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UnitedHealth (NYSE:UNH) shares fell in the premarket on Tuesday after the managed care giant, with its Q2 results, issued fresh guidance for 2025, indicating revenue and adjusted earnings below Street forecasts amid a sharp increase in its medical expenses.
Shares of the Eden Prairie, Minnesota-based health insurer lost ~3%, while Humana (HUM), its biggest rival in the Medicare Advantage market, dropped ~1%. UNH’s other peers in the managed care space include CVS Health (CVS), Alignment Healthcare (ALHC), Centene (CNC), Molina Health (MOH), and Elevance Health (ELV).
Announcing the abrupt departure of its former CEO, Andrew Witty, in May, UnitedHealth (NYSE:UNH) withdrew its full-year outlook, which had been cut in April alongside a rare earnings miss.
With Q2 results, the company projected $16.00 of per share adjusted earnings on $445.5B–$448.0B in revenue, both of which fell short of $20.90 and $449.07B in the consensus, respectively.