We have published an article titled Billionaire Richard Chilton’s 10 Stock Picks with Huge Upside Potential. In this article, we are going to take a look at where UnitedHealth Group Incorporated (NYSE:UNH) stands against Richard Chilton’s other stock picks.
Richard Chilton is a veteran investor and the founder of Chilton Investment Company, a long-standing and respected name in the world of hedge funds. Known for his disciplined, research-driven investment philosophy, Chilton has built a reputation over the decades for being a thoughtful, value-oriented manager who combines patience with a deep understanding of market fundamentals.
He launched Chilton Investment Company in 1992 after gaining experience at major firms like Allen & Company and Alliance Capital. From the beginning, his approach stood out. Instead of chasing fast money or following trends, Chilton focused on long-term opportunities grounded in detailed analysis and risk management. His fund, which started with just $5 million, grew significantly over the years as investors recognized the strength of his strategy and the consistency of his returns.
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Chilton’s style is often described as “fundamental, bottom-up investing”. Essentially, he and his team dig into company financials, industry dynamics, and management quality before making any investment decisions. This focus on quality and sustainability has helped the firm navigate multiple market cycles with relatively steady hands. Chilton is known to favor businesses with strong competitive advantages and predictable cash flows — companies that can weather downturns and continue compounding returns over time.
Chilton Investment Company has navigated the complexities of the post-pandemic market landscape with a focus on disciplined investment strategies, delivering solid returns for its clients. Today, Chilton Investment Company remains a respected player in the asset management world, guided by the same principles Richard Chilton laid out over 30 years ago: deep research, long-term thinking, and a strong sense of fiduciary duty. With that context in mind, let’s take a look at Richard Chilton’s 10 stock picks with huge upside potential according to analysts.
Our Methodology
For this list, we picked stocks from Chilton Investment Company’s 13F portfolio as of the end of the fourth quarter of 2024. We listed them in the ascending order of analysts’ average upside potential, as of May 2. These equities are also popular among other hedge funds.
At Insider Monkey we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A senior healthcare professional giving advice to a patient in a clinic.
UnitedHealth Group Incorporated (NYSE:UNH)
Chilton Investment Company’s stake: $27,703,929
Upside Potential: 34.04%
Number of Hedge Fund Holders: 150
UnitedHealth Group Incorporated (NYSE:UNH) is a healthcare company focused on improving access, affordability, outcomes, and experiences for individuals and organizations. It operates through two main businesses: Optum and UnitedHealthcare. Optum integrates clinical expertise, technology, and data to improve healthcare delivery and affordability, serving various markets including patients, employers, and governments. UnitedHealthcare offers a range of health benefits, simplifying the healthcare experience for individuals and employers, including specific services for Medicare recipients and economically disadvantaged populations. The company has four reportable segments: Optum Health, Optum Insight, Optum Rx, and UnitedHealthcare.
UnitedHealth Group Incorporated (NYSE:UNH) began 2025 with strong business growth but faced significant challenges, prompting a reduction in its earnings outlook to $26–$26.50 per share. The main issues arose in its Medicare businesses, particularly due to higher-than-expected care activity and changing member profiles. Increased utilization in physician and outpatient services within Medicare Advantage was not mirrored in commercial or Medicaid sectors. Additionally, new members in Optum Health had lower-than-expected engagement and reimbursement. UnitedHealth is addressing these challenges through improved member engagement, investment in clinical workflows, and adapting to CMS risk model changes.
Despite setbacks, the company is growing in Medicare Advantage and Medicaid, and Optum Rx is seeing strong sales and customer retention. Technological advancements, including AI tools and simplified drug access, are enhancing operations. While results were disappointing, the company remains confident in its long-term strategy, emphasizing innovation, cost control, and a better healthcare experience for consumers and providers.
Overall UNH ranks 2nd on our list of billionaire Richard Chilton’s stock picks with huge upside potential. While we acknowledge the potential of UNH as an investment, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than UNH but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
