UnitedHealth Group Inc. (NYSE:UNH) shares climbed Friday after high-profile investors Michael Burry and Warren Buffett took positions in the insurance giant, offering some relief to a stock that has tumbled about 41% year-to-date.
Warren Buffett’s fund bought little more than 5 million shares, and Burry disclosed in 13F filings that he purchased call contracts against 350,000 shares of UnitedHealth.
The holdings suggest Burry is betting on a sector turnaround, particularly as Medicare Advantage rates have exceeded expectations for 2026, and UnitedHealth’s competitive positioning remains strong despite recent setbacks.
Also Read: Michael Burry Joins Warren Buffett Going Long On UnitedHealth Stock
In a U.S. Securities and Exchange Commission (SEC) filing on Thursday, Amedisys (NASDAQ:AMED) announced that UnitedHealth closed its home health and hospice provider acquisition.
UnitedHealth agreed to divest more than 160 healthcare facilities as part of a proposed settlement with the U.S. Department of Justice (DOJ) to resolve antitrust concerns surrounding its $3.3 billion acquisition of Amedisys.
The insurance giant reported second-quarter adjusted earnings of $4.08, down from $6.80 a year ago, missing the consensus of $4.95. Revenues increased 13% year over year to $111.62 billion, missing the consensus of $111.69 billion.
UnitedHealth reestablished its fiscal year 2025 guidance, with adjusted earnings of at least $16 per share versus a consensus of $22.33 and sales guidance of $445.5 billion-$448 billion compared to the analyst estimate of $449.5 billion. In May, UnitedHealth suspended its 2025 performance outlook.
In July, UnitedHealth engaged with the Department of Justice following reports of ongoing investigations into its Medicare program participation.
The company said it has begun complying with the Department’s formal criminal and civil requests. UnitedHealth says it has full confidence in its practices and is committed to working cooperatively with the Department throughout this process.
Reuters reported that a cyberattack on UnitedHealth’s technology unit last year affected 192.7 million people, citing the U.S. health department data.
In January, the company had estimated the Change Healthcare breach impacted about 190 million people.
Price Action: UNH stock is trading higher by 10.57% to $300.18 at last check Friday.
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