UnitedHealth has lost $63 billion in value since former CEO Brian Thompson’s shocking murder
UnitedHealth has lost some $63 billion in value since the shocking murder of one of its top executives last month.
The price of shares in the group have dropped by roughly $100 since December 4, the day that UnitedHealthcare CEO Brian Thompson was gunned down on a New York City street by suspect Luigi Mangione.
As of Wednesday, the stock price was valued at around $510 each, down from its $610 per share Dec. 4 mark
However, despite Thompson’s murder bringing concerns over the U.S. healthcare system into the spotlight, UnitedHealth posted a better-than-expected profit in the final quarter of 2024.
Group bosses opened a call with analysts Thursday morning by offering thanks for condolences the company has received since Thompson’s death.
“Brian helped build this company and forged deep, trusted relationships for over 20 years, and the positive impact he had on people will be felt for years to come,” Chief Financial Officer John Rex said.
UnitedHealthcare CEO Brian Thompson was gunned down as he walked to the company’s annual investor meeting in mid-town Manhattan on December 4. The healthcare company has lost has lost $63 billion in value since the murder (AP)
UnitedHealth bosses said adjusted earnings for the three months ending in December came in at $6.81 a share, up 10.6 percent from the same period last year and 9 cents ahead of the Wall Street consensus forecast.
Revenues reportedly rose 6.4 percent to $100.8 billion, just inside analysts’ estimates of $101.76 billion.
UnitedHealth operates the nation’s largest health insurer, UnitedHealthcare, which covers more than 49 million people in the United States. It also operates a large pharmacy benefit manager that runs prescription drug coverage and a growing business that delivers care and provides technical support.
The company’s full-year profit, which had climbed every year for nearly a decade, sank 36 percent to $14.4 billion in 2024. The bottom line was hurt partly by costs tied to a massive cyberattack that hit its Change Healthcare business early in the year
Last month it was also rocked by the sudden and shocking death of Thompson as he walked to the company’s annual investor meeting in mid-town Manhattan.
The suspected gunman, 26-year-old Luigi Mangione, faces federal and state charges in connection with the incident (Copyright 2024 The Associated Press. All rights reserved.)
Mangione, the 26-year-old suspect, faces federal and state charges in connection with the shooting.
Prosecutors have said Mangione, who was not a UnitedHealthcare customer, was carrying a notebook expressing hostility toward the health insurance industry and especially wealthy executives when he was arrested.
The shooting gave rise to an outpouring of grievances about insurance companies. A survey conducted a few weeks after the shooting found that most Americans believe health insurance profits or coverage denials bear some responsibility for Thompson’s death.
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