Overall UTHR gets a fundamental rating of 7 out of 10. We evaluated UTHR against 525 industry peers in the Biotechnology industry. UTHR has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. UTHR has a correct valuation and a medium growth rate. These ratings could make UTHR a good candidate for quality investing.

Quickly go to:

1. Profitability

2. Health

3. Growth

4. Valuation

5. Dividend

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.
UTHR had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

UTHR's Return On Assets of 17.30% is amongst the best of the industry. UTHR outperforms 96.00% of its industry peers.
UTHR has a Return On Equity of 19.30%. This is amongst the best in the industry. UTHR outperforms 95.62% of its industry peers.
UTHR has a better Return On Invested Capital (17.33%) than 96.95% of its industry peers.
The Average Return On Invested Capital over the past 3 years for UTHR is below the industry average of 18.07%.
The 3 year average ROIC (14.96%) for UTHR is below the current ROIC(17.33%), indicating increased profibility in the last year.

		Industry Rank	Sector Rank
ROA	17.3%
ROE	19.3%
ROIC	17.33%

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

UTHR's Profit Margin of 40.65% is amongst the best of the industry. UTHR outperforms 97.14% 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 48.65%, UTHR belongs to the best of the industry, outperforming 99.62% of the companies in the same industry.
In the last couple of years the Operating Margin of UTHR has grown nicely.
UTHR has a better Gross Margin (88.59%) than 90.67% of its industry peers.
In the last couple of years the Gross Margin of UTHR has remained more or less at the same level.

		Industry Rank	Sector Rank
OM	48.65%
PM (TTM)	40.65%
GM	88.59%

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%

More info and screens

ROA

ROE

ROIC

Operating and Profit Margin

Show most profitable peers

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 less shares outstanding than it did 1 year ago.
The number of shares outstanding for UTHR has been increased compared to 5 years ago.
UTHR has a better debt/assets ratio than last year.

2.2 Solvency

An Altman-Z score of 19.07 indicates that UTHR is not in any danger for bankruptcy at the moment.
UTHR has a Altman-Z score of 19.07. This is amongst the best in the industry. UTHR outperforms 88.19% 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	19.07

ROIC/WACC1.96

WACC8.82%

2.3 Liquidity

UTHR has a Current Ratio of 6.40. This indicates that UTHR is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of UTHR (6.40) is better than 65.33% of its industry peers.
A Quick Ratio of 6.07 indicates that UTHR has no problem at all paying its short term obligations.
UTHR's Quick ratio of 6.07 is fine compared to the rest of the industry. UTHR outperforms 64.57% of its industry peers.

		Industry Rank	Sector Rank
Current Ratio	6.4
Quick Ratio	6.07

More info and screens

WACC

Debt/Equity

How to determine the health of a company

Altman-Z score

Show peers with great health

3. Growth

3.1 Past

UTHR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.90%, which is quite good.
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.
UTHR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.50%.
Measured over the past years, UTHR shows a quite strong growth in Revenue. The Revenue has been growing by 14.71% on average per year.

EPS 1Y (TTM)15.9%

EPS 3Y34.86%

EPS 5Y16.88%

EPS Q2Q%12.05%

Revenue 1Y (TTM)13.5%

Revenue growth 3Y19.52%

Revenue growth 5Y14.71%

Sales Q2Q%6.76%

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 11.57% yearly.
UTHR is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.21% yearly.

EPS Next Y12.48%

EPS Next 2Y9.45%

EPS Next 3Y8.97%

EPS Next 5Y11.57%

Revenue Next Year11.46%

Revenue Next 2Y8.55%

Revenue Next 3Y9.27%

Revenue Next 5Y11.21%

3.3 Evolution

The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.

More info and screens

Find the best growth stocks

Show best growing peers

4. Valuation

4.1 Price/Earnings Ratio

UTHR is valuated rather expensively with a Price/Earnings ratio of 17.94.
Based on the Price/Earnings ratio, UTHR is valued cheaper than 95.24% of the companies in the same industry.
UTHR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.25.
Based on the Price/Forward Earnings ratio of 16.06, the valuation of UTHR can be described as correct.
95.43% of the companies in the same industry are more expensive than UTHR, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, UTHR is valued a bit cheaper.

		Industry Rank	Sector Rank
PE	17.94
Fwd PE	16.06

4.2 Price Multiples

UTHR's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. UTHR is cheaper than 97.33% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, UTHR is valued cheaper than 95.81% of the companies in the same industry.

		Industry Rank	Sector Rank
P/FCF	18.26
EV/EBITDA	9.97

4.3 Compensation for Growth

The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of UTHR may justify a higher PE ratio.