The article compares Abbott Laboratories (ABT), a maker of medical devices, diagnostics and nutrition products, with UnitedHealth Group (UNH), which runs the UnitedHealthcare insurance arm and Optum health services. In FY 2025 Abbott's revenue rose about 6% to $44.3 billion, but net income fell to about $6.5 billion from $13.4 billion, largely due to a $385 million settlement. UnitedHealth's revenue grew nearly 12% to about $447.6 billion, while net income dropped to about $12.1 billion from $14.4 billion, a net margin of about 2.7%. Medicaid and Medicare premiums made up 44% of UnitedHealth's 2025 revenue, exposing it to government policy, while Abbott faces FDA oversight and debt from its $20 billion acquisition of Exact Sciences. Free cash flow was about $7.4 billion for Abbott and about $16.1 billion for UnitedHealth in FY 2025.
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Original headline: Abbott Laboratories vs . UnitedHealth : Does Health Innovation or Health Insurance Make for a Better Stock to Buy ?
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