UnitedHealth Group (UNH) stock is still down 40% YTD but has surged more than +20% this month following reports that Warren Buffett, and other billionaire hedge fund managers have taken a stake in the company.

UnitedHealth was a star stock late last week, when it was revealed that Warren Buffett's Berkshire Hathaway had taken a $1.6 billion stake in the company's equity. On Monday, lingering positive sentiment on UnitedHealth was boosted by that price target bump.

This investment signifies Buffett's re-entry into UNH after liquidating his entire position back in 2010, indicating that he perceives significant value at

Warren Buffett's Berkshire Hathaway built a $1.6 billion stake in UnitedHealth last quarter, marking one of its last wagers with the investor as CEO.

UNH stock soared after Warren Buffett’s Berkshire Hathaway revealed it bought shares of the healthcare company. Nonetheless, UnitedHealth faces a long list of unresolved issues.

Shares of UnitedHealth Group are surging before the market open Friday as Warren Buffett’s Berkshire Hathaway disclosed that it recently purchased shares of the beleaguered insurer.

Berkshire’s Big Bet on UnitedHealth Berkshire Hathaway’s (NYSE:BRK-A)(NYSE:BRK-B) release yesterday of its latest 13F filing sent ripples through the market as it revealed a new 5 million share stake in UnitedHealth Group (NYSE:UNH) worth approximately $1.

Warren Buffett's modus operandi is to wait for price dislocations to present themselves. In a historically pricey stock market, locating value has been virtually impossible. Yet, with UnitedHealth Group stock losing more than half its value since the midpoint of April, a rare price dislocation has emerged.

Warren Buffett's Berkshire Hathaway increased its holdings in UnitedHealth Group stock, and also added positions in D.R. Horton, Lamar Advertising, and Nucor.

UnitedHealth Group ($UNH) stock continues to be under pressure, down more than 50% since mid-April. Wall Street remains concerned about the health