3.8 • 950 Ratings
🗓️ 16 May 2025
⏱️ 22 minutes
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0:00.0 | Brian Stewart, our director of news. |
0:12.0 | And for those that are just checking in for the first time, |
0:14.4 | Brian and I do a weekly roundup every Friday morning recorded on Thursday afternoons. |
0:22.7 | Here we are for another week. |
0:24.7 | Brian, welcome back. Great to be here. |
0:30.4 | Summarize what we've been seen for the past week. Certainly a lot going on, I would say. |
0:37.1 | I was thinking we start with United Health. We had a CEO resign. Anybody that's paying attention to the world, I would say, has seen what's going on with United Health a little bit. |
0:43.3 | But from an investing perspective, what are you seeing from United Health? |
0:47.3 | Yeah, I think it's interesting to look at the stock narratively. |
0:51.3 | So starting with the high profile murder of its insurance group head. Moving forward |
0:58.8 | from there, we saw the company have earnings recently where it missed expectations. This had |
1:06.8 | this stock going down. And then this week, we had the abrupt departure of its CEO, Andrew |
1:14.4 | Witty, also withdrew guidance at that point. There were signs in there that the company was |
1:19.9 | suffering from higher medical care activity and higher medical costs. Basically, its insurance |
1:25.8 | customers are using medical services more than they |
1:29.6 | expected, and those services are coming at a higher price than was expected. So that's obviously |
1:34.4 | cutting into the bottom line. And then the final blow this week has been reports of a DOJ probe |
1:41.7 | from Medicare fraud by the company. |
1:50.4 | So the stock is down 32% over the past five days that's going into today and then down another 15% on Thursday on reports of the DOJ probe. |
1:55.7 | If you're looking at this from kind of a bearish philosophy, you could say this company is in tatters. It's one bad |
2:05.5 | news after another. If you're looking at from a bullish perspective, the CEO leaving marks kind |
2:12.4 | of day zero for the new United Health, and they can move forward from here. The DOJ investigation will be what it is, |
... |
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