.6% | 12.7% |
| CVS | 6.8% | 4.2% | 10.9% | 10.4% |
| CNC | 14.9% | 5.9% | 6.5% | 14.7% |
| MOH | 13.7% | 19.3% | 6.6% | 15.1% |
Operating Margin Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| UNH | 6.1% | 8.1% | 8.7% | 8.8% |
| CVS | 2.7% | 2.6% | 4.1% | 5.1% |
| CNC | 0.6% | 2.0% | 2.2% | 2.5% |
| MOH | 3.0% | 4.2% | 4.6% | 4.3% |
PE Ratio Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| UNH | 16.9 | 32.3 | 21.8 | 24.7 |
| CVS | 216.1 | 12.2 | 12.2 | 28.4 |
| CNC | -3.3 | 9.6 | 14.9 | 39.2 |
| MOH | 8.5 | 14.2 | 19.1 | 24.1 |
While peer comparison is critical, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.