UnitedHealth Shares Gain Momentum on Analyst Upgrades and Strategic Divestment

Despite facing negative headlines over allegations of opaque financial practices, UnitedHealth Group's stock demonstrated notable resilience on Tuesday. The healthcare giant's equity climbed back above the psychologically significant $350 threshold, buoyed by a dual catalyst: encouraging commentary from Wall Street analysts and reports of an imminent multi-billion dollar divestiture in the United Kingdom.

Market sentiment received a boost from news of a strategic portfolio simplification. According to reports from Sky News, UnitedHealth is close to finalizing the sale of its UK subsidiary, Optum UK, to the private equity firm TPG. The transaction is anticipated to be valued at over £1 billion, equivalent to approximately $1.4 billion. Investors are viewing this potential deal favorably, as it is expected to unlock capital and allow the company to sharpen its focus on core operations.

Wall Street Analysts Revise Targets Upward

The most significant driver for the recent price recovery originated from Evercore ISI. Analyst Elizabeth Anderson initiated coverage of UnitedHealth with an "Outperform" rating, attaching a price target of $400. This projection suggests substantial upside from the current trading level around $350. Anderson characterized 2026 as a "transition year" for the healthcare behemoth but forecast meaningful operational improvements and renewed growth for 2027 and 2028.

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This optimistic view is not isolated. Other financial institutions, including Barclays and Bernstein, followed by raising their own price objectives to $391 and $444, respectively. Market observers interpret these revisions as a signal that the stock's fundamental valuation is beginning to appear attractive again following a challenging previous year. Currently, the shares trade at a forward P/E ratio of just under 18, which sits below its five-year historical average.

Serious Allegations Fail to Dent Investor Sentiment

The stock's strength is particularly noteworthy given the simultaneous publication of an investigative report by Hunterbrook Media. The report accuses UnitedHealth of redirecting billions of dollars through concealed subsidiaries, such as "Emisar," allegedly to avoid sharing profits from medication management with health insurance partners. The market's current dismissal of these allegations underscores where investor focus lies: on the compelling valuation and the potential liquidity event from the Optum UK sale.

Upcoming Quarterly Report in Focus

Having lost roughly 29% of its value over the past 12 months, shareholders are now watching for signs of a durable bottom. The next key test is scheduled for January 27, 2026, when the company releases its fourth-quarter results. The analyst consensus estimates point to revenue surpassing $113 billion. A demonstration that UnitedHealth has its costs under control could provide further momentum for the recovery scenario outlined by Evercore ISI.