Overview

• UnitedHealth reported Q1 2025 adjusted earnings of $7.20 per share and $109.6 billion in revenue, falling short of Wall Street estimates.
• The company cut its full-year profit guidance to $24.65–$25.15 per share, down from its previous forecast of $29.50–$30.00.
• Higher-than-expected care utilization in Medicare Advantage, particularly in outpatient and physician services, drove up medical costs.
• UnitedHealth's medical-cost ratio rose to 84.8%, reflecting increased claims expenses relative to premiums collected.
• The stock's 20% drop erased over $90 billion in market value, marking its worst single-day performance in 17 years and triggering a sector-wide selloff.