UnitedHealth Group (NYSE: UNH) stock has had a rough ride in 2025, plunging 40% year-to-date. Despite the turmoil, members of Congress have continued to buy shares.
There have been 19 Congress trades in 2025 alone, spanning both sides of the aisle, even as most of these positions are already underwater.
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The buying began in early February, peaking around when UnitedHealth faced its most severe challenges.
Among the most notable buyers is Rep. Michael McCaul, a Republican from Texas, who made several large purchases ranging from $15,000 to $100,000.
Democratic Rep. Ro Khanna of California also bought shares in March, April, and May, despite the stock’s continued decline. Other lawmakers who invested during this volatile stretch include Marjorie Taylor Greene, Gilbert Cisneros, Jefferson Shreve, and Bruce Westerman.
Based on the public transaction disclosures, many of these trades are now at a loss, with estimated returns ranging from -10% to -65%. As of press time, UNH stock was trading at $302.
UnitedHealth troubles
What makes the timing particularly interesting is that the Congress trades accelerated just as UnitedHealth’s problems became public.
The troubles began on May 13, when CEO Andrew Witty abruptly resigned, citing personal reasons. This move was widely interpreted as signaling deeper instability within the company.
Days later, UnitedHealth suspended its full-year 2025 guidance, blaming rising medical costs and higher healthcare utilization, particularly in its Medicare Advantage segment. The announcement fueled concerns about shrinking margins and growing financial pressure.
Then, on May 15, The Wall Street Journal reported that the Department of Justice had launched a criminal investigation into UnitedHealth’s Medicare Advantage billing practices. The company denied receiving formal notice and called the report “deeply irresponsible,” but investors reacted strongly.
Former CEO Stephen Hemsley has since returned, expressing disappointment in the company’s trajectory but reaffirming confidence in its long-term value.
Now that politicians are splashing on the stock, it remains to be seen whether the transactions are high-conviction bets on a distressed healthcare gain or stepping into a value trap.
Featured image via Shutterstock
