Insider Selling: United Therapeutics (NASDAQ:UTHR) CEO Sells $5,664,090.00 in Stock

United Therapeutics Corporation (NASDAQ:UTHR) CEO Martine Rothblatt sold 9,500 shares of the stock in a transaction dated Monday, November 2nd. The stock was sold at an average price of $596.22, for a total transaction of $5,664,090.00. Following the sale, the chief executive officer owned 324,443 shares in the company, valued at $193,439,405.46. The trade was a 2.84% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website.

United Therapeutics Stock Down 7.0%

UTHR stock opened at $565.72 on Friday. The company’s 50-day moving average price is $533.31 and its two-hundred day moving average price is $532.95. The firm has a market cap of $24.26 billion, a P/E ratio of 21.35, a P/E/G ratio of 4.41 and a beta of 0.49. United Therapeutics Corporation has a 12 month low of $444.04 and a 12 month high of $614.23.

United Therapeutics (NASDAQ:UTHR) last issued its quarterly earnings results on Wednesday, November 4th. The biotechnology company reported $5.71 earnings per share for the quarter, missing analysts’ consensus estimates of $6.01 by ($0.30). The firm had revenue of $832.50 million for the quarter, compared to the consensus estimate of $781.14 million. United Therapeutics had a return on equity of 19.18% and a net margin of 38.61%. The business’s revenue was up 4.1% on a year-over-year basis. During the same period last year, the company posted $7.16 EPS. Equities analysts predict that United Therapeutics Corporation will post 26.09 EPS for the current year.

United Therapeutics declared that its Board of Directors has approved a stock repurchase plan on Thursday, October 22nd that permits the company to repurchase $2 billion in shares. This buyback authorization permits the biotechnology company to buy up to 8.3% of its shares through open market purchases. Stock buyback plans are usually a sign that the company’s management believes its stock is undervalued.

Institutional Trading of United Therapeutics

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

Key United Therapeutics News

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

• Positive Sentiment: Several analysts raised price targets and maintained bullish ratings: BTIG lifted its target to $768, RBC to $725, and TD Cowen to $700. BTIG cited Tyvaso momentum in its positive outlook. Analyst outlook and Tyvaso momentum
• Positive Sentiment: Third-quarter revenue rose 4.1% year over year to $832.5 million, beating estimates of about $781 million. The company also announced a buydown of a royalty tied to ralinepag, potentially improving the economics of the therapy. Third-quarter results Ralinepag royalty announcement
• Negative Sentiment: Adjusted earnings were $5.71 per share, below the roughly $6.01 analyst consensus and down from $7.16 a year earlier. The earnings miss and year-over-year decline in EPS may temper the positive revenue growth news. Quarterly earnings miss
• Negative Sentiment: CEO Martine Rothblatt and EVP Paul Mahon reported stock sales. Insider sales can concern investors, although both executives retained substantial holdings after the transactions. CEO sale filing EVP sale filing

Analysts Set New Price Targets

A number of brokerages have weighed in on UTHR. Bank of America reduced their target price on United Therapeutics from $620.00 to $613.00 and set a “neutral” rating on the stock in a report on Friday, July 10th. Leerink Partners boosted their price target on United Therapeutics from $685.00 to $725.00 and gave the stock an “outperform” rating in a report on Monday, October 19th. The Goldman Sachs Group restated a “sell” rating and set a $368.00 price objective on shares of United Therapeutics in a research report on Thursday, October 15th. Morgan Stanley upped their price objective on United Therapeutics from $515.00 to $566.00 and gave the stock an “equal weight” rating in a research report on Wednesday, October 7th. Finally, Cantor Fitzgerald reaffirmed an “overweight” rating and issued a $850.00 price objective on shares of United Therapeutics in a research note on Monday, October 26th. Thirteen research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, United Therapeutics currently has a consensus rating of “Moderate Buy” and a consensus price target of $676.40.

United Therapeutics Company Profile

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.