UNITED THERAPEUTICS CORP (UTHR)
US91307C1027 - Common Stock
UTHR gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 586 industry peers in the Biotechnology industry. Both the health and profitability get an excellent rating, making UTHR a very profitable company, without any liquidiy or solvency issues. UTHR is valued quite cheap, while showing a decent growth score. This is a good combination! This makes UTHR very considerable for value and quality investing!
1. Profitability
1.1 Basic Checks
In the past year UTHR was profitable.
UTHR had a positive operating cash flow in the past year.
UTHR had positive earnings in 4 of the past 5 years.
UTHR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
UTHR's Return On Assets of 16.17% is amongst the best of the industry. UTHR outperforms 98.46% of its industry peers.
UTHR has a better Return On Equity (19.68%) than 97.27% of its industry peers.
With an excellent Return On Invested Capital value of 17.20%, UTHR belongs to the best of the industry, outperforming 98.29% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for UTHR is below the industry average of 14.94%.
The last Return On Invested Capital (17.20%) for UTHR is above the 3 year average (12.87%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.17% | ||
| ROE | 19.68% | ||
| ROIC | 17.2% |
ROA(3y)11.66%
ROA(5y)8.69%
ROE(3y)14.55%
ROE(5y)11.01%
ROIC(3y)12.87%
ROIC(5y)12.67%
1.3 Margins
UTHR's Profit Margin of 42.05% is amongst the best of the industry. UTHR outperforms 99.49% of its industry peers.
In the last couple of years the Profit Margin of UTHR has grown nicely.
With an excellent Operating Margin value of 50.45%, UTHR belongs to the best of the industry, outperforming 99.83% of the companies in the same industry.
In the last couple of years the Operating Margin of UTHR has remained more or less at the same level.
UTHR has a Gross Margin of 88.87%. This is amongst the best in the industry. UTHR outperforms 92.65% of its industry peers.
UTHR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 50.45% | ||
| PM (TTM) | 42.05% | ||
| GM | 88.87% |
OM growth 3Y8.46%
OM growth 5Y0.63%
PM growth 3Y6.83%
PM growth 5Y3.17%
GM growth 3Y-1.38%
GM growth 5Y0.26%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), UTHR is creating value.
UTHR has more shares outstanding than it did 1 year ago.
UTHR has more shares outstanding than it did 5 years ago.
UTHR has a better debt/assets ratio than last year.
2.2 Solvency
UTHR has an Altman-Z score of 9.14. This indicates that UTHR is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of UTHR (9.14) is better than 85.13% of its industry peers.
UTHR has a debt to FCF ratio of 0.80. This is a very positive value and a sign of high solvency as it would only need 0.80 years to pay back of all of its debts.
UTHR has a Debt to FCF ratio of 0.80. This is amongst the best in the industry. UTHR outperforms 96.41% of its industry peers.
UTHR has a Debt/Equity ratio of 0.04. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.04, UTHR is in line with its industry, outperforming 40.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.8 | ||
| Altman-Z | 9.14 |
ROIC/WACC1.95
WACC8.83%
2.3 Liquidity
A Current Ratio of 3.77 indicates that UTHR has no problem at all paying its short term obligations.
With a Current ratio value of 3.77, UTHR perfoms like the industry average, outperforming 41.88% of the companies in the same industry.
A Quick Ratio of 3.64 indicates that UTHR has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 3.64, UTHR is in line with its industry, outperforming 41.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.77 | ||
| Quick Ratio | 3.64 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 42.42% over the past year.
UTHR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.08% yearly.
UTHR shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.09%.
Measured over the past years, UTHR shows a small growth in Revenue. The Revenue has been growing by 7.41% on average per year.
EPS 1Y (TTM)42.42%
EPS 3Y19.66%
EPS 5Y8.08%
EPS growth Q2Q26.95%
Revenue 1Y (TTM)26.09%
Revenue growth 3Y16.2%
Revenue growth 5Y7.41%
Revenue growth Q2Q33.7%
3.2 Future
Based on estimates for the next years, UTHR will show a small growth in Earnings Per Share. The EPS will grow by 4.62% on average per year.
Based on estimates for the next years, UTHR will show a quite strong growth in Revenue. The Revenue will grow by 8.76% on average per year.
EPS Next Y23.58%
EPS Next 2Y13.06%
EPS Next 3Y10.39%
EPS Next 5Y4.62%
Revenue Next Year17.84%
Revenue Next 2Y11.09%
Revenue Next 3Y10.63%
Revenue Next 5Y8.76%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 12.97, UTHR is valued correctly.
UTHR's Price/Earnings ratio is rather cheap when compared to the industry. UTHR is cheaper than 98.12% of the companies in the same industry.
UTHR's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.60.
UTHR is valuated reasonably with a Price/Forward Earnings ratio of 10.82.
Based on the Price/Forward Earnings ratio, UTHR is valued cheaper than 97.61% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.15. UTHR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.97 | ||
| Fwd PE | 10.82 |
4.2 Price Multiples
98.46% of the companies in the same industry are more expensive than UTHR, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UTHR indicates a rather cheap valuation: UTHR is cheaper than 98.29% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.16 | ||
| EV/EBITDA | 6.53 |
4.3 Compensation for Growth
UTHR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of UTHR may justify a higher PE ratio.
PEG (NY)0.55
PEG (5Y)1.6
EPS Next 2Y13.06%
EPS Next 3Y10.39%
5. Dividend
5.1 Amount
UTHR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
UNITED THERAPEUTICS CORP
NASDAQ:UTHR (5/17/2024, 7:00:02 PM)
After market: 274.26 0 (0%)274.26
+2.04 (+0.75%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap12.16B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
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Surprises & Revisions
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.97 | ||
| Fwd PE | 10.82 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
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FCF(TTM)
FCFY
OCF(TTM)
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SpS
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PEG (NY)0.55
PEG (5Y)1.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.17% | ||
| ROE | 19.68% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 50.45% | ||
| PM (TTM) | 42.05% | ||
| GM | 88.87% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.77 | ||
| Quick Ratio | 3.64 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)42.42%
EPS 3Y19.66%
EPS 5Y
EPS growth Q2Q
EPS Next Y23.58%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)26.09%
Revenue growth 3Y16.2%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
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EBIT growth 3Y
EBIT growth 5Y
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