Long-Term Analyst: Buy These 5 Stocks

4. UnitedHealth Group Inc. (NYSE:UNH)

Rockland Trust’s Stake Value: $32,663,000 

Percentage of Rockland Trust’s 13F Portfolio: 2.25% 

Number of Hedge Fund Holders: 91

On July 15, UnitedHealth Group Inc. (NYSE:UNH) announced market-beating results for the fiscal second quarter of 2022. The company reported earnings per share of $5.57 and beat EPS estimates by $0.36. The company’s revenue for the quarter amounted to $80.33 billion, up 12.63% year over year, and beat expectations by $652.11 million.

On August 10, Mizuho analyst Ann Hynes raised her price target on UnitedHealth Group Inc. (NYSE:UNH) to $600 from $550 and reiterated a Buy rating on the shares.

On August 17, UnitedHealth Group Inc. (NYSE:UNH) declared a quarterly cash dividend of $1.65 per share. The dividend is payable on September 20 to shareholders of record at the close of business on September 12. As of September 1, UnitedHealth Group Inc. (NYSE:UNH) has gained 24.75% over the past twelve months and is offering a forward dividend yield of 1.26%, which the company supports with free cash flows of $20.45 billion.

At the end of Q2 2022, 91 hedge funds held positions in UnitedHealth Group Inc. (NYSE:UNH). The total stakes of these hedge funds amounted to $10.90 billion. As of June 30, Rockland Trust’s stake in the company are valued at $32.66 million.

Here is what Wedgewood Partners had to say about UnitedHealth Group Inc. (NYSE:UNH) in its second-quarter 2022 investor letter:

“UnitedHealth Group also contributed to performance during the quarter. United’s operating income grew +3% on difficult year-ago comparisons as benefits members utilized more services compared to last year. Optum Health grew operating income +40% as more patients are enrolled in the Company’s value-based care services. The Company estimates nearly a third of all medical care is unnecessary and represents an opportunity to capture savings for both patients. Optum’s integrated platform of patient data, IT, and service providers are focused on driving out these unnecessary costs and should serve as the engine for long-term, mid-teens earnings per share growth.”