What Does Wall Street See for UnitedHealth Group's Q2?

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UnitedHealth Group (NYS: UNH) is expected to report Q2 earnings on July 19. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict UnitedHealth Group's revenues will expand 8.3% and EPS will increase 2.6%.

The average estimate for revenue is $27.34 billion. On the bottom line, the average EPS estimate is $1.19.


Revenue details
Last quarter, UnitedHealth Group booked revenue of $27.28 billion. GAAP reported sales were 7.3% higher than the prior-year quarter's $25.43 billion.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, EPS came in at $1.31. GAAP EPS of $1.31 for Q1 were 7.4% higher than the prior-year quarter's $1.22 per share.

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Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 26.9%, 50 basis points better than the prior-year quarter. Operating margin was 8.5%, 20 basis points worse than the prior-year quarter. Net margin was 5.1%, 20 basis points worse than the prior-year quarter.

Looking ahead
The full year's average estimate for revenue is $109.94 billion. The average EPS estimate is $4.99.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 3,293 members out of 3,446 rating the stock outperform, and 153 members rating it underperform. Among 1,000 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 982 give UnitedHealth Group a green thumbs-up, and 18 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on UnitedHealth Group is outperform, with an average price target of $63.29.

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The article What Does Wall Street See for UnitedHealth Group's Q2? originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Motley Fool newsletter services have recommended buying shares of UnitedHealth Group. Motley Fool newsletter services have recommended creating a diagonal call position in UnitedHealth Group. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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