Recently I published the list Billionaire Mario Gabelli’s 10 Large Cap Picks. In this article, we’ll look at where UnitedHealth Group Incorporated (NYSE: UNH) is responsible for the large cap picks of other billionaire Mario Gabelli.
Mario Gabelli didn’t need to be introduced, and was boosted by a research-driven stock investment style and rose to become one of Wall Street’s most successful money managers. Founded Gamco Investorspreviously Gabelli Asset Management Company, in 1977, the investment company grew to over $32 billion in managed assets with a portfolio of over 800 shares.
Therefore, Gamco is one of the most diverse hedge funds and is exposed to some of the largest and fastest growing market segments. For many years, Gabelli has relied on a value investment strategy focusing on stock trading below fair value. In return, he searches for a catalyst that could significantly increase the value of his inventory.
Some of the catalysts fund managers often look for include selling or spin-offs of their businesses. Mergers, industry consolidation, or regulatory changes also serve as tailwinds in promoting equity value. Value Investment Strategy has become the catalyst behind Gamco investors, achieving an impressive annual revenue of 16.3% since its inception.
Similarly, Gamco investors are well suited to take advantage of new opportunities across the stock market and pull back. The aftermath of stock market pressure amid the US tariff-fuel trade war has brought valuation levels back significantly.
President Donald Trump’s “liberation day” tariff announcement caused a major upheaval in the stock and bond markets, resulting in trillions of dollars in losses on investors’ wealth. The administration temporarily suspended most mutual tariffs on April 9 for 90 days, but the looming threat of the world trade war poses a risk to economic expansion. It could shift capital flows in the stock market.
Both policymakers and market players are also wary of the possibility of financial “accidents” that stem from unstable movements in the US Treasury market. Federal Reserve Chairman Jerome Powell warned that the current tariffs are “significantly greater than expected,” adding that “the same is likely to include economic impacts and increased growth.”
The tariffs imposed by US President Donald Trump and other countries’ reactions have created uncertainty in investors’ holdings. The tech stocks were the hardest hit of the tariff war after the long-standing blockbusters were promoted by the artificial intelligence frenzy.
Given the market slump, the expected increase in consumer costs, and the increased chances of a recession as a result of these tariffs, we have said in 2018 that “trade wars are beneficial and easy to win!”
Meanwhile, it is now the best time to take advantage of the stock market’s important pullbacks. With most stocks trading at discounted valuations above the historic average, it is possible that billionaire Mario Gabelli’s 10 large-cap picks have a big upside down potential.
Convert Gamco Investors SEC Q4 2024 13F filing to identify billionaire Mario Gabelli’s 10 large cap picks with great potential. They then settled on stocks with over 30% upside potential based on analyst ratings, analysing why the stock stands out. This list is sorted in ascending order according to the analyst’s expected rise chances.
Why are hedge funds interested in the stocks they accumulate? The reason is simple. Our research shows that mimic the top stock picks of the best hedge funds can outperform the market. Quarterly Newsletter’s strategy was to select 14 small and large caps per quarter, returning 373.4% since May 2014, surpassing the benchmark by 218 percentage points (For more information, please see here).
UnitedHealth Group Incorporated (UNH): Big handstand potential amid billionaire Mario Gabelli’s large cap pick
A senior medical professional who gives advice to clinic patients.
Gamco Investors Equity Stake: $1.48 million
Market capitalization as of May 5th: $3651.4 billion
Possibility of stock price rise as of May 5th: 39.57%
Number of hedge fund holders: 150
UnitedHealth Group Incorporated (NYSE: UNH) is a healthcare company that provides consumer health benefits plans and services to employers nationwide and public sector. Provide care delivery, management, wellness and consumer engagement, and health financial services. The stock acquired the crater until its worst day since 1998, as the unfortunate 2025 results caused a 22% sale. Jeffries has lowered its stock price target from $609 to $530 following the disappointing outcome, but the company still maintains its buy rating.
Medicare Advantage Company posted adjusted revenue of $7.20 at $7.20 against the expected $7.27. Similarly, revenues have missed an estimate of $111.6 billion and are now in the $10009.6 billion. UnitedHealth Group Incorporated (NYSE: UNH) has been forced to reduce its full-year earnings forecast from $26.50 to $26.50 per share due to higher than expected Medicare advantage costs.
Nevertheless, UnitedHealth Group is in a solid position to grow across its business line. Medicare Advantage served an additional 800,000 people in 2025, with the Optum Health Unit poised to add 650,000 net patients. Additionally, UnitedHealth Group Incorporated (NYSE: UNH) has received a boost after the US Centers for Medicare & Medicaid Services (CMS) confirmed a significant increase in Medicare Advantage payments in 2026. The agency confirmed the rate hikes that were more than twice the initial proposal.
Overall, UNH 3rd place There is a huge reverse chance for billionaire Mario Gabelli’s list of stock picks. While acknowledging the potential of UNH as an investment, our belief lies in the belief that AI stocks provide higher returns and hold a greater promise to do so within a shorter time frame. There have been AI stocks that have risen since the beginning of 2025, and the popular AI stocks have lost around 25%. If you are looking for more promising AI stocks than UNH, but are trading below 5x revenue, check out our report on this Cheapest AI stocks.
