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Wajeeh Khan

The DOJ Is Investigating UnitedHealth. Is UNH Stock a Buy, Sell, or Hold Now?

UnitedHealth UNH DOJ Healthcare Sarah James UnitedHealth Group

UnitedHealth Group (UNH) tanked as much as 12% on Friday, Feb. 21 following reports that the Department of Justice has launched an investigation into the healthcare services firm.

The DOJ scrutiny is centered on the company’s Medicare billing practices, as per sources that talked to the Wall Street Journal on condition of anonymity. It’s investigating protocols that UNH has in place for recording diagnoses to see if they’re designed to result in unnecessary payments. The allegations suggest that UnitedHealth has been making questionable diagnoses in order increase Medicare Advantage payments, such as through benefiting physician groups that UNH owns.

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