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Compare Stocks › TGT vs UNH

Target Corporation (TGT) vs UnitedHealth Group Incorporated (UNH)

TGT
Target Corporation
$114.47
VS
UNH
UnitedHealth Group Incorporated
$280.44

Rewards

TGT
  • ★Target Corporation has maintained ROIC above 10% for 4 consecutive years, suggesting solid business economics.
  • ★Target Corporation scores 80/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.
  • ★Return on equity has consistently exceeded 20% over 4 years, indicating efficient use of shareholder capital.
UNH
  • ★5 insider purchases over the past 12 months with a buy/sell ratio above 3:1 — a sustained pattern of insider confidence.
  • ★Dividend yield of 3.15% with a consistent or growing payout over the past 4 years.

Risks

TGT
    UNH
    • ⚠ROIC has declined by 7.9 percentage points over the observed period, which may signal competitive erosion.
    • ⚠Gross margin of 18.5% is low, suggesting a competitive or commodity-like market with limited pricing power.
    • ⚠FCF yield of 5.4% suggests reasonable valuation assuming continued moderate growth.

    Key Valuation Metrics

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    TGT
    UNH
    Valuation
    $2.59B
    Free Cash Flow
    $13.86B
    5.00%
    FCF Yield
    5.45%
    14.08
    Trailing P/E
    21.18
    13.45
    Forward P/E
    14.08
    Quality & Moat
    11.15%
    ROIC
    0.64%
    22.92%
    ROE
    11.85%
    27.93%
    Gross Margin
    18.53%
    N/A
    PEG Ratio
    N/A
    Balance Sheet Safety
    1.26
    Debt / Equity
    0.82
    N/A
    Interest Coverage
    N/A
    1.83
    Net Debt / EBITDA
    2.54
    3.98%
    Dividend Yield
    3.15%
    TGT: 6Ties: 2UNH: 3
    TGTUNH

    Historical Fundamentals

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    TGT

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    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.

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    $1 Retained Earnings Test

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    TGT
    $-2.36
    created per $1 retained over 3 years
    Market Cap Declined
    Σ Retained
    $5.82B
    Δ Market Cap
    $-13.73B
    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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    TGT
    12.2% Margin of Safety
    Price is 12.2% below estimated fair value
    Current Price: $114.47
    Fair Value: $130.31
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued
    UNH
    4.9% Margin of Safety
    Price is 4.9% below estimated fair value
    Current Price: $280.44
    Fair Value: $294.90
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued

    Reverse DCF — Market-Implied Growth

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    TGT

    What growth rate is the market pricing in at $114?

    +6.3%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +11.1%

    The market implies +6.3% Owner Earnings growth, below historical trends — potential opportunity.

    Standard FCF implies a more demanding +11.1%, reflecting heavy growth investment expected to generate future returns.

    UNH

    What growth rate is the market pricing in at $280?

    +11.1%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +9.2%

    The market implies +11.1% Owner Earnings growth, above historical trends.

    Standard FCF implies a demanding +9.2%, reflecting heavy growth investment.

    Economic Moat Score

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    TGT
    80/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat with strength across all dimensions. ROIC Consistency is the standout factor.

    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
    64/100
    Narrow Moat
    70+ Wide · 40-69 Narrow · <40 None

    Narrow moat with revenue predictability as the key competitive advantage. Improving margin stability would strengthen the moat.

    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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    TGT
    -2.33
    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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    TGT
    Insiders 0.3%Institutions 86.1%Retail & Other 13.6%
    No. of Institutional Holders2,240
    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 0.8%Institutions 84.2%Retail & Other 14.9%
    No. of Institutional Holders4,244
    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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    TGT
    0
    Buys (3M)
    0
    Buys (12M)
    No open market insider purchases found.
    Open market purchases · includes direct & indirect ownership · excludes option exercises
    UNH
    0
    Buys (3M)
    5
    Buys (12M)
    Total value (12M): $31.61M
    REX JOHN F
    President
    $5.00M
    @ $291.12 · 2025-05-16
    HEMSLEY STEPHEN J
    Chief Executive Officer
    $25.02M
    @ $288.57 · 2025-05-16
    GIL KRISTEN
    Director
    $1.00M
    @ $271.17 · 2025-05-15
    FLYNN TIMOTHY PATRICK
    Director
    $491,786
    @ $320.80 · 2025-05-14
    NOSEWORTHY JOHN H
    Director
    $93,647
    @ $312.16 · 2025-05-14
    FLYNN TIMOTHY PATRICK
    Director
    $511,575
    @ $511.57 · 2025-01-17
    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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    TGT
    0
    Sells (3M)
    1
    Sells (12M)
    Total value (12M): $206,245
    LIEGEL MATTHEW A
    Officer
    $206,245
    @ $100.90 · 2025-06-10
    LIEGEL MATTHEW A
    Officer
    $32,580
    @ $113.52 · 2025-03-07
    GOMEZ RICHARD H
    Officer
    $997,715
    @ $157.17 · 2024-09-27
    LIEGEL MATTHEW A
    Officer
    $153,130
    @ $153.13 · 2024-08-30
    LIU DON H
    Officer
    $1.00M
    @ $160.00 · 2024-08-22
    HENNINGTON CHRISTINA
    Officer
    $786,048
    @ $170.88 · 2024-03-21
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
    UNH
    0
    Sells (3M)
    1
    Sells (12M)
    Total value (12M): $179,645
    CONWAY PATRICK HUGH M.D.
    Chief Executive Officer
    $179,645
    @ $305.00 · 2025-06-10
    MCSWEENEY ERIN L
    Officer
    $438,987
    @ $626.23 · 2024-11-11
    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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    TGT
    FearGreed
    😐Neutral(57/100)

    "Market is pricing this stock without strong emotion in either direction"

    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
    😨Fear(37/100)

    "Market is pessimistic — investigate whether fears are temporary or structural"

    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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    TGT
    ⚪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: Neutral (57)
    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: Fear (37)
    View TGT Full AnalysisView UNH Full Analysis