United Therapeutics Corporation

DB:UTH Stock Report

Market Cap: €15.9b

United Therapeutics Valuation

Is UTH undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of UTH when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: UTH (€356.8) is trading below our estimate of fair value (€1010.34)

Significantly Below Fair Value: UTH is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for UTH?

Key metric: As UTH is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for UTH. This is calculated by dividing UTH's market cap by their current earnings.
What is UTH's PE Ratio?
PE Ratio15.2x
EarningsUS$1.11b
Market CapUS$16.83b

Price to Earnings Ratio vs Peers

How does UTH's PE Ratio compare to its peers?

The above table shows the PE ratio for UTH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average62.8x
BIO3 Biotest
15.4x29.3%€1.3b
FYB Formycon
13.4x31.5%€857.2m
SRT3 Sartorius
195.3x36.4%€13.7b
1SXP SCHOTT Pharma KGaA
27.2x15.8%€4.1b
UTH United Therapeutics
15.2x8.1%€16.8b

Price-To-Earnings vs Peers: UTH is good value based on its Price-To-Earnings Ratio (15.2x) compared to the peer average (62.8x).

Price to Earnings Ratio vs Industry

How does UTH's PE Ratio compare vs other companies in the European Biotechs Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
UTH 15.2xIndustry Avg. 26.5xNo. of Companies5PE020406080100+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: UTH is good value based on its Price-To-Earnings Ratio (15.2x) compared to the European Biotechs industry average (26.5x).

Price to Earnings Ratio vs Fair Ratio

What is UTH's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

UTH PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.2x
Fair PE Ratio18.4x

Price-To-Earnings vs Fair Ratio: UTH is good value based on its Price-To-Earnings Ratio (15.2x) compared to the estimated Fair Price-To-Earnings Ratio (18.4x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst UTH forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€356.80
€367.05
+2.9%
20.4%€576.18€212.23n/a15
Nov ’25€341.70
€351.48
+2.9%
21.1%€551.64€203.19n/a14
Oct ’25€319.20
€320.83
+0.5%
23.1%€517.44€198.88n/a14
Sep ’25€328.00
€315.53
-3.8%
23.6%€517.33€198.83n/a13
Aug ’25€289.10
€308.39
+6.7%
15.9%€370.68€204.80n/a13
Jul ’25€295.00
€282.40
-4.3%
15.2%€373.40€206.30n/a14
Jun ’25€247.50
€270.98
+9.5%
15.5%€368.48€202.66n/a14
May ’25€221.00
€269.07
+21.8%
14.9%€350.74€203.90n/a15
Apr ’25€219.60
€265.41
+20.9%
16.3%€346.39€169.04n/a16
Mar ’25€207.90
€264.04
+27.0%
16.0%€346.05€168.87n/a16
Feb ’25€197.95
€259.08
+30.9%
17.3%€342.00€162.34n/a14
Jan ’25€197.20
€256.66
+30.2%
17.3%€338.81€160.82n/a14
Dec ’24€218.10
€265.42
+21.7%
17.9%€353.10€166.66n/a13
Nov ’24€209.50
€266.97
+27.4%
17.9%€354.86€167.50€341.7013
Oct ’24€212.60
€253.36
+19.2%
19.9%€340.76€154.48€319.2011
Sep ’24€205.60
€253.36
+23.2%
19.9%€340.76€154.48€328.0011
Aug ’24€222.10
€247.58
+11.5%
21.1%€336.71€143.66€289.1011
Jul ’24€201.30
€253.82
+26.1%
21.0%€346.35€147.78€295.0011
Jun ’24€194.75
€249.81
+28.3%
19.3%€340.46€145.26€247.5013
May ’24€205.10
€252.56
+23.1%
19.7%€339.56€135.83€221.0013
Apr ’24€199.75
€264.07
+32.2%
19.7%€351.64€140.66€219.6013
Mar ’24€230.80
€265.89
+15.2%
19.7%€353.78€141.51€207.9013
Feb ’24€239.80
€266.01
+10.9%
19.9%€356.36€142.55€197.9513
Jan ’24€256.60
€265.49
+3.5%
19.7%€358.13€143.25€197.2013
Dec ’23€265.60
€284.85
+7.2%
20.0%€384.49€153.80€218.1011
Nov ’23€232.40
€252.18
+8.5%
17.3%€329.52€143.97€209.5011

Analyst Forecast: Target price is less than 20% higher than the current share price.

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