Stock Analysis on Net

UnitedHealth Group Inc. (NYSE:UNH)

Price to FCFE (P/FCFE) 

Microsoft Excel LibreOffice Calc

Free Cash Flow to Equity (FCFE)

UnitedHealth Group Inc., FCFE calculation

US$ in millions

Microsoft Excel LibreOffice Calc
12 months ended: Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Net earnings attributable to UnitedHealth Group common shareholders 17,285  15,403  13,839  11,986  10,558 
Earnings attributable to noncontrolling interests 447  366  400  396  265 
Net noncash charges 3,089  3,510  3,541  3,037  2,094 
Net change in other operating items, net of effects from acquisitions and changes in AARP balances 1,522  2,895  683  294  679 
Cash flows from operating activities 22,343  22,174  18,463  15,713  13,596 
Purchases of property, equipment and capitalized software (2,454) (2,051) (2,071) (2,063) (2,023)
Repayments of long-term debt (3,150) (3,150) (1,750) (2,600) (4,398)
Proceeds from (repayments of) short-term borrowings, net (1,302) 872  300  (201) (3,508)
Proceeds from issuance of long-term debt 6,933  4,864  5,444  6,935  5,291 
Free cash flow to equity (FCFE) 22,370  22,709  20,386  17,784  8,958 

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

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 2019 to 2020 but then slightly decreased from 2020 to 2021.

Price to FCFE Ratio, Current

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

Microsoft Excel LibreOffice Calc
No. shares of common stock outstanding 938,171,603
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 22,370 
FCFE per share 23.84
Current share price (P) 489.22
Valuation Ratio
P/FCFE 20.52
Benchmarks
P/FCFE, Competitors1
Abbott Laboratories 22.87
Anthem Inc. 11.90
Bristol-Myers Squibb Co. 18.09
CVS Health Corp. 19.95
Danaher Corp. 19.81
HCA Healthcare Inc. 7.27
Intuitive Surgical Inc. 45.40
Medtronic PLC 32.27
Stryker Corp. 55.79
P/FCFE, Sector
Health Care Equipment & Services 19.75
P/FCFE, Industry
Health Care 17.87

Based on: 10-K (reporting date: 2021-12-31).

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 LibreOffice Calc
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
No. shares of common stock outstanding1 940,899,146 945,319,404 948,573,372 959,538,515 967,662,919
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 22,370  22,709  20,386  17,784  8,958 
FCFE per share3 23.78 24.02 21.49 18.53 9.26
Share price1, 4 478.23 334.65 298.78 263.50 226.64
Valuation Ratio
P/FCFE5 20.11 13.93 13.90 14.22 24.48
Benchmarks
P/FCFE, Competitors6
Abbott Laboratories 24.52 38.42 53.19 70.38
Anthem Inc. 11.07 7.75 13.72 52.47 8.42
Bristol-Myers Squibb Co. 16.17 7.80 5.80 18.62 20.01
CVS Health Corp. 21.23 11.93 18.52 1.66 12.89
Danaher Corp. 20.75 44.62 6.88 26.93 300.48
HCA Healthcare Inc. 8.62 19.17 12.73 17.25 9.06
Intuitive Surgical Inc. 58.86 81.15 57.31 60.90 49.12
Medtronic PLC 38.91 23.06 26.62 15.45
Stryker Corp. 59.94 24.42 28.84 14.99 44.01
P/FCFE, Sector
Health Care Equipment & Services 20.56 17.07 13.59 13.74 20.90
P/FCFE, Industry
Health Care 17.40 17.80 13.77 16.77 16.22

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2021 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 22,370,000,000 ÷ 940,899,146 = 23.78

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

5 2021 Calculation
P/FCFE = Share price ÷ FCFE per share
= 478.23 ÷ 23.78 = 20.11

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 increased from 2019 to 2020 and from 2020 to 2021.