UNH Stock Rises 39% in Six Months: Can Earnings Keep Up?
UnitedHealth's stock has risen 38.8% over the past six months, outperforming its industry and the S&P 500. This rebound is attributed to improving medical-cost trends, which suggest that pricing, benefit design, and cost controls are working.
The company's medical care ratio decreased to 85.3% in the first half of 2026 from 87.1% a year earlier. Medical costs also declined by 2% to $148.8 billion. UnitedHealth is also reducing its exposure to weaker-return businesses, such as selected Medicare Advantage and Optum Health markets.
The company's focus on more profitable areas and its diversification through Optum are key drivers of its recovery. Optum's move towards a transparent, fee-based pharmacy benefit model could strengthen its competitive position while addressing regulatory concerns.