Big bank earnings are in focus as third-quarter earnings season kicks off, but several other major names are reporting results as well. Among them is UnitedHealth Group Inc (NYSE:UNH), with the insurance stock up 3.3% before the bell, last seen at $391.
The company reported adjusted third-quarter earnings of $4.69 per share, topping Wall Street's expectations of $4.14 per share, while revenue of $112.69 billion beat estimates of $111.40 billion. UnitedHealth also raised its full-year profit outlook, citing progress in managing elevated medical costs. No analyst notes have surfaced in response just yet.
UNH is looking to extend its 14.7% year-to-date gain, though the shares have struggled since their July 16 annual high of $461.62. The stock has shed nearly 12% over the past three months, with recent pressure at the 40-day moving average.
Options traders have been more bearish than usual. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and Nasdaq OMX PHLX (PHLX), UNH's 10-day put/call volume ratio of 0.83 ranks in the 96th percentile of its annual range. Though calls are still winning out on an absolute basis, puts have been more popular than usual, and an unwinding of this pessimism could provide additional tailwinds.
