BTIG Upgrades United Therapeutics Corp. (UTHR) to Buy

BTIG analyst Julian Harrison upgraded United Therapeutics Corp. (NASDAQ: UTHR) from Neutral to Buy with a price target of $728.00.

The analyst comments "Our view is that the initial ‘327 trial decision is highly jeopardizing to Yutrepia’s (Liquidia [LQDA, Neutral]) freedom to operate in PH-ILD (expected patent expiration: 2042), and could also disrupt near-term PAH growth if the Judge ultimately concludes that an immediate stop is necessary across indications before PH-ILD is officially removed from Yutrepia’s label. Since launch at risk in June 2025, Yutrepia has likely hindered growth of the Tyvaso franchise, although UTHR receiving favorable initial decisions from the '327 trial poses a significant impediment to this competitive threat in PH-ILD and potentially, on a temporary basis, PAH as well. A successful appeal could reverse this course, but an appellate decision could take ~2 years from here to read out. This initial legal decision from the '327 trial likely gives Tyvaso and Tyvaso DPI room to breathe and resume an encouraging growth trajectory heading into next year, in our view. Furthermore, the IPF optionality is highly appealing to us (April 2027 PDUFA), as it could expand the inhaled treprostinil TAM significantly and remove a well-known rate-limiting step to uptake in PH-ILD (i.e., right heart catheterization). With UTHR trading at only ~17x to ~18x forward P/E, we see shares undervalued as its next chapter of growth likely begins. Upgrading to BUY and a $728 PT (34% potential upside vs. September 30, 2026 close). As part of this upgrade, we retire our prior NPV SOTP methodology and replace it with a forward P/E model, anchored to 22x 2027E diluted non-GAAP EPS."

For an analyst ratings summary and ratings history on United Therapeutics Corp. click here. For more ratings news on United Therapeutics Corp. click here.

Shares of United Therapeutics Corp. closed at $541.89 yesterday.

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