Overview

• U.S. health insurer's Q2 revenue rose, beating analyst expectations

• Adjusted EPS for Q2 was $6.38

• Company raised full-year 2026 adjusted EPS outlook to $19.50-$20.00

Outlook

• UnitedHealth raises 2026 adj EPS guidance to $19.50-$20.00 from prior forecast above $17.75

• Company lifts 2026 reported EPS outlook to $18.45-$18.95 from prior forecast above $17.10

• UnitedHealth expects 2026 cash flows from operations of about $24 bln

Result Drivers

• MEDICAL COST MANAGEMENT - Lower medical care ratio driven by benefit design changes, pricing discipline, member mix and medical cost management initiatives

• OPTUM OPERATIONAL IMPROVEMENTS - Optum earnings growth supported by operational improvements and cost management, despite revenue decline at Optum Health

• HIGHER OPERATING COSTS - Operating cost ratio rose due to targeted investments in technology, operations and community support

Company press release: ID:nBwrmKMta

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q2 Revenue	Beat	$112 bln	$110.85 bln (20 Analysts)
Q2 Operating Cash Flow		$11.10 bln

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 24 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the managed healthcare peer group is "buy"

• Wall Street's median 12-month price target for UnitedHealth Group Inc is $460.00, about 9.9% above its July 15 closing price of $418.52

• The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 15 three months ago

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