Bernstein raises UnitedHealth’s target to $492, citing 27% upside and a 16% adjusted EPS CAGR amid Medicare Advantage recovery.
Bernstein increased UnitedHealth’s (UNH) price target to $492 from $444, maintaining an Outperform rating. The new target reflects a 27% upside, driven by an improved adjusted EPS outlook tied to Medicare Advantage recovery and higher valuation multiples.
The firm projects a 16% adjusted EPS compound annual growth rate, supporting the higher target. Barclays also raised its UNH target to $429 from $373, favoring managed care over healthcare facilities due to earnings risks from inflation and commercial mix.
UnitedHealth operates Optum Health, Optum Insight, Optum Rx, and UnitedHealthcare. The adjustments follow sector-wide revisions after Q1 earnings reports.