UTHR - Embedded Expectations Analysis - 2021 09 29
United Therapeutics Corporation (UTHR:USA) currently trades below corporate averages relative to UAFRS-based (Uniform) earnings, with a 10.8x Uniform P/E. At these levels, the market has bearish expectations for the firm, and management may have concerns about treprostinil developments, the Tyvaso 25/25 goal, and the potential of their Phase 3 trials.Specifically, management may have concerns about the progress of their next-generation treprostinil pipeline, the potential of their PERFECT and TETON Phase 3 studies, and the sustainability of forced vital capacity (FVC) improvements in the INCREASE study. Moreover, they may lack confidence in their ability to achieve their 25/25 (25,000 Tyvaso patients by 2025) goal, continue hitting pipeline milestones, and sustain record treprostinil revenue.
United Therapeutics is a biotechnology company. The company markets and sells four commercial therapies to treat pulmonary arterial hypertension (PAH): Remodulin? (treprostinil) Injection; Tyvaso? (treprostinil) Inhalation Solution; Orenitram? (treprostinil) Extended-Release Tablets; and Adcirca? (tadalafil) Tablets. The company also markets and sells an oncology product, Unituxin? (dinutuximab) Injection for treatment of high-risk neuroblastoma. The company also engages in research and development of new indications and formulations and delivery devices for its existing products, as well as new products to treat PAH and other conditions. The company also engages in organ transplantation-related technologies.
In 2009, just as the dust was settling from the last major equity and credit market crises, we launched a boutique research firm with the intention of breaking Wall Street’s biases and broken incentives:
- GAAP and IFRS have failed to provide rules for reliable financial statement reporting
- Stock analyst recommendations are not grounded in disciplined financial analysis
- Credit agencies have been set up to grossly fail in their responsibilities to investors and the public markets
- Utter lack of willingness of major research firms to employ the the most advanced forensic analysis available
We sought to provide investors and company analysts with a source of information that changed all that.
Many years later, our business model remains because little has changed on Wall Street.
- Corporate credit ratings remain years behind the fundamental underpinnings of company performance
- Stock analysts continue to make recommendations with deeply inherent biases
- Research firms have failed to break down the walls between credit, equity, and macroeconomic research
- The governing accounting bodies have created more leeway for mis-estimates and mis-classifications as financials have become unwieldy and overwhelming
The integrity of Valens Research is founded in our disciplined processes and analytics. No “star” analysts. No corporate advisory relationships. No-nonsense opinions and recommendations.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.