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Loews Corporation (L) vs UnitedHealth Group Incorporated (UNH): Which Is the Better Buy in 2026?

As of 2026-11-01, L is undervalued at $111, with a DCF intrinsic value of $610 and a margin of safety of 82%. UNH is overvalued at $407, with an intrinsic value of $367 and a margin of safety of -11%. Of the two, L has the wider margin of safety.

L
Loews Corporation
$111.32
VS
UNH
UnitedHealth Group Incorporated
$406.97

Rewards

L
  • ★Loews Corporation scores 97/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
  • ★Share count has been reduced by 13% over the past 4 years through buybacks, increasing each share's claim on earnings.
  • ★Each dollar of retained earnings has created $2.24 of earning power — management is an exceptional capital allocator.
UNH
  • ★UnitedHealth Group Incorporated scores 73/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.

Risks

L
  • ⚠Altman Z-Score of 0.69 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.
UNH
  • ⚠ROIC has declined by 6.9 percentage points over the past 4 years, which may signal competitive erosion.
  • ⚠Gross margin of 20.0% is low, suggesting a competitive or commodity-like market with limited pricing power.
  • ⚠FCF yield of 7.3% suggests reasonable valuation assuming continued moderate growth.

Key Valuation Metrics

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L
UNH
Valuation
$2.70B
Free Cash Flow
$26.50B
11.86%
FCF Yield
7.25%
13.64
Trailing P/E
23.23
38.39
Forward P/E
17.48
Quality & Moat
7.41%
ROIC
11.51%
9.31%
ROE
15.77%
36.29%
Gross Margin
20.05%
1.32
PEG Ratio
1.03
Balance Sheet Safety
0.13
Net Debt / Equity
0.43
N/A
Interest Coverage
N/A
0.78
Net Debt / EBITDA
1.58
0.22%
Dividend Yield
2.28%
L: 5Ties: 1UNH: 6
LUNH

Historical Fundamentals

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L

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

UNH

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

$1 Retained Earnings Test

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L
$1.82
created per $1 retained over 3 years
Value Creator
Σ Retained
$4.35B
Δ Market Cap
+$7.93B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
UNH
$-7.37
created per $1 retained over 3 years
Market Cap Declined
Σ Retained
$26.63B
Δ Market Cap
$-196.16B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

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L
81.7% Margin of Safety
Price is 81.7% below estimated fair value
Current Price: $111.32
Fair Value: $609.59
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
UNH
10.8% Overvalued
Price is 10.8% above estimated fair value
Current Price: $406.97
Fair Value: $367.30
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

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L

What growth rate is the market pricing in at $111?

+3.7%
Market-Implied Owner Earnings Growth
Standard FCF implies -2.8%

The market implies +3.7% Owner Earnings growth, below historical trends — potential opportunity.

Standard FCF implies a more demanding -2.8%, reflecting heavy growth investment expected to generate future returns.

UNH

What growth rate is the market pricing in at $407?

+14.2%
Market-Implied Owner Earnings Growth
Standard FCF implies +4.2%

The market implies +14.2% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +4.2%, reflecting heavy growth investment.

Economic Moat Score

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L
97/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat driven primarily by revenue predictability. Margin Stability is the area most vulnerable to competitive pressure.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
UNH
73/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat driven primarily by revenue predictability. Margin Stability is the area most vulnerable to competitive pressure.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

Forensic Accounting

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L
-2.53
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
UNH
-2.45
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

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L
Insiders 20.1%Institutions 61.7%Retail & Other 18.2%
No. of Institutional Holders1,114
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
UNH
Insiders 0.2%Institutions 89.6%Retail & Other 10.1%
No. of Institutional Holders4,333
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

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L
0
Buys (3M)
2
Buys (12M)
Total value (12M): $1.05M
ROBUSTO DINO E
Director
$523,700
@ $104.74 · 2026-05-29
ROBUSTO DINO E
Director
$527,200
@ $105.44 · 2026-05-05
Open market purchases · includes direct & indirect ownership · excludes option exercises
UNH
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

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L
0
Sells (3M)
8
Sells (12M)
Total value (12M): $1.67M
SCHWARTZ MARK S
Officer and Treasurer
$346,500
@ $110.00 · 2026-02-17
BERMAN ANN E
Director
$211,728
@ $110.16 · 2026-02-10
ALPERT MARC A
General Counsel
$383,983
@ $109.87 · 2026-02-10
SCOTT RICHARD WALDO
Chief Investment Officer
$104,740
@ $104.74 · 2025-12-11
DIKER CHARLES M
Director
$155,635
@ $107.93 · 2025-12-01
HARRIS WALTER L
Director
$155,563
@ $107.88 · 2025-12-01
BERMAN ANN E
Director
$156,096
@ $108.10 · 2025-12-01
FRIBOURG PAUL J
Director
$155,923
@ $108.13 · 2025-12-01
DIKER CHARLES M
Director
$137,593
@ $96.76 · 2025-09-02
HARRIS WALTER L
Director
$137,396
@ $96.69 · 2025-09-02
BERMAN ANN E
Director
$137,465
@ $96.67 · 2025-09-02
FRIBOURG PAUL J
Director
$137,493
@ $96.69 · 2025-09-02
FRIBOURG PAUL J
Director
$113,068
@ $88.82 · 2025-06-03
DIKER CHARLES M
Director
$112,583
@ $88.37 · 2025-06-02
HARRIS WALTER L
Director
$113,157
@ $88.82 · 2025-06-02
BERMAN ANN E
Director
$113,068
@ $88.82 · 2025-06-02
SCOTT RICHARD WALDO
Chief Investment Officer
$792,950
@ $87.92 · 2025-05-08
DIKER CHARLES M
Director
$103,816
@ $86.73 · 2025-03-03
HARRIS WALTER L
Director
$103,983
@ $86.87 · 2025-03-03
WELTERS ANTHONY
Director
$103,983
@ $86.87 · 2025-03-03
BERMAN ANN E
Director
$104,019
@ $86.90 · 2025-03-03
FRIBOURG PAUL J
Director
$104,007
@ $86.89 · 2025-03-03
SCOTT RICHARD WALDO
Chief Investment Officer
$689,405
@ $84.60 · 2025-02-25
ALPERT MARC A
General Counsel
$382,680
@ $85.04 · 2025-02-11
TISCH JONATHAN M.
Retired
$639,494
@ $86.81 · 2025-02-07
TISCH ANDREW H
Divisional Officer
$1.37M
@ $84.67 · 2025-01-03
TISCH JONATHAN M.
Divisional Officer
$1.38M
@ $84.86 · 2025-01-02
DIKER CHARLES M
Director
$99,507
@ $86.83 · 2024-12-02
HARRIS WALTER L
Director
$99,278
@ $86.63 · 2024-12-02
FRIBOURG PAUL J
Director
$99,484
@ $86.81 · 2024-12-02
WELTERS ANTHONY
Director
$99,484
@ $86.81 · 2024-12-02
BERMAN ANN E
Director
$99,106
@ $86.48 · 2024-12-02
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
UNH
2
Sells (3M)
3
Sells (12M)
Total value (12M): $944,910
CONWAY PATRICK HUGH
Officer
$455,910
@ $390.00 · 2026-08-21
CONWAY PATRICK HUGH
Officer
$205,000
@ $410.00 · 2026-08-05
CONWAY PATRICK HUGH
Officer
$284,000
@ $355.00 · 2026-04-23
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

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L
FearGreed
😏Greed(64/100)

"Market is optimistic — be cautious and ensure you have a margin of safety"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
UNH
FearGreed
😏Greed(62/100)

"Market is optimistic — be cautious and ensure you have a margin of safety"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

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L
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Greed (64)
UNH
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Greed (62)
View L Full AnalysisView UNH Full Analysis

Frequently Asked Questions: L vs UNH

Is Loews Corporation or UnitedHealth Group Incorporated more undervalued in 2026?▼

Based on our discounted cash flow model, L trades at a 81.7% margin of safety (intrinsic value $610 vs. price $111), compared to UNH's -10.8% margin of safety (intrinsic $367 vs. $407).

Which stock has a wider economic moat, Loews Corporation or UnitedHealth Group Incorporated?▼

L scores 97/100 (Wide moat), while UNH scores 73/100 (Wide moat). The moat score measures competitive advantage durability across ROIC consistency, margin stability, revenue predictability, and reinvestment efficiency.

Is Loews Corporation in financial distress?▼

L's Altman Z-Score of 0.7 places it in the Distress zone, signaling elevated bankruptcy risk. UNH scores 2.9 (Grey zone). The Altman Z-Score is a five-factor model that predicts insolvency within two years; scores below 1.81 indicate significant distress.

Which company has better free cash flow, Loews Corporation or UnitedHealth Group Incorporated?▼

Loews Corporation (L) generates a 11.9% free cash flow yield, compared to UnitedHealth Group Incorporated's 7.3%. A higher FCF yield means the business converts more of its market value into cash that can be returned to shareholders or reinvested.

Which stock has higher return on invested capital, Loews Corporation or UnitedHealth Group Incorporated?▼

UNH earns 11.5% ROIC versus L's 7.4%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.

Which dividend is safer, Loews Corporation's or UnitedHealth Group Incorporated's?▼

L's dividend earns a safety score of 85/100 (Very Safe), compared to UNH's 84/100 (Very Safe). L has raised its dividend for 0 consecutive years.

L vs UNH: Which Is the Better Buy in 2026? | SafetyMargin.io