United Therapeutics (UTHR) stock rocketed higher on Tuesday after the biotechnology company announced the results of a Phase 3 clinical trial of nebulized Tyvaso Inhalation Solution. The study focused on the use of this drug as a treatment for idiopathic pulmonary fibrosis (IPF).
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The big news for United Therapeutics is that the Phase 3 clinical trial met its primary endpoint. It showed significant improvement in absolute forced vital capacity (FVC) relative to placebo after 52 weeks. The positive effects were seen across all subgroups, including the use of background therapy, smoking status, and supplemental oxygen use. Martine Rothblatt, CEO of United Therapeutics, said, “It is a profound honor to witness the power of scientific innovation realized for patients in need.”
United Therapeutics said it intends to use the results from this study, alongside data from another clinical trial, to submit a supplemental New Drug Application to the Food and Drug Administration (FDA) to add IPF to the labeled indications for nebulized Tyvaso. United Therapeutics noted it intends to meet with the FDA to determine how it can speed up regulatory actions for nebulized Tyvaso after it obtains other clinical trial data for the treatment next year.
United Therapeutics Stock Movement Today
United Therapeutics stock was up 39.05% on Tuesday, extending a 19.03% year-to-date rally. However, the shares were still down 13.52% over the past 12 months. With today’s news came strong trading of UTHR stock, with some 517,000 shares traded, which will likely surpass its three-month daily average of 693,000 before markets close.
Is United Therapeutics Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for United Therapeutics is Moderate Buy, based on eight Buy and four Hold ratings over the past three months. With that comes an average UTHR stock price target of $386, representing a potential 8.1% downside for the shares.
