At the moment, the debt-to-equity of UnitedHealth Group Incorporated (NYSE:UNH) is low, standing at 66.33, a figure that is less than the 71.68 average recorded by the industry. This means that the company is currently holding a debt level at 2.39 B.
Even though there was a rise of 379.00 M in revenue, the company failed to succeed in outperforming the industry average of 10.39%. For the most recent quarter, the net income has jumped by 56.56 B. This strength in their income has affected them and thus increased their earnings to $36.16 B. The 12.39% yoy growth of UNH’s revenue has gone up that of the industry average by 0.56%. For the past 12 months, UnitedHealth Group Incorporated revenue has gone up by 11.83%. The sustained growth in their revenue has helped boost their earnings per share.
UnitedHealth Group Incorporated (UNH) has seen their earnings per share increased to $3,188 during the last quarter in comparison to the same quarter last year. They have recorded a 3.24 growing earnings per share earnings. They have recorded a 3.24 growing earnings per share earnings. Analysts expect increase in earnings is also on the cards next quarter with an average estimate at $3.29. In the fiscal year 2018, UnitedHealth Group Incorporated overcame its bottom line by hitting earning $10,558 per share compared to the $7,017 in 2017.
The 12-month return on equity has significantly fallen to 23.84 in comparison to the same data for other companies in the same industry. This shows that there is a major weakness within the organization over the past one year. Comparing them to other companies in the industry and the overall Healthcare sector, the industry average is 20.05 while 15.29 is of the sector.
UNH total operating cash flow had dropped to $941 million compared to $4.01 billion in the same quarter last year. Also, looking at the price to cash flow of the company and the industry average, the 18.49 ratio of the stock is higher than the industry’s 17.82.
UnitedHealth Group Incorporated (NYSE:UNH) has a price-to-earnings ratio of 23.51 which is higher than the 22.91 industry average at the moment. This shows whether the company has what it takes to effectively turn the revenue into profit.
The company’s ROA is 8.05 when compared to 6.45 for the stocks operating in the same industry. This can be attributed to the strength recorded in the net income produced by total assets. Comparing it to other companies in the sector, UnitedHealth Group Incorporated ROE is above 15.29 that of both the sector average.
The operating profit margin for UnitedHealth Group Incorporated (UNH) is 7.65%, a figure which is considered to be weak. It has gone 7.02 from the 7.42 over the past 5 years. In addition to this, their operating margin is 0.63 higher than the industry average.
The net profit margin which stood at 4.25 on average in the past 5 years has jumped to 5.34 in the last 12 months. Added to that, this ratio has surpassed the industry net margin that stands at 4.87.
Still some above discussed indicators of the $239.38B company show strength while others show weakness. There is little evidence at the moment to justify the expectation of the UNH shares to either perform positively or negatively when compared to other stocks. The primary strengths of UnitedHealth Group Incorporated can be witnessed in its increased revenue, growing earnings per share, higher return on equity, increased operating cash and high net margin. Subsequently, financial analysis have also identified some weak areas that includes high debt, relatively high P/E ratio, lower return on assets and low net margin.