Who Owns UnitedHealth: The Largest Shareholders Overview
UnitedHealth Group Incorporated (UNH) is one of the largest companies in the world. It makes money mainly from providing health insurance, healthcare services, software solutions for healthcare providers, and also from operating a network of pharmacies. Let’s look at who owns UnitedHealth and who controls it.
UnitedHealth’s largest shareholders are asset manager giant Vanguard, which owns a 9.0% share, followed by asset manager giant BlackRock (8.0%) and asset manager Fidelity (5.2%). No other shareholder holds more than 5% of the company.
 UnitedHealth's Largest Shareholders (Dec 2022)
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| Shareholder | Ownership | Voting Power | |
|---|---|---|---|
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Vanguard | 9.0% | 9.0% |
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BlackRock | 8.0% | 8.0% |
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Fidelity | 5.2% | 5.2% |
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Other | 77.8% | 77.8% |
| Listed are shareholders holding >5% of any share class or notable in other ways | |||
 Source: Multiple SEC filings |
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In this article, I will dive more into who owns UnitedHealth and who controls it. I will show you who UnitedHealth’s largest shareholders are, how many shares and votes they have, and how much their stake is worth.
If you are interested, you can also explore who owns other companies like Exxon Mobil, Apple, PayPal, Berkshire Hathaway, Visa, and other articles about who owns who.
📃 Who Owns UnitedHealth?
UnitedHealth is owned by its shareholders. The largest ones are asset manager giant Vanguard, which owns 9.0% of the company, followed by asset manager giant BlackRock with an 8.0% ownership share, and asset manager Fidelity with 5.2% ownership.
No shareholder has dominant ownership in the company. UnitedHealth’s ownership is dispersed, and the largest owners are asset managers who invest money on behalf of their clients.
- It is not surprising to see Vanguard and BlackRock among the top shareholders. They are the largest asset managers worldwide, and it is common to see them among the top shareholders of large public companies.
UnitedHealth was founded in 1974 by Taylor Burke and has been a publicly listed company since 1984 (Ticker: UNH).
- UnitedHealth was founded in 1974 by Richard Taylor Burke as Charter Med.
- In 1977, it was reorganized into United HealthCare Corporation, and in 1998, reorganized again into a holding of independent companies and renamed UnitedHealth Group.
- UnitedHealth started as a small company but, through multiple acquisitions, grew into a healthcare giant.
- Richard Burke left the company board in 2022.
UnitedHealth Group Incorporated is incorporated in the State of Delaware (US), and its headquarters are in Minnetonka, Minnesota (US).
At one time, Warren Buffett’s company Berkshire Hathaway had a stake in UnitedHealth Group. However, it does not own it anymore.
UnitedHealth Group was involved in many controversies ranging from Medicare over-billing, backdating stock options, or fighting against US healthcare reforms.
🎮 Who Controls UnitedHealth (UNH)?
UnitedHealth’s shareholders with the largest voting power are asset manager giant Vanguard, which holds 9.0% of all votes, followed by asset manager giant BlackRock with 8.0% voting power, and asset manager Fidelity (5.2%).
UnitedHealth has only one class of outstanding shares, with one vote per share. Therefore, there is no difference between the shareholder’s ownership and voting power.
The ownership of UnitedHealth Group Incorporated is quite dispersed, and the main shareholders are asset managers investing money on behalf of their clients. None of them control the company individually, but together they have a big influence.
UnitedHealth’s dispersed ownership creates conflicts of interest between UnitedHealth’s management, asset manager’s management, and the ultimate underlying investors that asset managers represent. In situations like these, insiders of the large asset manager shareholders and insiders of the company hold significant power over it.
UnitedHealth Group gave the world a good example of what the conflicts of interest mentioned above can result into. Its 2006 stock option backdating scandal was one way these conflicts could materialize.
UnitedHealth’s insiders that have influence over the company are CEO Andrew Witty, chairman of the board Stephen J. Hemsley, and other board members and executives.
- UnitedHealth currently has a 9-member board of directors.
- Founder Richard Burke, who also served as CEO and later chairman, owns 0.15% of the company. An even bigger stake has ex-CEO and current chairman Stephen J. Hemsley, who owns 0.2% of the company.
- Nobody else from the board of directors or executive officers holds more than a 0.05% share of UnitedHealth’s stocks.
- Richard Burke left the company board in 2022
🗳️ Breakdown of UnitedHealth’s Outstanding Shares and Votes by Top Shareholders
UnitedHealth Group Incorporated had a total of 934 million outstanding shares as of December 2022. The following table shows how many shares each UnitedHealth’s large shareholder holds.
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UnitedHealth's Outstanding Shares by Shareholder
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| In millions of shares as of December 2022 | ||||
| Shareholder | Class A | Total | % Share | |
|---|---|---|---|---|
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Vanguard | 84.1 | 84.1 | 9.0% |
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BlackRock | 74.4 | 74.4 | 8.0% |
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Fidelity | 48.9 | 48.9 | 5.2% |
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Other | 726.6 | 726.6 | 77.8% |
| Total (# millions) | 934.0 | 934.0 | 100.0% | |
| Listed are shareholders holding >5% of any share class or notable in other ways | ||||
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Source: Multiple SEC filings |
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There were 934 million votes distributed among shareholders of UnitedHealth Group Incorporated. The table below shows the total number of votes for each large shareholder.
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UnitedHealth's Vote Control by Shareholder
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| In millions of votes as of December 2022 | ||||
| Shareholder | Class A | Total | % Share | |
|---|---|---|---|---|
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Vanguard | 84.1 | 84.1 | 9.0% |
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BlackRock | 74.4 | 74.4 | 8.0% |
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Fidelity | 48.9 | 48.9 | 5.2% |
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Other | 726.6 | 726.6 | 77.8% |
| Total (# millions) | 934.0 | 934.0 | 100.0% | |
| Listed are shareholders holding >5% of any share class or notable in other ways | ||||
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Source: Multiple SEC filings |
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💵 Breakdown of UnitedHealth’s Market Value by Shareholder
The following table summarizes how much is each shareholder’s stake in UnitedHealth Group Incorporated worth.
However, keep in mind that a stake in UnitedHealth could be just one part of their portfolio, and their total worth could be bigger, thanks to other investments. It could also be lower if they have debts.
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UnitedHealth's Market Value by Shareholder
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| Market value in billions $ as of December 2022 | ||||
| Shareholder | Class A | Total | % Share | |
|---|---|---|---|---|
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Vanguard | $44.6 | $44.6 | 9.0% |
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BlackRock | $39.5 | $39.5 | 8.0% |
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Fidelity | $25.9 | $25.9 | 5.2% |
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Other | $385.2 | $385.2 | 77.8% |
| Total ($ billions) | $495.2 | $495.2 | 100.0% | |
| Listed are shareholders holding >5% of any share class or notable in other ways | ||||
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Source: Multiple SEC filings |
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Let’s now look at each UnitedHealth shareholder individually.
📒 Who Are UnitedHealth’s Largest Shareholders?
Let’s now go through the list of the largest shareholders of UnitedHealth Group Incorporated one by one and look at who they are, how many shares they own, what is their voting power, and how much is their stake in UnitedHealth worth.
#1 Vanguard (9.0%)
Vanguard is the largest shareholder of UnitedHealth, owning 9.0% of its shares. As of December 2022, the market value of Vanguard’s stake in UnitedHealth was $44.6 billion.
Vanguard owned 84 million shares in UnitedHealth and controlled 84 million shareholder votes as of December 2022.
Vanguard (The Vanguard Group) is one of the largest asset managers in the world. It manages other people’s money through its mutual funds and exchange-traded funds and also offers other related investing and financial planning services.
Vanguard differs from other large asset managers by having no actual “owner .” Officially Vanguard says that its investors own it since its funds own it, and Vanguard fund investors own those funds.
However, the actual decision power is in the hands of Vanguard’s insiders since the ownership is diluted over millions of investors worldwide.
Vanguard has significant influence over the largest public companies. Thanks to its size, Vanguard usually belongs to the largest shareholders in those companies and has considerable power at their shareholder meetings. This is especially true if ownership is diluted.
- Several terms were coined to describe this issue. Some call it asset manager capitalism, and popular is also the power of twelve. Financial Times even put together who exactly those twelve people might be.
- Evidence shows that big asset managers usually vote together with management.
#2 BlackRock (8.0%)
BlackRock is the second-largest shareholder of UnitedHealth, owning 8.0% of its shares. As of December 2022, the market value of BlackRock’s stake in UnitedHealth was $39.5 billion.
BlackRock owned 74 million shares in UnitedHealth and controlled 74 million shareholder votes as of December 2022.
BlackRock, Inc. is the world’s largest asset manager, with assets under management of $10 trillion. BlackRock is not only an asset manager, but it also provides other asset managers and corporations with its Aladdin portfolio management software.
BlackRock is a publicly traded company, and its largest shareholders are its competitors, including BlackRock itself. Not directly but through their passive and active funds. The largest shareholder is Vanguard.
A similar situation is also true in the opposite direction because BlackRock is a significant shareholder in many of its publicly traded competitors and other large institutions, making the whole thing even more eyebrow-raising.
This circular ownership between Vanguard, BlackRock, and other large asset managers, amplifies the issue often raised about the power of these large asset managers over public companies since they usually belong to the most significant shareholders with large voting power.
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In the case of Blackrock, this influence is personified in the form of its CEO Larry Fink, who is a powerful figure with close ties to the FED and the US government.
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Adding to these concerns is evidence that BlackRock and other asset managers usually vote in favor of management proposals.
#3 Fidelity (5.2%)
Fidelity is the third-largest shareholder of UnitedHealth, owning 5.2% of its shares. As of December 2022, the market value of Fidelity’s stake in UnitedHealth was $25.9 billion.
Fidelity owned 49 million shares in UnitedHealth and controlled 49 million shareholder votes as of December 2022.
Fidelity (FMR LLC) is one of the four largest asset managers in the world, together with BlackRock, Vanguard, and State Street. Fidelity is controlled by the Jonhson family, holding 49% of the voting power.
Fidelity is currently managed by Abigail Johnson after her father, Edward Johnson III, died in 2022.
An interesting fact is that in 2004 Abigail pulled a pretty bold move on her further when she tried to oust him from the company. The attempt was unsuccessful then, but she holds the reins now.
Like other large asset managers, Fidelity is not free from potential conflicts of interest.
❔ Does UnitedHealth Group own Optum?
Yes, Optum is a business unit of UnitedHealth Group. It was created in 2011 and focuses on non-insurance-related activities, while the UnitedHealth brand is mainly about providing health insurance.
Optum business consists of providing healthcare services, running a network of pharmacies, and also providing services and software for healthcare providers.
🧱 Who and When Founded UnitedHealth?
UnitedHealth Group Incorporated was founded in 1974 by Richard Burke as Charter Med. Burke became the first CEO and later server also and chairman of the board. He left the company board in 2022.
UnitedHealth size snowballed over the years, mainly due to many acquisitions. Today it is one of the largest companies in the world and the largest healthcare company in the world.
📅 UnitedHealth’s History Timeline
These are selected events from UnitedHealth’s history:
- 1974: UnitedHealth was founded by Richard Burke as Charter Med
- 1977: The company was reorganized into United HealthCare Corporation
- 1984: UnitedHealth shares became publicly traded, and Richard Burke stepped down as CEO
- 1998: Reorganized into the holding of independent companies and renamed to UnitedHealth Group
- 2006: CEO William W. McGuire was forced to resign due to involvement in a stock option backdating scandal.
- 2022: Richard Burke, founder, ex-CEO, and ex-Chairman, leaves the company.
- 2022: UnitedHealth Group closes its acquisition of Change Healthcare after DOJ failed to stop the deal
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Other Resources
- UnitedHealth’s Annual Financials Statements (K-10)
- UnitedHealth’s Proxy Statement
- UnitedHealth’s Certificate of Incorporation
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