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United Therapeutics (NASDAQ:UTHR) Stock Price Target Raised at Royal Bank Of Canada

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Key Points

  • Royal Bank of Canada raised its United Therapeutics price target from $697 to $725 and maintained an “outperform” rating, implying 27.35% upside from the stock’s current price.
  • Third-quarter revenue increased 4.1% year over year to $832.5 million, beating estimates, but EPS of $5.71 missed the $6.01 consensus and declined from $7.16 a year earlier. Shares fell 6.4% on Thursday.
  • The board authorized a $2 billion share repurchase plan, allowing the company to buy back up to 8.3% of its shares.
  • Five stocks to consider instead of United Therapeutics.

United Therapeutics (NASDAQ:UTHR - Get Free Report) had its price target raised by stock analysts at Royal Bank Of Canada from $697.00 to $725.00 in a report issued on Thursday, Benzinga reports. The firm presently has an "outperform" rating on the biotechnology company's stock. Royal Bank Of Canada's target price indicates a potential upside of 27.35% from the stock's current price.

UTHR has been the subject of a number of other research reports. UBS Group set a $725.00 price target on United Therapeutics in a report on Monday, October 19th. Jefferies Financial Group reiterated a "buy" rating and set a $728.00 price target on shares of United Therapeutics in a research report on Wednesday, October 14th. JPMorgan Chase & Co. dropped their price target on shares of United Therapeutics from $710.00 to $695.00 and set an "overweight" rating on the stock in a research note on Wednesday, October 28th. BTIG Research upped their price objective on shares of United Therapeutics from $728.00 to $768.00 and gave the stock a "buy" rating in a report on Wednesday. Finally, Morgan Stanley increased their price target on United Therapeutics from $515.00 to $566.00 and gave the company an "equal weight" rating in a research note on Wednesday, October 7th. Thirteen analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $673.73.

Read Our Latest Analysis on United Therapeutics

United Therapeutics Trading Down 6.4%

Shares of NASDAQ UTHR traded down $39.21 during midday trading on Thursday, reaching $569.28. 350,209 shares of the company were exchanged, compared to its average volume of 556,257. The stock has a fifty day simple moving average of $532.33 and a 200 day simple moving average of $532.45. United Therapeutics has a 1 year low of $444.04 and a 1 year high of $614.23. The stock has a market cap of $24.42 billion, a P/E ratio of 20.39, a PEG ratio of 4.35 and a beta of 0.49.

United Therapeutics (NASDAQ:UTHR - Get Free Report) last released its quarterly earnings results on Wednesday, November 4th. The biotechnology company reported $5.71 earnings per share for the quarter, missing the consensus estimate of $6.01 by ($0.30). United Therapeutics had a return on equity of 20.18% and a net margin of 41.56%. The company had revenue of $832.50 million for the quarter, compared to analysts' expectations of $781.14 million. During the same period in the previous year, the business posted $7.16 EPS. The business's quarterly revenue was up 4.1% on a year-over-year basis. As a group, analysts forecast that United Therapeutics will post 26.09 earnings per share for the current year.

United Therapeutics declared that its Board of Directors has authorized a share buyback plan on Thursday, October 22nd that authorizes the company to buy back $2 billion in shares. This repurchase authorization authorizes the biotechnology company to repurchase up to 8.3% of its stock through open market purchases. Share repurchase plans are generally a sign that the company's leadership believes its stock is undervalued.

Insider Transactions at United Therapeutics

In other United Therapeutics news, EVP Paul Mahon sold 8,300 shares of United Therapeutics stock in a transaction that occurred on Thursday, October 15th. The stock was sold at an average price of $544.30, for a total value of $4,517,690.00. Following the transaction, the executive vice president directly owned 45,172 shares of the company's stock, valued at $24,587,119.60. The trade was a 15.52% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO Martine Rothblatt sold 9,500 shares of the stock in a transaction on Monday, November 2nd. The shares were sold at an average price of $596.22, for a total transaction of $5,664,090.00. Following the completion of the sale, the chief executive officer directly owned 324,443 shares of the company's stock, valued at approximately $193,439,405.46. This trade represents a 2.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 393,228 shares of company stock valued at $207,340,321 over the last 90 days. Corporate insiders own 8.60% of the company's stock.

Institutional Trading of United Therapeutics

Hedge funds have recently modified their holdings of the company. BlackRock Inc. purchased a new position in United Therapeutics during the 2nd quarter valued at about $2,868,735,000. Jupiter Topco LLC bought a new position in shares of United Therapeutics in the second quarter valued at approximately $450,140,000. Bank of New York Mellon Corp purchased a new position in United Therapeutics during the second quarter valued at approximately $159,522,000. Caisse de depot et placement du Quebec purchased a new position in United Therapeutics during the second quarter valued at approximately $154,304,000. Finally, Legal & General Group Plc bought a new stake in United Therapeutics during the 2nd quarter worth approximately $112,209,000. Institutional investors and hedge funds own 94.08% of the company's stock.

United Therapeutics News Summary

Here are the key news stories impacting United Therapeutics this week:

United Therapeutics Company Profile

(Get Free Report)

United Therapeutics Corporation is a biotechnology company focused on developing and commercializing therapies for patients with life-threatening conditions, particularly pulmonary arterial hypertension (PAH). The company's portfolio includes Tyvaso and Tyvaso DPI, inhaled formulations of treprostinil; Remodulin, an injectable treprostinil product; and Orenitram, an oral treprostinil therapy. These treatments are designed to improve exercise ability and delay disease progression in people with PAH.

The company also markets Unituxin, an antibody therapy used as part of treatment for high-risk neuroblastoma, a type of childhood cancer.

Further Reading

Analyst Recommendations for United Therapeutics (NASDAQ:UTHR)

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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