Paul A. Mahon, Executive Vice President and General Counsel at United Therapeutics Corp (NASDAQ:UTHR), executed a significant stock sale on November 21. According to the latest SEC filing, Mahon sold 7,700 shares of common stock at an average price of $367.36 per share, totaling approximately $2.8 million. This transaction was part of a pre-arranged 10b5-1 trading plan.
Additionally, Mahon acquired 7,700 shares through the exercise of share tracking awards at a price of $163.30 per share. These awards, which are non-dilutive and cash-settled, are part of a strategy outlined in a plan initiated in June 2024. Following these transactions, Mahon holds 36,710 shares of United Therapeutics directly.
In other recent news, United Therapeutics reported a robust third-quarter revenue of $748.9 million, marking a significant increase from the previous year. This growth was mainly driven by the sales of treprostinil-based products. Tyvaso sales, in particular, exceeded expectations, with a total of $433.8 million, largely contributed by the Tyvaso Dry Powder Inhaler. However, Remodulin sales fell short of projections, reaching $128.3 million.
Ladenburg Thalmann maintained a Neutral rating on United Therapeutics, but raised the price target to $344, reflecting Tyvaso's strong sales performance. On the other hand, H.C. Wainwright reaffirmed a Buy rating and increased the price target to $425, citing the company's strategic positioning in anticipation of rising competition in the pulmonary arterial hypertension market.
These developments followed United Therapeutics' proactive measures to secure its market share, including initiating contracts with Part D payers. The company also completed a $1 billion accelerated share repurchase program. Looking forward, United Therapeutics is eyeing upcoming clinical milestones, including the TETON 2 study results, and is awaiting a potential FDA decision on its Centralized Lung Evaluation System in 2025.
InvestingPro Insights
The recent stock sale by Paul A. Mahon, Executive Vice President and General Counsel at United Therapeutics Corp (NASDAQ:UTHR), aligns with several key financial metrics and trends observed in the company's performance.
According to InvestingPro data, United Therapeutics boasts a market capitalization of $16.65 billion, reflecting its substantial presence in the biopharmaceutical sector. The company's P/E ratio of 15.35 suggests a relatively attractive valuation compared to its earnings, which is further supported by an InvestingPro Tip indicating that UTHR is trading at a low P/E ratio relative to its near-term earnings growth.
United Therapeutics has demonstrated strong financial performance, with a revenue growth of 25.04% in the last twelve months as of Q3 2024, reaching $2.76 billion. This growth is complemented by an impressive gross profit margin of 88.94%, which aligns with another InvestingPro Tip highlighting the company's impressive gross profit margins.
It's worth noting that United Therapeutics holds more cash than debt on its balance sheet, as pointed out by an InvestingPro Tip. This strong financial position is further reinforced by the company's high shareholder yield, suggesting that management is committed to returning value to shareholders through various means, including the share buybacks mentioned in another InvestingPro Tip.
For investors seeking more comprehensive insights, InvestingPro offers 14 additional tips for United Therapeutics, providing a deeper understanding of the company's financial health and market position.
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