UnitedHealth: Turning Into A Falling Knife

  • UnitedHealth Group's stock has plunged about 45% YTD, reflecting a series of structural headwinds. Wall Street sentiment is overwhelmingly negative, with analysts forecasting a 30%+ YoY EPS drop over the next three quarters and universally revising Q2 earnings estimates downward. Rising medical utilization and a surge in elective care have driven up costs, eroding profitability and signaling that the pandemic-era tailwinds are firmly in the past.