10 High Growth Dividend Paying Stocks to Buy

1. UnitedHealth Group Incorporated (NYSE:UNH)

Average 5-Year Revenue Growth Rate: 10.54%

Dividend Yield as of July 7: 2.92%

Number of Hedge Fund Holders: 139

UnitedHealth Group Incorporated (NYSE:UNH) is one of the best high growth stocks. On June 25, UBS reiterated a Buy rating on UNH but trimmed its price target for the stock to $385 from $400.

The revised price target follows statements made by UnitedHealth’s reinstated CEO during the company’s annual meeting on June 2, wherein he confirmed that updated 2025 guidance will be issued alongside the Q2 earnings report scheduled for July 29. Despite the adjustment, UnitedHealth, boasting a market capitalization of $273.56 billion, continues to demonstrate robust financial performance, with an 8.06% year-over-year revenue growth.

UBS noted that CEO Hemsley’s use of the word “prudent” to describe the upcoming outlook made analysts think the company might lower its earnings guidance from the earlier estimate of $22.50 per share. As more investors now expect earnings to be closer to $20 per share for 2025, UBS has adjusted its own forecast to match this new expectation.

UBS also lowered its profit expectations for Medicare Advantage, cutting the expected margin by 0.5% to 1.5%. The firm also reduced its forecast for Optum Health’s profit margin from 5% to 4.5%, showing a more cautious view of how well the business will perform in the near future.

UnitedHealth Group Incorporated (NYSE:UNH) delivers health benefit plans, clinical care and management, data analytics, and pharmacy solutions to a broad range of stakeholders, including individuals, employers, government entities, and healthcare providers.

While we acknowledge the potential of UNH to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than UNH and that has 100x upside potential, check out our report about this cheapest AI stock.

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