UnitedHealth Group Inc., the largest U.S. health insurer, said it may pull out of the Obamacare insurance exchange market and cut its earnings estimate for the year.
The stock slumped in early trading.
“The company is evaluating the viability of the insurance exchange product segment and will determine during the first half of 2016 to what extent it can continue to serve the public exchange markets in 2017,” UnitedHealth said in a statement.
The shares fell 6.6 percent to $109.5 in trading before U.S. exchanges opened.
Insurers have struggled to profit from the government-run marketplace created by Obamacare. Anthem Inc. last month said some rivals were offering premiums too low to provide the coverage patients require and book a profit.