UNITED THERAPEUTICS CORP (UTHR) Stock Fundamental Analysis
USA - NASDAQ:UTHR - US91307C1027 - Common Stock
403.68 USD
+5.71 (+1.43%)
403.68 USD
0 (0%)
We assign a fundamental rating of 7 out of 10 to UTHR. UTHR was compared to 540 industry peers in the Biotechnology industry. UTHR scores excellent points on both the profitability and health parts. This is a solid base for a good stock. A decent growth rate in combination with a cheap valuation! Better keep an eye on UTHR. These ratings would make UTHR suitable 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.
In the past 5 years UTHR has always been profitable.
In the past 5 years UTHR always reported a positive cash flow from operatings.
1.2 Ratios
UTHR's Return On Assets of 15.71% is amongst the best of the industry. UTHR outperforms 95.93% of its industry peers.
UTHR has a better Return On Equity (17.31%) than 94.81% of its industry peers.
UTHR has a Return On Invested Capital of 16.17%. This is amongst the best in the industry. UTHR outperforms 96.48% of its industry peers.
UTHR had an Average Return On Invested Capital over the past 3 years of 14.96%. This is in line with the industry average of 15.95%.
The last Return On Invested Capital (16.17%) for UTHR is above the 3 year average (14.96%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.71% | ||
| ROE | 17.31% | ||
| ROIC | 16.17% |
ROA(3y)14%
ROA(5y)12.47%
ROE(3y)16.72%
ROE(5y)15.47%
ROIC(3y)14.96%
ROIC(5y)13.31%
1.3 Margins
The Profit Margin of UTHR (40.36%) is better than 97.96% of its industry peers.
UTHR's Profit Margin has improved in the last couple of years.
UTHR has a Operating Margin of 50.06%. This is amongst the best in the industry. UTHR outperforms 99.63% of its industry peers.
UTHR's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 88.98%, UTHR belongs to the best of the industry, outperforming 90.37% of the companies in the same industry.
UTHR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 50.06% | ||
| PM (TTM) | 40.36% | ||
| GM | 88.98% |
OM growth 3Y7.2%
OM growth 5Y2.85%
PM growth 3Y13.74%
PM growth 5YN/A
GM growth 3Y-1.27%
GM growth 5Y-0.58%
2. Health
2.1 Basic Checks
UTHR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, UTHR has less shares outstanding
Compared to 5 years ago, UTHR has more shares outstanding
UTHR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 17.63 indicates that UTHR is not in any danger for bankruptcy at the moment.
UTHR's Altman-Z score of 17.63 is amongst the best of the industry. UTHR outperforms 90.93% of its industry peers.
UTHR has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 17.63 |
ROIC/WACC1.69
WACC9.59%
2.3 Liquidity
UTHR has a Current Ratio of 7.26. This indicates that UTHR is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of UTHR (7.26) is better than 70.19% of its industry peers.
A Quick Ratio of 6.94 indicates that UTHR has no problem at all paying its short term obligations.
UTHR has a Quick ratio of 6.94. This is in the better half of the industry: UTHR outperforms 68.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 7.26 | ||
| Quick Ratio | 6.94 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.74% over the past year.
Measured over the past years, UTHR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.88% on average per year.
The Revenue has grown by 17.62% in the past year. This is quite good.
UTHR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.71% yearly.
EPS 1Y (TTM)17.74%
EPS 3Y34.86%
EPS 5Y16.88%
EPS Q2Q%9.57%
Revenue 1Y (TTM)17.62%
Revenue growth 3Y19.52%
Revenue growth 5Y14.71%
Sales Q2Q%11.71%
3.2 Future
UTHR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.46% yearly.
The Revenue is expected to grow by 6.73% on average over the next years.
EPS Next Y12.62%
EPS Next 2Y7.94%
EPS Next 3Y5.16%
EPS Next 5Y11.46%
Revenue Next Year11.6%
Revenue Next 2Y8.44%
Revenue Next 3Y7.31%
Revenue Next 5Y6.73%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 15.76, UTHR is valued correctly.
95.37% of the companies in the same industry are more expensive than UTHR, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.20. UTHR is valued slightly cheaper when compared to this.
UTHR is valuated correctly with a Price/Forward Earnings ratio of 14.08.
UTHR's Price/Forward Earnings ratio is rather cheap when compared to the industry. UTHR is cheaper than 95.00% of the companies in the same industry.
UTHR's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.76 | ||
| Fwd PE | 14.08 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UTHR indicates a rather cheap valuation: UTHR is cheaper than 96.85% of the companies listed in the same industry.
95.74% of the companies in the same industry are more expensive than UTHR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.05 | ||
| EV/EBITDA | 8.33 |
4.3 Compensation for Growth
UTHR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
UTHR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.25
PEG (5Y)0.93
EPS Next 2Y7.94%
EPS Next 3Y5.16%
5. Dividend
5.1 Amount
UTHR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
403.68
+5.71 (+1.43%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners100.6%
Inst Owner Change-1.82%
Ins Owners1.76%
Ins Owner Change5.46%
Market Cap18.26B
Analysts79.05
Price Target472.79 (17.12%)
Short Float %6.08%
Short Ratio3.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.95%
Min EPS beat(2)-9.46%
Max EPS beat(2)-0.45%
EPS beat(4)0
Avg EPS beat(4)-4.06%
Min EPS beat(4)-9.46%
Max EPS beat(4)-0.45%
EPS beat(8)3
Avg EPS beat(8)-1.6%
EPS beat(12)6
Avg EPS beat(12)-0.99%
EPS beat(16)7
Avg EPS beat(16)-3.25%
Revenue beat(2)1
Avg Revenue beat(2)2.03%
Min Revenue beat(2)-2.65%
Max Revenue beat(2)6.71%
Revenue beat(4)2
Avg Revenue beat(4)0.97%
Min Revenue beat(4)-2.65%
Max Revenue beat(4)6.71%
Revenue beat(8)6
Avg Revenue beat(8)2.26%
Revenue beat(12)8
Avg Revenue beat(12)1.8%
Revenue beat(16)10
Avg Revenue beat(16)1.71%
PT rev (1m)23.13%
PT rev (3m)18.35%
EPS NQ rev (1m)1.15%
EPS NQ rev (3m)-1.12%
EPS NY rev (1m)-3.06%
EPS NY rev (3m)-1.79%
Revenue NQ rev (1m)-0.67%
Revenue NQ rev (3m)-2.12%
Revenue NY rev (1m)-0.58%
Revenue NY rev (3m)-0.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.76 | ||
| Fwd PE | 14.08 | ||
| P/S | 5.93 | ||
| P/FCF | 17.05 | ||
| P/OCF | 13.31 | ||
| P/B | 2.55 | ||
| P/tB | 2.59 | ||
| EV/EBITDA | 8.33 |
EPS(TTM)25.62
EY6.35%
EPS(NY)28.66
Fwd EY7.1%
FCF(TTM)23.68
FCFY5.87%
OCF(TTM)30.32
OCFY7.51%
SpS68.05
BVpS158.6
TBVpS156.14
PEG (NY)1.25
PEG (5Y)0.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.71% | ||
| ROE | 17.31% | ||
| ROCE | 20.88% | ||
| ROIC | 16.17% | ||
| ROICexc | 27.55% | ||
| ROICexgc | 28.28% | ||
| OM | 50.06% | ||
| PM (TTM) | 40.36% | ||
| GM | 88.98% | ||
| FCFM | 34.8% |
ROA(3y)14%
ROA(5y)12.47%
ROE(3y)16.72%
ROE(5y)15.47%
ROIC(3y)14.96%
ROIC(5y)13.31%
ROICexc(3y)29.18%
ROICexc(5y)24.89%
ROICexgc(3y)30.03%
ROICexgc(5y)25.71%
ROCE(3y)19.31%
ROCE(5y)17.18%
ROICexcg growth 3Y23.22%
ROICexcg growth 5Y4.92%
ROICexc growth 3Y22.46%
ROICexc growth 5Y5.97%
OM growth 3Y7.2%
OM growth 5Y2.85%
PM growth 3Y13.74%
PM growth 5YN/A
GM growth 3Y-1.27%
GM growth 5Y-0.58%
F-Score6
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 376.79% | ||
| Cap/Sales | 9.76% | ||
| Interest Coverage | 58.37 | ||
| Cash Conversion | 84.62% | ||
| Profit Quality | 86.22% | ||
| Current Ratio | 7.26 | ||
| Quick Ratio | 6.94 | ||
| Altman-Z | 17.63 |
F-Score6
WACC9.59%
ROIC/WACC1.69
Cap/Depr(3y)347.88%
Cap/Depr(5y)280.91%
Cap/Sales(3y)8.54%
Cap/Sales(5y)7.36%
Profit Quality(3y)85.86%
Profit Quality(5y)98.64%
High Growth Momentum
Growth
EPS 1Y (TTM)17.74%
EPS 3Y34.86%
EPS 5Y16.88%
EPS Q2Q%9.57%
EPS Next Y12.62%
EPS Next 2Y7.94%
EPS Next 3Y5.16%
EPS Next 5Y11.46%
Revenue 1Y (TTM)17.62%
Revenue growth 3Y19.52%
Revenue growth 5Y14.71%
Sales Q2Q%11.71%
Revenue Next Year11.6%
Revenue Next 2Y8.44%
Revenue Next 3Y7.31%
Revenue Next 5Y6.73%
EBIT growth 1Y21.63%
EBIT growth 3Y28.12%
EBIT growth 5Y17.97%
EBIT Next Year19.78%
EBIT Next 3Y5.56%
EBIT Next 5Y-4.6%
FCF growth 1Y59%
FCF growth 3Y31.3%
FCF growth 5YN/A
OCF growth 1Y58%
OCF growth 3Y30.42%
OCF growth 5YN/A