UnitedHealth Confirms 2024 Adjusted EPS Outlook Discussed At Its November 29 Investor Conference; Net Earnings Outlook Will Be Impacted By Expected Brazil Operations Sale Charge - Filing
Portfolio Pulse from Benzinga Newsdesk
UnitedHealth Group is selling its Brazil operations to a private investor, expecting to record a $7 billion charge, mostly non-cash due to foreign currency translation losses. This charge will impact the company's 2024 net earnings outlook but will be excluded from adjusted earnings.
December 29, 2023 | 12:09 pm
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UnitedHealth's sale of its Brazil operations will result in a $7 billion charge affecting 2024 net earnings, but not adjusted EPS.
The $7 billion charge due to the sale of UnitedHealth's Brazil operations is significant and will negatively impact the net earnings outlook for 2024. However, as this charge is excluded from adjusted earnings, the impact on the stock may be somewhat mitigated. Investors may react negatively to the news of the charge, but the exclusion from adjusted earnings could provide some reassurance. The score reflects the negative impact of the charge on net earnings, while the importance is high due to the substantial amount involved. Confidence is not at the maximum because market reactions can be unpredictable, especially when considering the exclusion from adjusted earnings.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 100