New York, Jan 30, 2026, 17:40 EST — Trading after hours.
UnitedHealth shares slipped 1.8% to $286.93 in after-hours Friday, following Barclays’ cut to its price target on the insurer. The firm maintained a positive outlook despite the downgrade. During the session, the stock fluctuated between $284.75 and $292.84. (MarketScreener)
The stock remains stuck near the week’s lows, sliding roughly 18% since Monday’s close. Tuesday’s steep 20% drop sparked the selloff and pushed trading volumes sharply upward. (Investing)
A filing earlier this week laid out the tough road investors face. UnitedHealth forecasted 2026 revenue just over $439 billion, down roughly 2% from last year, with adjusted earnings expected above $17.75 per share. Stephen Hemsley noted the company “finished 2025 as a much stronger company.” It also signaled a 2026 medical care ratio around 88.8% — the share of premium revenue paid out in medical costs. (SEC)
Wall Street has been shifting price targets fast—and not always in sync. KeyBanc Capital Markets stuck with an Overweight rating and a $400 target. But RBC Capital Markets, UBS, and Jefferies all trimmed their targets this week, citing concerns over Medicare-related uncertainty. (A price target is a broker’s forecast of where a stock might trade over the next year.) (Investing)
The broader market showed little support on Friday. U.S. stocks closed down following Donald Trump’s nomination of Kevin Warsh to head the Federal Reserve. Investors remained wary, eyeing inflation pressures and potential budget issues in Washington. (Reuters)
The drug-supply chain faces fresh pressure from Washington. The U.S. Department of Labor unveiled a proposed rule targeting pharmacy benefit managers (PBMs)—the middlemen behind drug price negotiations and prescription benefits. It would require PBMs, including those linked to CVS Health, Cigna, and UnitedHealth, to reveal more about their payment structures, such as rebates and fees. Deputy Secretary Keith Sonderling said the move “will allow employers to see the full extent of the fees charged.” (Reuters)
Medicare Advantage — the privately run Medicare plans — remains a key factor for insurers, especially with how the latest government rate calculations might impact profit growth in 2027. James Harlow of Novare Capital Management flagged concerns this week, saying the Medicare proposal “starts to bring in worries about 2027 earnings growth,” despite UnitedHealth’s 2026 profit forecast coming in roughly as expected. (Reuters)
This story could still flip quickly. Should the final Medicare Advantage rates hold near the proposal and medical costs remain high, insurers might face tighter margins. That means the next set of estimates could trend downward.
Not everyone is turning bearish. Oppenheimer analyst Michael Wiederhorn maintained his “outperform” rating despite the steep decline, MarketWatch reports. (MarketWatch)
Investors now have firm dates to watch on the policy front. The Centers for Medicare & Medicaid Services said it will accept comments on its 2027 Medicare Advantage advance notice until Feb. 25. The agency aims to release the final rate announcement by April 6. These deadlines are expected to keep the sector, and UnitedHealth’s stock, tense through next week. (Cms)
