<div id="readability-page-1">Money Markets What’s Behind The 30% Surge In UNH Stock?  ByTrefis Team ,  Contributor.  Forbes contributors publish independent expert analyses and insights. Building a platform to do the job of 1 million analysts for  Great Speculations Follow Author Oct 23, 2025, 09:19am EDT Share Save Comment  CANADA - 2025/10/01: In this photo illustration, the UnitedHealth Group (United Health) logo is seen displayed on a smartphone screen. (Photo Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images) SOPA Images/LightRocket via Getty Images UnitedHealth (UNH) ’s stock jumped 31% in three months, driven not only by a slight increase in revenue and a high P/E multiple, but also amid mixed signals: a Q2 earnings miss, regulatory scrutiny, and renewed investments in AI. What’s behind this volatility?  Let’s explore the factors that led to the rise.  UNH 3M Returns Trefis So what is taking place here? The stock increased by 31%, boosted by a 3.1% rise in revenue and a 35% increase in P/E multiple, despite a 6.6% decrease in net margin. Let’s analyze the events leading to these changes.  Before we delve into strong that contributed to the stock’s rise, here’s what strong suggests: Investing in a single stock can be risky, but there is substantial merit in adopting a more diversified strategy, such as the one we propose with the High Quality Portfolio. It has comfortably outperformed its benchmark—a combination of the S&amp;P 500, Russell, and S&amp;P MidCap indexes—and has achieved returns exceeding 105% since its inception. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.  Here’s What Has Happened With UNH Stock Lately Q2 Earnings Miss &amp; Outlook: UnitedHealth’s Q2 2025 adjusted EPS of $4.08 fell short of expectations; the 2025 EPS forecast was adjusted down to at least $16.00.  Regulatory Investigations: The Department of Justice is investigating Medicare billing practices, while senators look into nursing home operations.  Quarterly Dividend Paid: A quarterly dividend of $2.21 per share was distributed on September 23, 2025, enhancing investor confidence.  AI Investment: The launch of Optum Real, an AI system to optimize claims processing, aims for cost savings and new revenue streams.  Warren Buffett Stake: Warren Buffett’s Berkshire Hathaway acquired a new stake of over 5 million shares in UNH stock during the second quarter of 2025, a move valued at approximately $1.6 billion at the time, boosting investor confidence.  Our Current Assessment Of UNH Stock MORE FOR YOU Opinion: We currently view UNH stock as appealing. Why is that? Take a look at the complete overview. Read Buy or Sell UNH Stock to understand what informs our current viewpoint.  Risk: When evaluating the risk associated with UNH, it’s enlightening to review its declines during major market downturns. The stock plummeted approximately 42% during the Dot-Com crash and over 72% in the Global Financial Crisis. Even the 2018 correction and the COVID-19 pandemic resulted in declines exceeding 20% and 35%, respectively. The inflation shock was less severe, yet it still saw a near 18% drop. See – How Low Can UNH Stock Really Go – for more details. Solid fundamentals at UNH do not shield it from substantial sell-offs when broader market decreases occur. Risk is pervasive, regardless of the company's status.  Consistently selecting winners is quite challenging - particularly given the volatility tied to a single stock. Consider the Trefis Reinforced Value (RV) Portfolio, which has outperformed its all-cap stocks benchmark (combination of the S&amp;P 500, S&amp;P mid-cap, and Russell 2000 benchmark indices) to produce strong returns for investors. Why is that? The quarterly rebalanced mix of large-, mid-, and small-cap RV Portfolio stocks provided a responsive way to make the most of upbeat market conditions while limiting losses when markets head south, as detailed instrong RV Portfolio performance metrics .  Editorial Standards Reprints &amp; Permissions LOADING VIDEO PLAYER... FORBES’ FEATURED Video</div>

<p>UnitedHealth Group's (UNH) stock surged 31% over three months, driven by a 3.1% revenue increase and a 35% rise in P/E multiple, despite a 6.6% drop in net margin. Factors influencing this volatility include a Q2 earnings miss, regulatory scrutiny, and significant investments in AI. Notably, Warren Buffett's Berkshire Hathaway acquired over 5 million shares, enhancing investor confidence. While the stock shows solid fundamentals, it has experienced significant declines during past market downturns, highlighting the inherent risks of investing in individual stocks.</p>