Stock Analysis on Net
Stock Analysis on Net

UnitedHealth Group Inc. (NYSE:UNH)

Price to FCFE (P/FCFE)

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Free Cash Flow to Equity (FCFE)

UnitedHealth Group Inc., FCFE calculation

US$ in millions

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12 months ended: Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Net earnings attributable to UnitedHealth Group common shareholders 22,381 20,120 17,285 15,403 13,839
Earnings attributable to noncontrolling interests 763 519 447 366 400
Net noncash charges 4,281 3,321 3,089 3,510 3,541
Net change in other operating items, net of effects from acquisitions and changes in AARP balances 1,643 2,246 1,522 2,895 683
Cash flows from operating activities 29,068 26,206 22,343 22,174 18,463
Purchases of property, equipment and capitalized software (3,386) (2,802) (2,454) (2,051) (2,071)
Repayments of long-term debt (2,125) (3,015) (3,150) (3,150) (1,750)
Proceeds from (repayments of) short-term borrowings, net 11 732 (1,302) 872 300
Proceeds from issuance of long-term debt 6,394 14,819 6,933 4,864 5,444
Free cash flow to equity (FCFE) 29,962 35,940 22,370 22,709 20,386

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to UnitedHealth Group Inc. equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made. UnitedHealth Group Inc. FCFE increased from 2021 to 2022 but then slightly decreased from 2022 to 2023.

Price to FCFE Ratio, Current

UnitedHealth Group Inc., current P/FCFE calculation, comparison to benchmarks

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No. shares of common stock outstanding 921,934,109
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 29,962
FCFE per share 32.50
Current share price (P) 486.18
Valuation Ratio
P/FCFE 14.96
Benchmarks
P/FCFE, Competitors1
Abbott Laboratories 72.25
Cigna Group 10.35
CVS Health Corp. 4.70
Elevance Health Inc. 16.76
Humana Inc. 10.82
Intuitive Surgical Inc. 178.43
Medtronic PLC 27.11
Shockwave Medical Inc. 15.86
P/FCFE, Sector
Health Care Equipment & Services 16.04
P/FCFE, Industry
Health Care 16.46

Based on: 10-K (reporting date: 2023-12-31).

1 Click competitor name to see calculations.

If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.

Price to FCFE Ratio, Historical

UnitedHealth Group Inc., historical P/FCFE calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 921,934,109 932,846,602 940,899,146 945,319,404 948,573,372
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 29,962 35,940 22,370 22,709 20,386
FCFE per share3 32.50 38.53 23.78 24.02 21.49
Share price1, 4 498.28 484.33 478.23 334.65 298.78
Valuation Ratio
P/FCFE5 15.33 12.57 20.11 13.93 13.90
Benchmarks
P/FCFE, Competitors6
Abbott Laboratories 76.56 26.11 24.52 38.42 53.19
Cigna Group 9.86 18.23 10.98 16.30 20.76
CVS Health Corp. 5.22 12.36 21.23 11.93 18.52
Elevance Health Inc. 16.04 14.26 11.07 7.75 13.72
Humana Inc. 12.01 30.99 11.49 8.47 11.73
Intuitive Surgical Inc. 177.77 89.67 58.39 81.15 57.31
Medtronic PLC 29.20 19.71 38.91 23.06 26.62
Shockwave Medical Inc. 12.55 70.16 2,410.63 — —
P/FCFE, Sector
Health Care Equipment & Services 16.45 16.54 20.24 16.77 19.50
P/FCFE, Industry
Health Care 16.86 18.40 17.97 17.17 13.58

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2023 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 29,962,000,000 ÷ 921,934,109 = 32.50

4 Closing price as at the filing date of UnitedHealth Group Inc. Annual Report.

5 2023 Calculation
P/FCFE = Share price ÷ FCFE per share
= 498.28 ÷ 32.50 = 15.33

6 Click competitor name to see calculations.

Valuation ratio Description The company
P/FCFE Price to free cash flow to equity is cash valuation indicator of stockholders’ equity. UnitedHealth Group Inc. P/FCFE ratio decreased from 2021 to 2022 but then slightly increased from 2022 to 2023.