UNH is a buy candidate for October based on stabilizing profits, attractive valuation, and technical support, pending confirmation of the recovery trend.

However, let's move on to the third stock, which is UnitedHealth, with the trading symbol UNH. This stock is completely different. United Health have gone through a real nightmare.

Healthcare usage, Medicare Advantage pressures, government scrutiny, fraud concerns, driving issues, and negative headlines one after

But this is where the investment becomes interesting, because ultimately we must separate the risks of headlines from the power of profits. UnitedHealth's last quarter showed signs of stabilization.

Revenues reached $112 billion, operating profit $8 billion, and adjusted earnings per share $6.38. Management even raised its full-year adjusted earnings per share forecast to $19.75 per share. This is important.

There are still regulatory risks, repayment risks , and other sector-specific risks that remain . In fact, the new policy changes relating to Medicare Advantage and enrollment in the Affordable Care Act (ACA) are still issues to be discussed.

And the next major test is fast approaching. United will announce its third-quarter earnings on October 13. Therefore, we will pay close attention to that.

Over the past twelve months, I've told you it's been a whirlwind. The stock rose by only 3%, but traded at lows in the 250 range and highs in the 460 range.

The stock currently has an Edge Score of 73. The stock is trading at a forward price-to-earnings ratio of 17.5 times, which is lower than its 5- year average of 19.7 times.

Analysts are also optimistic about the stock, setting a 12-month target price of approximately $475 per share, which implies a potential rise of more than 25%. The lowest target price in the market is the level at which the stock is currently trading.

So, I like this situation . For those interested in technical analysis, we are sitting just above the 200-day moving average , which may also provide a support zone for the stock .

So, from an October perspective , I'm interested in a mix of recovering earnings, low valuations compared to historical levels , and improved outlook. But the shift still needs to be confirmed, which is something we will be watching closely here in the next few weeks.

UnitedHealth, Transformation and Assessment.