An analyst reluctantly downgraded UnitedHealth’s stock, as the price plunge and a suspended full-year outlook was just too much to hold a bullish stance.

Even UnitedHealth will struggle to overcome parasitic medical costs that Warren Buffett once called a tapeworm eating away at U.S. economic competitiveness. The $300 billion healthcare conglomerate reinstalled Chairman Stephen Hemsley as CEO and yanked its financial guidance.

Nvidia and AMD extend gains after the chip makers sign deals with Saudi Arabia, shares of Super Micro Computer surge for a second day, and UnitedHealth claws back some losses from the previous session.

UnitedHealth CEO Andrew Witty is stepping down for personal reasons and the nation’s largest health insurer suspended its full-year financial outlook due to higher-than-expected medical costs. Chairman Stephen Hemsley will become CEO, effective immediately, the Minnesota company said.

The White House unveiled what it says is $600bn worth of defence and artificial intelligence deals with Saudi Arabia, UnitedHealth Group shares sink to the lowest level in more than four years, and US inflation fell to 2.3 per cent in April. Plus, Nissan plans to axe 15 per cent of its global workforce and almost halve its number of plants.

Stephen J. Hemsley returned as CEO after Andrew Witty's surprising decision to leave the insurance giant. UnitedHealth's stock fell 17% on Tuesday.

UnitedHealth Group shares rebounded modestly Wednesday following yesterday's crash, with analysts from UBS, Oppenheimer, and Morgan Stanley leaving their ratings unchanged after the health insurer pulled its outlook and announced its CEO had stepped down.

John Ransom, Raymond James director of healthcare research, joins 'Power Lunch' to discuss why Ransom has pause on shares of UnitedHealth, why the company withdrew its guidance, and much more.