UnitedHealth stock slides premarket after suspending outlook and naming new CEONEWS | 13 May 2025Share Facebook Email X Copy link Save Saved Read in app
UnitedHealth said former CEO Stephen Hemsley would lead the company after Andrew Witty stepped down.
The insurer suspended its 2025 outlook amid rising care costs, sending shares down almost 9% premarket.
UnitedHealth expected a return to growth next year amid Medicare Advantage cost pressures.
UnitedHealth Group said Stephen Hemsley would return as CEO and suspended its outlook, sending stock sliding in premarket trading on Tuesday.
Hemsley, 72, who led the company from 2006 to 2017 when he became chairman, will take over following Andrew Witty's decision to step down for personal reasons.
UnitedHealth also suspended its 2025 financial outlook, citing unexpectedly high medical expenditures, particularly in its Medicare Advantage segment.
Share fell almost 11% in premarket trading. The stock had already sunk by a quarter this year after the company suspended its annual guidance last month.
The insurer is grappling with rising care use and broader benefit usage than had been expected.
UnitedHealth said it expected to return to growth in 2026.
It is the parent of UnitedHealthcare, whose CEO Brian Thompson was shot dead in New York late last year. Luigi Mangione was indicted on charges of first-degree murder.
UnitedHealthcare is the largest health insurer in the US and provides services to some 50 million people.Author: Thibault Spirlet. Source
