Andreas Halvorsen Bets On A Healthy Comeback For UnitedHealth

While many investors have been backing away from healthcare stocks amid regulatory overhangs and earnings pressure, Ole Andreas Halvorsen of Viking Global Investors is leaning in.

In the first quarter, Halvorsen added to his position in UnitedHealth Group Inc. (NYSE:UNH), snapping up additional shares that now account for 3.56% of Viking's $31.5 billion portfolio, as outlined in a 13F filing released Thursday. This makes it the firm's fourth-largest equity holding.

The timing of the move is interesting, as UNH shares have struggled in recent months due to heightened scrutiny over Medicare Advantage reimbursements and a broader sector rotation out of healthcare.

Related: UnitedHealth Stock Caught In A Perfect Storm, Falls Nearly 50% Since April

Despite that, Viking's move suggests a high-conviction belief that the worst may be priced in – and that UnitedHealth, with its integrated care model and unmatched scale, remains a long-term winner.

Halvorsen isn't known for short-term plays. His positions tend to reflect strategic, often contrarian views that run against prevailing sentiment. With peers pulling back from healthcare exposure, Viking's bet on UnitedHealth stands out – and could be a signal that institutional money sees stabilization, if not recovery, on the horizon.

It's also notable that Viking expands its UnitedHealth stake while maintaining significant financial positions in U.S. Bancorp, Schwab and Bank of America – suggesting a diversified but deliberate approach.

Healthcare makes up just a fraction of Viking's total portfolio, but its inclusion in the top five underscores its perceived quality and return potential.

With UNH trending on news feeds and Halvorsen's track record of spotting durable compounders, this stake expansion could be a bullish signal that healthcare's prognosis isn't as bleak as the headlines suggest.

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