Unitedhealth group (One) Had another rough day while trading on Friday.
Reports that the Justice Department (DOJ) investigates their insurance business Medicare advantage has sent the stock more than 8% lower in early trading.
The civil fraud investigation, First reported by the Wall Street JournalExplores how United records a diagnosis that promotes payments from the Medicare and Medicaid Service Centers (CMS). CMS pays private insurers' lump amounts to provide alternate medicare coverage.
Close: Feb 21 at 4:00:02 PM EST
In a statement on Friday, United Health called the Information Report.
“The Wall Street Journal Continues to report incorrect information on the Medicare Advantage (MA) program. The Government regularly reviews all MA schemes to ensure compliance and we perform consistently at the highest levels of the industry on those reviews, “the statement said.
United Health added that the company was not aware of any new activity by the DOJ.
Friday news marks the sixth time this year has traded down and the second time this week. Earlier this week, apparently offered employees From his health insurance business, Unitedhealthcare, and consider layoffs if the target for purchase did not meet.
That is the latest front end that the company has battled in the last 12 months. Last year, Unitedhealth was the target of a wide cyber security attack that affect more than 190 million – Number revealed the company at the beginning of this year only.
The doj also been scrutinizing the company For a possible cut, and the Federal Trade Commission (FTC) could block his latest acquisition.
The company also suffered a tragedy in December, with the shooting and death of its chief insurance executive, Brian Thompson. The attack send shock waves through the industry In the midst of public backlash.
The company's $ 460 billion market cap has been on the decline in the midst of all these pressure, noting a significant change in its growth prospects from previous years, when it was a favorite to become a first trillion-doler healthcare company.
Anjalee Kachmli is the senior health correspondent at Yahoo Finance, which deals with everything Pharma, Insurance, Care Services, Digital Health, PBMS, and Policy and Health Politics. That includes glp-1s, of course. Follow Anjalee on social media platforms x, LinkedIn, and Bluesky @Anjkhem.