Unitedhealth Group Inc

Financial Performance and Guidance: UnitedHealth Group reported 2024 revenues of over $400 billion and adjusted earnings per share of $27.66. For 2025, revenues are expected to approach $440 billion, with a full-year medical care ratio forecast of 86.5%, indicating a targeted improvement of 100 basis points year-over-year. The company remains committed to its long-term growth objective of 13% to 16%.

Challenges Faced: The company navigated significant headwinds in 2024, including Medicare rate cuts, Medicaid member redeterminations, and impacts from a cyberattack, which collectively contributed to a $6 billion unfavorable impact on its medical care ratio.

Opportunities in Value-Based Care: UnitedHealth is expanding its Optum Health segment, targeting a growth of 650,000 patients into value-based care (totaling 5.4 million in 2025). This approach is seen as foundational to improving health outcomes and managing costs, reflecting the company's strategy to move away from traditional fee-for-service models.