Morgan Stanley Analyst Raises UnitedHealth Price Target Amid Medicare Advantage Optimism
Morgan Stanley analyst Erin Wright increased her price target for UnitedHealth Group (UNH) to $395 from $325, signaling an 11% upside potential. The revision follows the health insurer's favorable 2026 Medicare Advantage star ratings update, with 78% of members expected to be in 4-star or higher plans.
UnitedHealth reaffirmed its full-year earnings guidance, prompting Wright to reiterate her Buy rating. The analyst cited improved profitability in Medicare Advantage as a key driver for the company's turnaround. Market reaction was immediate, with UNH shares surging on the news.