TD Cowen Downgrades UnitedHealth (UNH) to Hold, Cuts PT

On May 19, TD Cowen revised its rating on UnitedHealth Group (NYSE:UNH), downgrading it to Hold from Buy and lowered the price target to $308 from $520.

Is UnitedHealth Group Incorporated (UNH) the Best Dow Stock?

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The downgrade is attributed to the complications UnitedHealth Group is facing in its Medicare Advantage. The company’s Q1 2025 results suggest “ominous signs” of a trend of rising medical costs in Medicare Advantage businesses, which is causing investors to lose confidence in the stock.

Analysts are viewing the bleak results as a potential bellwether for the insurance industry, warning that other companies with Medicare Advantage plans could also suffer a similar fate.

UnitedHealth Group’s (NYSE:UNH) stock sank after the company reduced its annual profit forecast and cited medical costs in its privately run Medicare plans that exceeded expectations.

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