Usa Stocks Insider
  • Business
  • World
  • Investing
  • Stocks
  • Business
  • World
  • Investing
  • Stocks

Usa Stocks Insider

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
Tears of joy as Valerie the runaway dachshund finally reunited with owners
next post
US Policy Momentum, Clinical Progress Fueling Psychedelics Market in 2025

You may also like

AMD CEO calls China a ‘large opportunity’ and...

May 8, 2025

On air, ’60 Minutes’ reporter says ‘none of...

April 29, 2025

RTX, GE Aerospace expect more than $1 billion...

April 23, 2025

IBM pledges $150 billion to boost U.S. tech...

April 30, 2025

It’s Elon Musk’s turn for a ‘fork in...

April 24, 2025

Hasbro forecasts as much as $300 million impact...

April 26, 2025

Tesla denies report that the EV maker is...

May 2, 2025

Pfizer CEO says tariff uncertainty is deterring further...

April 30, 2025

California homeowners allege home insurance companies colluded to...

April 24, 2025

OpenAI in talks to pay about $3 billion...

April 18, 2025

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


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

    Latest

    • UK’s King Charles lays wreath to mark 80th anniversary of VE Day

      May 9, 2025
    • Israeli military extends detention of Palestinian journalist despite acknowledging lack of evidence

      May 9, 2025
    • Israel vows to ‘defend ourselves alone’ after Trump strikes truce with Houthis

      May 9, 2025
    • This company’s edible skincare products are full of ‘raw Ghanaian goodness’

      May 9, 2025
    • Robert Prevost elected as first American pope and takes the name Leo XIV

      May 9, 2025

    Categories

    • Business (53)
    • Investing (231)
    • Stocks (90)
    • World (273)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: usastocksinsider.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 usastocksinsider.com | All Rights Reserved