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UnitedHealth Group Stock Plunges 10.45% on Outlook Suspension, CEO Departure
Generated by AI AgentAinvest Movers Radar
Tuesday, May 13, 2025 7:42 am ET1min read
On May 13, 2025, UnitedHealth Group's stock experienced a significant drop of 10.45% in pre-market trading.
UnitedHealth Group's decision to suspend its 2025 outlook has been a major factor in the stock's decline. The company cited higher-than-expected medical costs and increased care activity in its Medicare Advantage program as reasons for the suspension. This move comes less than a month after the company had already reduced its outlook due to rising costs.
Adding to the uncertainty,
announced that its CEO, Andrew Witty, would be stepping down. The company has appointed Stephen J. Hemsley as the new CEO, effective immediately. This leadership change has further contributed to the market's negative sentiment towards the stock.UnitedHealth Group's stock has been under pressure due to the combination of rising medical costs and leadership changes. Investors are concerned about the company's ability to manage these challenges and return to growth in the near future. The suspension of the 2025 outlook and the departure of the CEO have raised questions about the company's strategic direction and financial performance.
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