UnitedHealth Group

Capital allocation at UNH has been shareholder-friendly and strategic. The company invests heavily in growing segments (e.g. Optum’s care delivery acquisitions) but also returns large amounts of cash.

UNH has consistently bought back stock: net repurchases were ~$7.2B in 2024 (and ~$4.96B in just Q2 2025 alone), indicating management’s willingness to leverage balance sheet for buybacks when shares seem undervalued.

Acquisitions have generally been disciplined: they acquired health-tech and care businesses (LHC Group, etc.) expected to fit into Optum’s model. Dilution from stock-based comp appears modest relative to buybacks. Dividends, while modest (yield ~3.3%), are a tertiary use of capital.

In sum, UNH has efficiently reinvested in growth; used M&A to bolster its platform; and employed large buybacks to enhance shareholder value when appropriate. This judicious capital allocation earns a high score.