United Therapeutics Faces Slower Growth and Margin Pressure, StockStory Says
The publisher cites weaker revenue expectations and declines in operating and cash-flow margins, despite United Therapeutics’ past revenue growth.
Key takeaways
- Analysts expect United Therapeutics’ revenue to fall 3.2% over the next 12 months.
- Its adjusted operating margin fell 6.6 percentage points over five years, StockStory reported.
- United Therapeutics shares lost 4.2% since April, while the S&P 500 gained 17.5%.
United Therapeutics shares have lost 4.2% since April, compared with the S&P 500’s 17.5% gain. StockStory says slowing revenue expectations and falling margins weigh on its view of the company.
Sell-side analysts expect revenue to decline 3.2% over the next 12 months, according to the publisher. That compares with 14.7% annualized revenue growth over the previous five years.
StockStory also reported that the adjusted operating margin fell 6.6 percentage points over five years. The margin was 49.4% for the trailing 12 months, according to the article.
The company’s free cash flow margin declined 1.8 percentage points over the same five-year period, StockStory said. It stood at 34.6% for the trailing 12 months.
The article described the shares as trading at 18 times forward earnings and called the valuation fair, while saying it saw limited upside relative to potential downside. At 15:51 UTC on Oct. 7, shares traded at $556.21, up 2.69% from the previous close.
This article was produced with the help of AI technology. Source: Yahoo Finance
