United Health Earnings: UNH Stock Slips 1% Despite Q3 Beat

United Health (NYSE:UNH) earnings for the healthcare company’s third quarter of 2020 have UNH stock ticking l0wer on Wednesday. That’s despite its strong adjusted earnings per share of $3.51 and revenue of $65.12 billion. Both of these beat out Wall Street’s estimates of $3.09 per share and revenue of $63.96 billion.

The UnitedHealth (UNH) headquarters in Minnetonka, Minnesota.

Source: Ken Wolter / Shutterstock.com

Let’s take a deeper dive into the most recent United Health earnings report below.

  • Adjusted per-share earnings are 10% lower than the $3.88 reported in the third quarter of 2020.
  • Revenue in the current quarter is sitting 7.9% higher than the $60.35 billion from the same time last year.
  • Operating income of $4.65 billion is a 7.2% drop year-over-year from $5.01 billion.
  • United Health earnings also have net income coming in at $3.26 billion.
  • That’s a 10% decline from the company’s net income of $3.63 billion reported in the same period of the year prior.

David Wichmann, CEO of United Health, said this in the earnings report.

“The people of UnitedHealth Group continue to deliver more innovative and modern solutions for customers, physicians and consumers, while responding to the needs of the people and communities affected by the pandemic. We’re encouraged to see those we serve respond to the incentives we offered to safely seek care as the health system continued to recover in the quarter.”

United Health earnings also include an update to its 2020 guidance. Adjusted EPS for the year is expected to range from $16.50 to $16.75. Its previous guidance was for adjusted EPS of $16.25 to $16.55. Wall Street is looking for adjusted earnings per share of $16.58 in 2020.

UNH stock was down 1.1% as of Wednesday morning.

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.


Article printed from InvestorPlace Media, https://investorplace.com/2020/10/united-health-earnings-dip-unh-stock-despite-beats/.

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