In a report released yesterday, Jason Gerberry from Bank of America Securities reiterated a Hold rating on United Therapeutics (UTHR – Research Report), with a price target of $321.00.
Jason Gerberry has given his Hold rating due to a combination of factors including United Therapeutics’ strong first-quarter performance and the balanced risk/reward profile of the stock. The company demonstrated robust revenue growth across its portfolio, surpassing expectations, which supports the near-term stability of its core markets, particularly in PAH and ILD. However, despite this positive performance, there are competitive challenges on the horizon, notably from Insmed’s TPIP, which are factored into the current share price.
Additionally, while United Therapeutics is making progress in its xeno-kidney transplant program, with plans to begin Phase 1 testing, there are still uncertainties surrounding the long-term outcomes and potential risks. The company’s cautious approach towards upcoming competitor data and its focus on maintaining immune suppression in its trials reflect the complexities involved. As a result, Gerberry maintains a Neutral stance, with a slightly increased price objective based on updated revenue forecasts and a shift to a DCF valuation method.
In another report released on April 25, Wells Fargo also downgraded the stock to a Hold with a $314.00 price target.
Based on the recent corporate insider activity of 238 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of UTHR in relation to earlier this year.