UnitedHealth Suspends 2025 Guidance, CEO Andrew Witty Resigns: Retail’s Disheartened

Shares of UnitedHealth Group (UNH) fell over 10% in premarket trading on Tuesday after the company announced the resignation of CEO Andrew Witty and suspended its full-year 2025 outlook.

UnitedHealth said it has appointed Stephen J. Hemsley as its new chief executive officer, effective immediately, following Witty’s decision to step down. The company added that Witty stepped down from his role for personal reasons and will serve as senior adviser to Hemsley.

Hemsley, previously the CEO of the health insurer from 2006 to 2017, will remain chairman of the Board of Directors, the company said.

UnitedHealth also suspended its 2025 outlook, saying medical expenditures are now expected to be higher than anticipated. The company, however, expects to return to growth in 2026, it said.

Last month, the firm said it expects an increase in costs from its Medicare Advantage business in 2025, and lowered its full-year adjusted earnings per share (EPS) guidance to between $26 and $26.50, down from its previous forecast of $29.50 to $30.

For the first quarter, the company reported earnings of $7.20 per share, which was below the Street estimate of $7.29.

On Stocktwits, retail sentiment around UNH fell from ‘extremely bullish’ to ‘bullish’ territory over the past 24 hours while message volume rose from ‘high’ to ‘extremely high’ levels.

A Stocktwits user expressed skepticism on the stock’s near-term performance.

Another, however, opined that it is a nice opportunity to buy.

UNH stock is down 25% this year and 26% over the past 12 months.

Also See: Cipla Delivers Strong Q4: SEBI RA Sameer Pande Sees Stock Rally To 6-Month Highs

For updates and corrections, email newsroom[at]stocktwits[dot]com.