Investors who owned stocks in the 2010s generally experienced some big gains. In fact, the SPDR S&P 500's SPY total return for the decade was 250.5%. But there’s no question some big-name stocks did much better than others along the way.
UnitedHealth’s Big Decade
One spectacular investment of the last decade was U.S. health insurance giant UnitedHealth Group Inc UNH.
The U.S. health care business evolved significantly over the past 10 years and was a hot political topic throughout the decade.
United’s game plan was to remain adaptive via a series of acquisitions, including Logistics Health, XLHealth, CatamaranRx, Rally Health, Davita Medical Group, Equian and PatientsLikeMe. The company’s Optum unit was a particularly strong revenue growth source throughout the decade.
UnitedHealth shares began the 2010s trading at around $31.50. By mid-2010, the stock had dropped to $27.13, its lowest point of the decade. From there, shares marched steadily higher with few interruptions for the next eight years. UnitedHeath hit $100 in late 2014, $200 in mid-2017 and peaked at $287.97 in late 2018.
The stock spent most of 2019 consolidating in a trading range between $210 and $270 before breaking out to new highs to close out the year.
2020 And Beyond
UnitedHealth reached a new all-time high of $306.71 in February before the COVID-19 outbreak dragged down the market.
Despite the recent sell-off, $100 worth of UnitedHealth stock in 2010 would be worth about $942 today, assuming reinvested dividends.
Looking ahead, analysts are optimistic UnitedHealth will recover to make new all-time highs this year. The average price target among the 24 analysts covering the stock is $321.50, suggesting 23.1% upside from current levels.
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