Mizuho Cuts UnitedHealth Price Target to $350, Cites Slower Q4 Recovery
Mizuho trimmed UnitedHealth’s price target to $350 from $430 after the company reported slower-than-expected Q4 earnings recovery. UnitedHealth posted 2025 revenue of $447.6 billion, driven by a 23% jump in its Medicare & retirement business to $171.3 billion, now 38% of sales.
1. Mizuho Price Target Revision
On February 5, Mizuho cut its UnitedHealth price target to $350 from $430 while maintaining an Outperform rating, citing a slower-than-expected earnings recovery in Q4.
2. Q4 Earnings Performance
The firm highlighted that UnitedHealth’s Q4 profitability recovery lagged projections, prompting the lower target despite an overall revenue increase.
3. Revenue and Segment Breakdown
UnitedHealth generated $447.6 billion in revenue for 2025, up 12% year-over-year, with Medicare & retirement revenue rising 23% to $171.3 billion, accounting for just over 38% of total sales.
4. Medicare Growth and Policy Risks
Since 2020, Medicare & retirement revenue has surged 89% from $90.8 billion, making policy risks—such as a proposal to hold Medicare Advantage rates flat in 2027—a key concern for future growth.