Congress Is Buying Into UnitedHealth's 46% Crash — What Do They Know That Wall Street Doesn't?

UnitedHealth Group Inc UNH is down a staggering 46% from its April peak of $630, and a troubling mix of leadership shake-ups, DOJ and CMS probes, and guidance withdrawals have weighed heavy.

Source: TradingView

But amid the chaos, insiders — and surprisingly, members of Congress — are scooping up shares.

What's Dragging UNH?

UNH stock is down over 38% year-to-date, with its descent beginning in April. Factors that have contributed to the slide, include:

• A massive earnings miss and retreat on 2025 guidance, which triggered a 50% plunge from March highs.
• Leadership turbulence didn't help: CEO Andrew Witty resigned, and board chair Stephen Hemsley returned just days later.
• Legal risks abound: DOJ criminal probes and CMS Medicare Advantage audits intensify.

Read Also: New Congressman’s First Stock Trade Tanks 45% After Betting On UnitedHealth Before Fallout

Government & Insiders: Buying The Dip

In an unusual twist, Congress members like Texas Rep. Michael McCaul and Georgia Rep. Marjorie Taylor Greene have been buying UNH shares worth thousands — even after the earnings crash.

Meanwhile, returning CEO Stephen Hemsley pumped in $25 million, and other executives also invested heavily. Reddit even flagged "[insiders] directors and executives buy over $30 M of the beaten down stock.”

Technicals & Valuation: A Mixed Bag

Chart created using Benzinga Pro

UnitedHealth trades at $312.44, above its eight and 20-day SMAs (simple moving averages), signaling short-term buying interest. But it’s below the 50-day ($334.70) and 200-day ($491.61) SMAs, and the MACD (moving average convergence/divergence) is negative, suggesting the downtrend isn't over. The RSI (relative strength index) at 47.06 is neutral, leaving room for upside.

Valuation metrics—with P/E at~13.7, PEG ~0.87, EV/EBITDA ~9.4—seem to paint the picture of a deeply discounted insurer.

Is UNH's fall a value opportunity – or a warning? With politicians and insiders buying, there’s a strong signal that the dip might be nearing its end.

But unresolved regulatory concerns and leadership instability could still derail recovery. Watch the 50-day SMA (~$334.70) as a potential pivot point. Close above it, and the bounce could gain steam; below, the pain might persist.

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