UnitedHealth Group: Recent Pullback Is A Buying Opportunity For Dividend Growth Investors (Rating Upgrade)
Summary
- UnitedHealth Group's recent price pullback presents a buying opportunity for long-term dividend growth investors, despite the CEO's death and short-term volatility.
- Strong fundamentals: Q3 earnings beat estimates with EPS of $7.15 and revenue at $100.8 billion, showing robust top and bottom line growth.
- Sustainable dividend growth: Dividend increased by 11.70%, supported by strong cash flows and a solid balance sheet with $32.4 billion in cash.
- Attractive valuation: Forward P/E of 17.57x offers 24% upside potential, making UNH a compelling buy with a long-term price target of $602.
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Contributing analyst to the iREIT+Hoya Capital investment group. The Dividend Collectuh is not a registered investment professional nor financial advisor and these articles should not be taken as financial advice. This is for educational purposes only and I encourage everyone to do their own due diligence. I'm a Navy veteran who enjoys dividend investing in quality blue-chip stocks, BDC's, and REITs. I am a buy-and-hold investor who prefers quality over quantity and plans to supplement his retirement income and live off dividends in the next 5-7 years. I aspire to reach and help the hard working, lower and middle class workers build investment portfolios of high quality, dividend-paying companies. I also hope to give investors a new perspective to help them reach financial independence.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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