UnitedHealth under pressure following Berkshire Hathaway's full exit

Published: 2026-05-18 10:44:04 ET UNH

UnitedHealth shares fell more than 1.5% on Monday after Berkshire Hathaway announced that it has liquidated its entire stake in the US health insurance giant. The move comes as part of a portfolio reshuffle overseen by Greg Abel during Q1. Last year, Berkshire Hathaway acquired 5 million UnitedHealth shares, in a move that bolstered the stock and heightened expectations for the group's turnaround under Stephen Hemsley's leadership.

Esteban Tesson

Published on 05/18/2026 at 10:44 am EDT

Despite the divestment, UnitedHealth shares are still up about 20% YTD, after a sharp decline in 2025. The group is working to restore investor confidence after a period marked by rising healthcare costs, criticism of insurers, the assassination of its boss in late 2024, and a federal investigation into certain state-backed programs. However, several analysts believe Berkshire's decision is more of a portfolio adjustment than a challenge to the sector's outlook.Stephen Hemsley continues the group's operational turnaround, which in April raised its annual profit guidance after quarterly results beat Wall Street expectations. Other major US insurers have also posted solid performances, claiming better control over rising medical costs. According to several market observers, the health insurance sector regained more favorable momentum during the latest quarterly earnings cycle.