5 Best Medical Stocks to Invest In According to Billionaires

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1. UnitedHealth Group Incorporated (NYSE:UNH)

Number of Billionaire Holders: 37

UnitedHealth Group Incorporated (NYSE:UNH) is one of the best medical stocks to invest in according to billionaires. UnitedHealth Group Incorporated (NYSE:UNH) reported on May 11 that Optum Rx announced a new pharmacy care model that changes the pricing and delivery of pharmacy benefits by replacing the traditional approach of prices set by manufacturers or prescription volume with a transparent, fee‑based structure that is offered to every Optum Rx PBM customer. Management stated that the model is specialized to fully align incentives with patients and plan sponsors. The new approach would allow Optum Rx clients a pricing structure with monthly, clearly defined fees per member, independent of manufacturers’ list prices or prescription volume, which would help eliminate spread pricing and similar practices.

In a separate development, UnitedHealth Group Incorporated (NYSE:UNH) received a rating update from Goldman Sachs on May 1, with the firm adding the stock to its US Conviction list. Goldman Sachs has a Buy rating on the shares with a price target of $435 and believes that the company is nearing the bottom of its underwriting cycle for Medicare Advantage, which presents 40% of its business. The rating update came as part of the firm’s monthly update.

UnitedHealth Group Incorporated (NYSE:UNH) provides healthcare coverage, data consultancy, and software services. It operates through the OptumRx, OptumInsight, OptumHealth, and UnitedHealthCare segments.

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 the cheapest AI stock.

READ NEXT: 15 Stocks That Will Make You Rich in 10 Years AND 12 Best Stocks That Will Always Grow.

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