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$UnitedHealth(UNH)$ is the largest healthcare insurer in the US, a company with scale, data and reach that no competitor can replicate. It dropped like a rock to the bottom of the ocean this week mainly because of news that the proposed rate of increase for Medicare Advantage by the government is only 0.09% instead of the expected 4%.
I believe that this is a bargain hunting opportunity as UNH is oversold and undervalued.
UNH also has Optum, the quiet powerhouse that touches the entire spectrum of healthcare : from pharmacy benefits, to clinics to data analytics. Optum is the part that turns UNH from a defensive insurer to a diversified healthcare ecosystem.
UNH is still a healthcare giant with deep cash flow, scale and an unmatched dominance in the healthcare sector. It also pays nice juicy dividends of 3%.
As Warren Buffett likes to say, When there is Fear in the market, it is time to be greedy. @Tiger_comments @TigerStars @Tiger_SG @TigerClub @CaptainTiger
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