Five executives and directors at UnitedHealth Group purchased the company’s stock on May 16 following a major downturn over the last month.
Board chair and new CEO Stephen Hemsley made the largest purchase of more than $25 million — 86,700 shares at an average price of $288.57, according to SEC filings. President and CFO John Rex, and board members Patrick Flynn, Kristen Gil and Jon Noseworthy also purchased shares.
The company’s stock was up 8.2% to $315.89 on May 19.
On May 14, The Wall Street Journal reported that UnitedHealth is under criminal investigation by the Justice Department for alleged Medicare Advantage fraud, which drove shares down 13%. The company said it has not been notified about the reported investigation. Two days prior, UnitedHealth had replaced CEO Andrew Witty with its former CEO, Mr. Hemsley, and suspended its 2025 earnings outlook following an “unusual and unacceptable” first quarter performance.
The recent developments caused UnitedHealth’s stock to lose half its value (down $288 billion) within one month. According to Barron’s, the company is the worst performer in the Dow Jones Industrial Average in 2025.
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