UNH · Q2 FY2026
UNITEDHEALTH GROUP INC Q2 FY2026 earnings analysis
By SageNoodle ResearchBullish
| Metric | Actual | Estimate | Result |
|---|---|---|---|
| Revenue | $112.03B | $111.62B (yr ago) | Beat |
| EPS | $6.04 | $3.74 (yr ago) | Beat |
| Free Cash Flow | $10.25B | $6.30B (yr ago) | Beat |
| Gross Margin | N/M — financial company | N/M (yr ago) | Miss |
| Operating Margin | 7.1% pre-tax margin | 4.6% pre-tax margin (yr ago) | Beat |
What changed
Revenue increased only 0.4% year over year to $112.03 billion, but pre-tax margin recovered to 7.1% from 4.6%, lifting EPS to $6.04 from $3.74. Free cash flow rose to $10.25 billion from $6.30 billion, although pre-tax margin and EPS both declined sequentially from Q1 FY2026.
Impact on the investment thesis
There was no prior SageNoodle fair value to revise; this update establishes fair value at $396 per share. The quarter supports an earnings-recovery thesis, but the current 25.0x TTM P/E already recognizes substantial improvement, leaving the shares fairly valued.