While the "vote of confidence" from Buffett's investment validates the long-term value of UnitedHealth shares, the "management needs to regain trust and credibility with investors, and get back to its beat and raise reputation of the past," said James Harlow, senior vice president at Novare Capital Management.

Berkshire’s Big Bet on UnitedHealth Berkshire Hathaway’s (NYSE:BRK-A)(NYSE:BRK-B) release yesterday of its latest 13F filing sent ripples through the market as it revealed a new 5 million share stake in UnitedHealth Group (NYSE:UNH) worth approximately $1.

UnitedHealth shares jumped 10 per cent in pre-market trading on Friday after Warren Buffett’s Berkshire Hathaway snapped up a stake in the troubled US healthcare group. The new investment, worth $1.6bn at the end of June, was disclosed in a filing late on Thursday detailing changes to Berkshire’s $268bn stock portfolio during the second quarter.