Earnings Outlook For United Therapeutics

United Therapeutics UTHR is gearing up to announce its quarterly earnings on Wednesday, 2024-10-30. Here's a quick overview of what investors should know before the release.

Analysts are estimating that United Therapeutics will report an earnings per share (EPS) of $6.42.

The announcement from United Therapeutics is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Earnings Track Record

Last quarter the company missed EPS by $0.55, which was followed by a 4.63% increase in the share price the next day.

Here's a look at United Therapeutics's past performance and the resulting price change:

Tracking United Therapeutics's Stock Performance

Shares of United Therapeutics were trading at $349.71 as of October 28. Over the last 52-week period, shares are up 56.66%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Insights Shared by Analysts on United Therapeutics

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding United Therapeutics.

A total of 6 analyst ratings have been received for United Therapeutics, with the consensus rating being Buy. The average one-year price target stands at $411.17, suggesting a potential 17.57% upside.

Analyzing Analyst Ratings Among Peers

This comparison focuses on the analyst ratings and average 1-year price targets of Natera, Genmab and Biomarin Pharmaceutical, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• Analysts currently favor an Buy trajectory for Natera, with an average 1-year price target of $140.58, suggesting a potential 59.8% downside.
• For Genmab, analysts project an Buy trajectory, with an average 1-year price target of $46.83, indicating a potential 86.61% downside.
• Biomarin Pharmaceutical is maintaining an Outperform status according to analysts, with an average 1-year price target of $100.85, indicating a potential 71.16% downside.

Key Findings: Peer Analysis Summary

The peer analysis summary outlines pivotal metrics for Natera, Genmab and Biomarin Pharmaceutical, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

United Therapeutics ranks at the bottom for Revenue Growth among its peers. It is in the middle for Gross Profit and Return on Equity.

Unveiling the Story Behind United Therapeutics

United Therapeutics specializes in drug development for pulmonary arterial hypertension, a rare and progressive disease marked by abnormally high blood pressure in the arteries of the lungs. The company's therapies for PAH largely focus on the prostacyclin pathway, and many of its treatments are based on the same molecule, treprostinil. Most of the company's sales are generated within the United States. United Therapeutics also markets a pediatric oncology drug, but its focus largely remains in pulmonary arterial hypertension.

Financial Insights: United Therapeutics

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: United Therapeutics's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 19.85%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Health Care sector.

Net Margin: United Therapeutics's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 38.9%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): United Therapeutics's ROE excels beyond industry benchmarks, reaching 5.04%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): United Therapeutics's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 4.21% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: United Therapeutics's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.09.

To track all earnings releases for United Therapeutics visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.