United Therapeutics (NASDAQ:UTHR) Sets New 12-Month High – Time to Buy?

Shares of United Therapeutics Corporation (NASDAQ:UTHR) hit a new 52-week high during mid-day trading on Friday. The stock traded as high as $609.99 and last traded at $597.1590, with a volume of 23,029 shares changing hands. The stock had previously closed at $593.54.

Analyst Upgrades and Downgrades

Several analysts have commented on the company. Raymond James Financial reaffirmed an “outperform” rating and set a $717.00 price objective on shares of United Therapeutics in a research note on Tuesday, October 20th. UBS Group set a $725.00 target price on United Therapeutics in a research note on Monday, October 19th. The Goldman Sachs Group reissued a “sell” rating and issued a $368.00 target price on shares of United Therapeutics in a report on Thursday, October 15th. Bank of America cut their price target on United Therapeutics from $620.00 to $613.00 and set a “neutral” rating for the company in a research note on Friday, July 10th. Finally, Weiss Ratings downgraded United Therapeutics from a “buy (b)” rating to a “buy (b-)” rating in a report on Thursday, August 27th. Twelve research 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’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $667.07.

United Therapeutics Price Performance

The business’s 50 day moving average price is $525.55 and its 200-day moving average price is $529.96. The firm has a market capitalization of $25.70 billion, a price-to-earnings ratio of 21.40, a price-to-earnings-growth ratio of 4.25 and a beta of 0.49.

United Therapeutics (NASDAQ:UTHR) last announced its quarterly earnings data on Wednesday, August 5th. The biotechnology company reported $7.27 EPS for the quarter, beating analysts’ consensus estimates of $6.86 by $0.41. The firm had revenue of $783.30 million during the quarter, compared to the consensus estimate of $804.65 million. United Therapeutics had a net margin of 41.56% and a return on equity of 20.18%. The firm’s revenue was down 1.9% compared to the same quarter last year. During the same quarter last year, the firm earned $6.41 earnings per share. As a group, analysts expect that United Therapeutics Corporation will post 26.09 earnings per share for the current fiscal year.

United Therapeutics announced that its board has approved a stock repurchase plan on Thursday, October 22nd that allows the company to repurchase $2 billion in shares. This repurchase authorization allows the biotechnology company to purchase up to 8.3% of its stock through open market purchases. Share repurchase plans are usually a sign that the company’s management believes its shares are undervalued.

Insiders Place Their Bets

In other United Therapeutics news, CEO Martine Rothblatt sold 9,500 shares of the firm’s stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $526.96, for a total value of $5,006,120.00. Following the completion of the sale, the chief executive officer owned 324,443 shares of the company’s stock, valued at approximately $170,968,483.28. This trade represents a 2.84% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders sold a total of 401,528 shares of company stock worth $210,097,491 over the last quarter. Corporate insiders own 8.60% of the company’s stock.

Hedge Funds Weigh In On United Therapeutics

A number of large investors have recently made changes to their positions in the stock. BlackRock Inc. purchased a new position in United Therapeutics in the second quarter valued at about $2,868,735,000. Janus Henderson Group PLC boosted its stake in shares of United Therapeutics by 8.9% during the 1st quarter. Janus Henderson Group PLC now owns 866,930 shares of the biotechnology company’s stock worth $514,016,000 after acquiring an additional 70,829 shares in the last quarter. Jupiter Topco LLC acquired a new stake in shares of United Therapeutics in the 2nd quarter worth approximately $450,140,000. Swedbank AB grew its holdings in shares of United Therapeutics by 0.7% in the 1st quarter. Swedbank AB now owns 327,122 shares of the biotechnology company’s stock worth $193,977,000 after acquiring an additional 2,350 shares during the period. Finally, First Trust Advisors LP increased its stake in United Therapeutics by 23.5% in the 1st quarter. First Trust Advisors LP now owns 270,578 shares of the biotechnology company’s stock valued at $160,447,000 after purchasing an additional 51,555 shares in the last quarter. Hedge funds and other institutional investors own 94.08% of the company’s stock.

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.