Is the business good?
How good a business is UTHR?
United Therapeutics Corporation earns 30% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
30%
Return on invested capital · cost of capital 9.0% · 21 points above what the capital costs: growth creates value
- Operating margin
- 45%
Operating margin · Drug Manufacturers - Specialty & Generic median 12% · 12 months to Q1 2026
- Cash conversion
- 0.79×
Cash conversion · 0.93× a year ago · some of the reported profit has not turned into cash yet
- Share count, year on year
- −2.9%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 40% |
| FY2021 | 33% |
| FY2022 | 51% |
| FY2023 | 51% |
| FY2024 | 48% |
| FY2025 | 47% |
Details›
- Gross margin12 months to Q1 2026
- 87%
- Operating margin12 months to Q1 2026
- 45%
- Net margin12 months to Q1 2026
- 41%
- Free cash flow margin
- 32%
- R&D as % of revenue
- 17%
- Revenue, trailing twelve months
- $3.17B
- Free cash flow, trailing twelve months
- $1.02B
- Net income, trailing twelve months
- $1.29B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 30%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Drug Manufacturers - Specialty & Generic
Ranks #6 of 28 by Smart Score