Key Takeaways
- Quality: free cash flow of $26.5B is well above net income of roughly $15.9B, though a 0.74 current ratio and 3.5% net margin limit the balance sheet picture.
- Growth: trailing revenue growth of -0.4% contrasts with an 11.3% 5-year CAGR, so the 76.1% earnings growth likely reflects a rebound rather than expansion.
- Opportunity: a 7.4% free cash flow yield and a P/E of 22.74 with the price mid-range give valuation its strongest score at 73/100.
This UnitedHealth Group Incorporated stock analysis turns on a tension in the numbers: the valuation pillar scores a strong 73 out of 100, while growth scores only 31. The shares trade at $398.32, a 7.4% free cash flow yield and a P/E of 22.74, yet trailing revenue has slipped 0.4%. Investors are being offered a lower price in exchange for a harder question about growth.
What Is Happening With the Stock Price
The two-year range runs from $237.77 to $610.20, and the stock at $398.32 sits in the middle of it, about 35% below the high and 67% above the low. That is not a stock at an extreme in either direction. It suggests the market has neither fully recovered its earlier confidence nor priced in the worst, and sentiment can still swing either way.
Quality: Is This a Financially Sound Business?
Margins are modest, as is typical of a health insurer: gross margin 20.1%, operating margin 5.8% and net margin 3.5%. Return on assets is 5.2% and return on equity is 15.8%. Cash flow is a bright spot. Free cash flow of $26.5B compares with net income of roughly $15.9B (3.5% of $450.1B revenue), so cash conversion is well above earnings. The balance sheet is less comfortable: the current ratio is 0.74 and the quick ratio 0.66, while debt-to-equity is a moderate 0.70. The dividend yield is 2.4% with a 51.7% payout ratio, which absorbs a meaningful share of earnings. This UnitedHealth Group Incorporated stock analysis rates Quality at 49 out of 100.
Growth: Does This Company Have Real Upside?
The 5-year revenue CAGR is 11.3%, but trailing-twelve-month revenue growth is -0.4%, so the long-run pace has stalled. Earnings growth of 76.1% over the trailing twelve months looks impressive, but it is likely a rebound from a depressed base rather than a sign of sustained expansion, and the thin 3.5% net margin leaves earnings sensitive to small changes in costs. EV/Revenue is 0.90, low because of the low-margin model. Growth Score is 31 out of 100.
Opportunity: Is Now a Good Time to Enter?
This is the model’s strongest pillar. P/E is 22.74, EV/EBITDA is 14.06, price-to-book is 3.64 and the free cash flow yield is 7.4%, with the price in the middle of its two-year range. The bull case is that steady cash generation and a dividend are being offered at a reasonable multiple. The bear case is that flat revenue and thin margins could keep earnings under pressure, and that a lower price may reflect real risk rather than a bargain. Opportunity Score is 73 out of 100.
UnitedHealth Group Incorporated Stock Analysis: The Bottom Line
Quality at 49, Growth at 31 and Opportunity at 73 combine into a recommendation score of 51 out of 100 and a Hold signal. Valuation and cash flow support the stock, while stalled revenue, thin margins and tight short-term liquidity hold it back. All equities carry risk, and the next few quarters of revenue will matter for which side of that balance wins out.
The Hold label reflects StreetBriefs’ quantitative scoring model, a data-driven signal for further research, not a personalized recommendation to transact.
Financial Metrics Summary
| Metric | Value |
|---|---|
| Price & Valuation | |
| Current Price | $398.32 |
| 2-Year Low | $237.77 |
| 2-Year High | $610.20 |
| Market Cap | $356.90B |
| P/E Ratio | 22.74 |
| EV / Revenue | 0.90 |
| Our Scores | |
| Quality Score | 49 / 100 |
| Growth Score | 31 / 100 |
| Opportunity Score | 73 / 100 |
| Profitability | |
| Earnings Per Share | $17.52 |
| Return on Assets | 5.2% |
| Return on Equity | 15.8% |
| Net Profit Margin | 3.5% |
| Gross Margin | 20.1% |
| Operating Margin | 5.8% |
| Growth | |
| Revenue Growth (5Y CAGR) | 11.3% |
| Revenue Growth (TTM) | -0.4% |
| Earnings Growth (TTM) | 76.1% |
| Balance Sheet | |
| Debt-to-Equity | 0.70 |
| Current Ratio | 0.74 |
| Quick Ratio | 0.66 |
| Income & Dividends | |
| Dividend Yield | 2.4% |
| Payout Ratio | 51.7% |
Data as of November 10, 2026
Our Three-Pillar Assessment
| Quality |
49/100 |
| Growth |
31/100 |
| Opportunity |
73/100 |
Quality measures business fundamentals: profitability, cash flow discipline, and balance sheet strength.
Growth captures revenue momentum, gross margin scalability, and the Rule of 40 efficiency test.
Opportunity signals entry timing: current valuation versus history and price position in the 2-year range.
Current price: $398.32 trading 35% below its 2-year high of $610.20.
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This analysis is done using financial data from Yahoo Finance.
Always conduct your own due diligence and consult a qualified financial advisor before making investment decisions.
