The Trader Harbor
  • Business
  • Politics
  • World News
  • Stocks
  • Business
  • Politics
  • World News
  • Stocks

The Trader Harbor

World News

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
Krispy Kreme stock plunges after doughnut chain pauses McDonald’s rollout, pulls outlook
next post
Denmark PM says ‘you cannot spy against an ally’ following reports of US spying on Greenland

Related Posts

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

March 28, 2025

Netflix hunts for a production partner for its...

June 17, 2024

Companies are slashing prices to woo consumers. It’s...

July 28, 2024

X sees major outages as Musk claims ‘massive...

March 12, 2025

E.l.f. Beauty to acquire Hailey Bieber skin care...

May 30, 2025

Dow rises 200 points to close at a...

July 18, 2024

A key to Biden’s lagging wind energy goal...

July 1, 2024

Intel shares plunge 28%, dragging down global chip...

August 3, 2024

Court rejects Boeing plea deal tied to 737...

December 7, 2024

Airbus could prioritize deliveries to non-U.S. customers if...

February 21, 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

    • Claire’s, known for piercing millions of teens’ ears, files for Chapter 11

      August 8, 2025
    • Trump demands resignation of Intel CEO over alleged China ties

      August 8, 2025
    • The Real Drivers of This Market: AI, Semis & Robotics

      August 8, 2025
    • S&P 500 Breaking Out Again: What This Means for Your Portfolio

      August 8, 2025
    • Republican senator claims RFK Jr. mRNA vaccine decision undermines Trump agenda

      August 8, 2025
    • Who is Anita Dunn? The Biden confidante who clashed with Hunter grilled in House autopen probe

      August 8, 2025

    Categories

    • Business (1,327)
    • Politics (4,196)
    • Stocks (1,573)
    • Uncategorized (45)
    • World News (1,320)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: TheTraderHarbor, 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 thetraderharbor.com | All Rights Reserved