Jim Cramer: UnitedHealth (UNH) Can "Do Whatever It Wants" Under Current Administration

We recently published a list of 10 Stocks Analysts are Talking About Amid Trump’s Tariff War. In this article, we are going to take a look at where UnitedHealth Group Incorporated (NYSE:UNH) stands against other stocks analysts are talking about amid Trump’s tariff war.

Markets saw some glimmer of hope as President Donald Trump indicated that he does not plan to fire Federal Reserve Chair Jerome Powell and showed openness to engage in talks with China. However, China has said in a statement that the US should dial back all unilateral duties if it’s serious in negotiations.

Andrew Slimmon, Morgan Stanley Investment Management senior portfolio manager, explained in a recent program on CNBC what made Trump blink:

“I think…April 9th was an important day because on that day Trump came out and said I didn’t like what I saw in the bond market, I didn’t like Jamie Diamon saying there’s a recession coming and he said “So I’m putting a 90-day pause on.” So in my opinion, what he really said is tariffs are important to me but a recession’s worse and so there’s the priority which he basically gave you the indication there is a Trump put out there. I don’t think it’s down 10 15 but it was when the market was almost down 20 right, credit spread started to quake.”

READ ALSO: 7 Best Stocks to Buy For Long-Term and 8 Cheap Jim Cramer Stocks to Invest In

For this article, we picked 10 stocks Wall Street is talking about these days. With each stock, we have mentioned the number of hedge fund investors. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

UnitedHealth Group Incorporated (NYSE:UNH)

Number of Hedge Fund Investors: 112

Ahead of UnitedHealth Group Incorporated (NYSE:UNH) earnings report, Jim Cramer talked about the company and said it can do “whatever it wants” under the current US administration. Cramer called the decline in the stock a buying opportunity.

“United Health reports this week and it was down today. That’s a bit of a rarity in itself, and to me, that makes for a terrific buying opportunity. I think the largest health insurer can do whatever it wants under this administration. Not making a judgment, just telling you as it is.”

UNH shares plunged after the company reported results that missed Wall Street estimates and decreased its guidance at the midpoint amid higher care activity. However, the bulls believe it’s a buying opportunity. The long-term drivers for the stock and balance sheet of the company remain strong. Due to the recent pullback, the stock’s forward P/E ratio is now the sector average of roughly 16. Another key measure is the FWD P/CF, which is nearly 25% lower than the sector average.

Parnassus Growth Equity Fund stated the following regarding UnitedHealth Group Incorporated (NYSE:UNH) in its Q4 2024 investor letter:

“We sold two Health Care positions during the quarter, pharmaceutical company AstraZeneca and insurerUnitedHealth Group Incorporated (NYSE:UNH). UnitedHealth’s business model is becoming higher-risk, which coupled with slowing Medicare Advantage growth and regulatory uncertainty led to us exiting the position.

After the UnitedHealth stock price recovered to its historical multiple in early November, we felt it was an opportune time to sell based on our concerns about slowing Medicare Advantage growth and the company’s growing business complexity and risk.”

Overall, UNH ranks 6th on our list of stocks analysts are talking about amid Trump’s tariff war. While we acknowledge the potential of UNH as an investment, our conviction lies in the belief that under the radar AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than UNH but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.