Cantor Fitzgerald Sticks with 'Overweight' on UnitedHealth Amid Strong Earnings
Cantor Fitzgerald has reaffirmed its 'Overweight' rating on UnitedHealth Group () with a price target of $495.00.
The firm's analysis, based on 2027 Stars cutpoints, suggests that only 47% of 4-Star thresholds became more difficult in the upcoming release, implying a lighter-than-expected movement in cutpoints.
Cantor Fitzgerald believes that Humana's accelerated investments in the Stars program could be sufficient to meet the new standards, and continues to downplay concerns over UnitedHealth's CAHPS performance.
The analyst firm has also highlighted the company's strong earnings beat, which saw a 31% surpassing of consensus estimates. This led to an increase in UnitedHealth's earnings guidance by 12%, to a range of $19.50-$20.00, representing a 21% year-over-year rise.