This investment signifies Buffett's re-entry into UNH after liquidating his entire position back in 2010, indicating that he perceives significant value at

UnitedHealth Group (UNH) stock is still down 40% YTD but has surged more than +20% this month following reports that Warren Buffett, and other billionaire hedge fund managers have taken a stake in the company.

UnitedHealth was a star stock late last week, when it was revealed that Warren Buffett's Berkshire Hathaway had taken a $1.6 billion stake in the company's equity. On Monday, lingering positive sentiment on UnitedHealth was boosted by that price target bump.

UNH stock soared after Warren Buffett’s Berkshire Hathaway revealed it bought shares of the healthcare company. Nonetheless, UnitedHealth faces a long list of unresolved issues.

Warren Buffett's Berkshire Hathaway built a $1.6 billion stake in UnitedHealth last quarter, marking one of its last wagers with the investor as CEO.

Warren Buffett's Berkshire Hathaway increased its holdings in UnitedHealth Group stock, and also added positions in D.R. Horton, Lamar Advertising, and Nucor.