Stock Movers: UnitedHealth Slumps, UPS Exceeds Sales Expectations, GM Shares Rise

UnitedHealth's Financial Setback

• 📉 UnitedHealth shares extended their slump, falling 13% pre-market, following a disappointing revenue forecast for 2026.
• ⚠️ This projected revenue decline would be the first for the company since 1989, marking a rare occurrence.
• 🏥 The company plans to shed approximately 2.8 million members from its insurance business as it navigates regulatory changes.
• 💸 The broader health insurance industry is also down, with Humana and CVS Health experiencing significant pre-market drops, due to the US proposing flat payment rates for private Medicare plans.

General Motors' Strong Outlook

• 📈 General Motors shares rose nearly 5% pre-market after authorizing a $6 billion share buyback.
• 📊 The automaker reported fourth-quarter earnings of $2.51 per share, surpassing estimates.
• 🎯 GM provided strong guidance for the year, projecting EBIT between $13 to $15 billion, indicating a $2 billion growth from the previous year.
• 🚚 This positive outlook is driven by sales of more profitable larger trucks and SUVs, and a reduced focus on less profitable EVs.

UPS Exceeds Sales Expectations

• 📦 United Parcel Service (UPS) announced fourth-quarter results that beat both topline and bottom line expectations.
• 💰 The company's strategy of cutting less-profitable package volume is proving effective, leading to higher revenue per package and more packages shipped than anticipated.
• 🌐 UPS issued guidance for $90 billion in revenue for the current year, exceeding market expectations and signaling stability amidst trade and tariff changes.
• 📊 The company also anticipates an adjusted operating margin of approximately 9.6%.