UnitedHealth Group (UNH) PT Raised to $161 at Oppenheimer
Oppenheimer analyst Michael Wiederhorn reiterated an Outperform rating and bumped his price target on UnitedHealth Group (NYSE: UNH) to $161.00 (from $145.00) following solid Q2 results despite ACA challenges.
Wiederhorn commented, "UNH reported 2Q16 adjusted EPS of $1.96 (GAAP: $1.81, includes $0.15 amortization), vs. OPCO/Street of $1.91/$1.89. The results were highlighted by Optum growth, and overcame $200M in additional ACA losses and negative prior-period reserve development. Following the quarter, UNH tweaked up the bottom-end of its FY2016 cash EPS guidance to $7.80-7.95, vs a prior range of $7.75-7.95 so we are tweaking our FY2016 EPS estimate to $7.91 from $7.88. Since UNH is largely exiting the Exchanges in 2017, the tailwind continues to grow larger. As a result, we are raising our FY2017 EPS estimate to $9.03 from $8.92 and our price target to $161 from $145."
For an analyst ratings summary and ratings history on UnitedHealth Group click here. For more ratings news on UnitedHealth Group click here.
Shares of UnitedHealth Group closed at $142.59 yesterday.