UnitedHealth Group Inc. (NYSE:UNH) stock is trending on Thursday.
Dividend Drives After-Hours Momentum
UNH advanced 1.17% in after-hours trading to $275 on Wednesday, following the company’s announcement of a $2.21 quarterly dividend authorization. The healthcare giant’s board approved the cash dividend payment for September 23, 2025, targeting shareholders of record by September 15, 2025.
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UNH closed regular trading at $271.81, up 3.87% or $10.13 for the session, according to the Benzinga Pro data.
Despite Wednesday’s gains, the stock of the Minnesota-based company remains under severe pressure, down approximately 53% over the past year, with a current market capitalization of $246.17 billion.
Regulatory Settlement Weighs on Valuation
UNH’s depressed valuation reflects ongoing regulatory scrutiny. On Friday, the company agreed to divest over 160 healthcare facilities as part of a proposed Department of Justice settlement regarding its $3.3 billion Amedisys Inc. (NASDAQ:AMED) acquisition.
The settlement requires selling 164 home health and hospice locations across 19 states, representing approximately $528 million in annual revenue. The agreement also includes a $1.1 million civil penalty against Amedisys for providing inaccurate regulatory information.
Fundamental Metrics Show Stress
Financial metrics of the well-being company reflect current challenges. The stock trades at a price-to-earnings ratio of 11.77, below historical averages, while maintaining a 3.25% dividend yield. Second-quarter results disappointed, with adjusted earnings of $4.08 missing consensus estimates of $4.95, down significantly from $6.80 year-over-year.
Revenue grew 13% to $111.62 billion but fell short of the $111.69 billion consensus. Management reestablished 2025 guidance with adjusted earnings of at least $16 per share, well below the $22.33 analyst consensus.
Benzinga’s Edge Stock Rankings indicate that UNH has a negative price trend across all time frames. Here is how the stock fares on other parameters.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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