Why UnitedHealth (UNH) Remains a Turnaround Bet Despite Policy and Cost Pressure

UnitedHealth Group Incorporated (NYSE:UNH) is one of the best stocks to buy according to Goldman Sachs’ Conviction List. Goldman added UnitedHealth to its U.S. Conviction List on May 1, alongside Interactive Brokers, while removing Abbott Laboratories and Keysight Technologies. The firm said its conviction lists highlight stocks it views favorably for investment, and UnitedHealth’s inclusion followed Goldman’s April 22 move to raise its price target to $435 from $400 while maintaining a Buy rating. Goldman cited the company’s first-quarter performance, higher full-year guidance, and a turnaround still in its early stages.

The case is not frictionless because UnitedHealth is still working through medical cost pressures, scrutiny of its insurance practices, and a federal probe into its government-backed plans. Reuters reported on May 18 that the stock dipped after Berkshire Hathaway exited its stake, though analysts quoted by Reuters said the operational recovery still appeared to be moving in the right direction. On April 21, UnitedHealth reported Q1 2026 revenue of $111.7 billion, up 2% year-over-year, adjusted earnings of $7.23 per share, and raised its full-year adjusted earnings outlook to more than $18.25 per share.

Why UnitedHealth (UNH) Remains a Turnaround Bet Despite Policy and Cost Pressure

UnitedHealth Group Incorporated (NYSE:UNH) is a health care and well-being company operating through UnitedHealthcare and Optum, serving consumers, care providers, employers, governments, and health systems.

While we acknowledge the risk and potential of UNH as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than UNH and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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