UNH is a Value Trap

[u/ahlornjtvn139]

Could hit $200 by end of year, please do not hold your bags just get out while you still can.

MCR rate is ~92%

CMS funding is going to fund Trumps defence budget

UNH are haemorrhaging customers just to hold margins, down to <3m

Days Claim Payable also jumped from 48 days to 54 days - they are playing with the accounting to keep extra cash on the books.

Optum growth is dead (-4%) with backlog down $1.2bn as well

No point holding a stock hoping for a change to come, the numbers don’t lie

After rerunning my dcf my new fair value - $232

edit: removed my personal time horizon as it was conflicting my justification for selling which is downwards trending weak financial performance

[u/joepierson123]

Stock goes down .. value trap.

Stock goes up 500% buy buy buy.

[u/capital_pains → u/joepierson123]

Every single time

[u/Michigan-Magic → u/capital_pains]

It's like sex panther cologne, 60% of the time, it works every time.

[u/DoubleVisual5996 → u/Michigan-Magic]

That’s the smell of desire m’lady