UnitedHealth shares gained pre-market after the company raised its full-year outlook and said it is keeping medical costs at bay.
The stock rose 7.3% before the bell to $448.98. Through the previous close, shares were up 24% this year.
The insurer raised its adjusted earnings outlook to $19.50 to $20, ahead of its previous guidance and analysts' projections. Second-quarter results also came in above Wall Street consensus estimates.
UnitedHealth also said it is managing medical costs, which have climbed in recent years and became a rising concern for insurers.
Management expects Medicare medical costs in 2026 to come in below its original estimate, Chief Executive Tim Noel told analysts. Medicare Advantage enrollment is expected to decline by about 1.1 million, which Noel said is better than previously anticipated.
UnitedHealth has worked on improving its benefit design, care-management models and network curation to lower medical costs. Noel said these initiatives are the primary reason that costs are lower than expected.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
July 16, 2026 09:12 ET (13:12 GMT)
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