Sport Investors League
  • Politics
  • Stocks
  • Investing
  • Business

Sport Investors League

  • Politics
  • Stocks
  • Investing
  • Business
Business

UnitedHealthcare sued by shareholders over reaction to CEO’s killing

by admin May 9, 2025
May 9, 2025
UnitedHealthcare sued by shareholders over reaction to CEO’s killing

A group of investors sued UnitedHealthcare Group on Wednesday, accusing the company of misleading them after the killing of its CEO, Brian Thompson.

The class action lawsuit — filed in the Southern District of New York — accuses the health insurance company of not initially adjusting their 2025 net earning outlook to factor in how Thompson’s killing would affect their operations.

On Dec. 3 — a day before Thompson was fatally shot — the company issued guidance that included net earnings of $28.15 to $28.65 per share and adjusted net earnings of $29.50 to $30.00 per share, the suit notes. And on January 16, the company announced that it was sticking with its old forecast.

The investors described this as “materially false and misleading,” pointing to the immense public scrutiny the company and the broader health insurance industry experienced in the wake of Thompson’s killing.

The group, which is seeking unspecified damages, argued that the public backlash prevented the company from pursuing ‘the aggressive, anti-consumer tactics that it would need to achieve’ its earnings goals.

‘As such, the Company was deliberately reckless in doubling down on its previously issued guidance,’ the suit reads.

The company eventually revised its 2025 outlook on April 17, citing a needed shift in corporate strategy — a move that caused its stock to drop more than 22% that day.

‘The company denies any allegations of wrongdoing and intends to defend the matter vigorously,’ a UnitedHealthcare spokesperson said in a statement.

Thompson’s fatal shooting on the streets of New York City in broad daylight sent shockwaves across the nation.

Luigi Mangione, the 27-year-old man accused of the killing, has pleaded not guilty to federal and state charges against him. The legal defense fund for Mangione surpassed the $1 million mark in donations on Tuesday.

This post appeared first on NBC NEWS

0
FacebookTwitterGoogle +Pinterest
previous post
Fed Watch: Key Bullish Patterns in the S&P 500, Utilities, and Crypto
next post
US Policy Momentum, Clinical Progress Fueling Psychedelics Market in 2025

Related Posts

ESPN plans to add user-generated content to upcoming...

February 21, 2025

Dropbox slashes 20% of global workforce, eliminating more...

October 31, 2024

Starbucks imposes new limits on what baristas can...

April 24, 2025

How Vuori reached a $5.5 billion valuation by...

December 20, 2024

Chinese tea chain Chagee files for U.S. initial...

March 28, 2025

McDonald’s is the latest company to roll back...

January 8, 2025

Dick’s Sporting Goods to buy struggling Foot Locker...

May 16, 2025

McKinsey & Co. to pay $650M to settle...

December 17, 2024

Microsoft’s mammoth AI bet will lead to over...

October 3, 2024

McDonald’s Snack Wrap is officially returning. Here’s when.

June 4, 2025

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent

    • RRG Alert Tech Vaults to ‘Leading’—Is XLK Signaling a New Rally?

      June 21, 2025
    • Inside the Situation Room, where Trump and his national security team are weighing next steps on Iran

      June 21, 2025
    • Four plead guilty in massive bribery scheme at agency Democrats fought to protect from DOGE

      June 21, 2025
    • European diplomats urge Iran to continue US nuclear talks in first face-to-face since strikes started

      June 21, 2025
    • As Iran talks get underway, expert raises alarm over lack of plan to secure nuclear material

      June 21, 2025

    Categories

    • Business (992)
    • Investing (2,438)
    • Politics (3,017)
    • Stocks (1,085)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: sportinvestorsleague.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 sportinvestorsleague.com | All Rights Reserved