United Therapeutics (NASDAQ:UTHR) versus Achieve Life Sciences (NASDAQ:ACHV) Critical Comparison

United Therapeutics (NASDAQ:UTHRGet Free Report) and Achieve Life Sciences (NASDAQ:ACHVGet Free Report) are both medical companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, dividends, profitability, institutional ownership, risk, analyst recommendations and valuation.

Valuation & Earnings

This table compares United Therapeutics and Achieve Life Sciences”s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
United Therapeutics $2.88 billion 7.04 $1.20 billion $25.62 17.52
Achieve Life Sciences N/A N/A -$39.83 million ($1.46) -2.36

United Therapeutics has higher revenue and earnings than Achieve Life Sciences. Achieve Life Sciences is trading at a lower price-to-earnings ratio than United Therapeutics, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and target prices for United Therapeutics and Achieve Life Sciences, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
United Therapeutics 0 5 10 0 2.67
Achieve Life Sciences 1 0 2 1 2.75

United Therapeutics presently has a consensus target price of $449.57, suggesting a potential upside of 0.14%. Achieve Life Sciences has a consensus target price of $12.00, suggesting a potential upside of 247.83%. Given Achieve Life Sciences’ stronger consensus rating and higher probable upside, analysts plainly believe Achieve Life Sciences is more favorable than United Therapeutics.

Institutional & Insider Ownership

94.1% of United Therapeutics shares are held by institutional investors. Comparatively, 33.5% of Achieve Life Sciences shares are held by institutional investors. 10.3% of United Therapeutics shares are held by company insiders. Comparatively, 3.0% of Achieve Life Sciences shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares United Therapeutics and Achieve Life Sciences’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
United Therapeutics 40.36% 18.73% 16.49%
Achieve Life Sciences N/A -193.49% -116.68%

Volatility & Risk

United Therapeutics has a beta of 0.66, meaning that its share price is 34% less volatile than the S&P 500. Comparatively, Achieve Life Sciences has a beta of 1.58, meaning that its share price is 58% more volatile than the S&P 500.

Summary

United Therapeutics beats Achieve Life Sciences on 10 of the 14 factors compared between the two stocks.

About United Therapeutics

(Get Free Report)

United Therapeutics Corporation, a biotechnology company, engages in the development and commercialization of products to address the unmet medical needs of patients with chronic and life-threatening diseases in the United States and internationally. The company offers Tyvaso DPI, an inhaled dry powder via pre-filled and single-use cartridges; Tyvaso, an inhaled solution via ultrasonic nebulizer; Remodulin (treprostinil) injection to treat patients with pulmonary arterial hypertension (PAH) to diminish symptoms associated with exercise; Orenitram, a tablet dosage form of treprostinil, to delay disease progression and improve exercise capacity in PAH patients; and Adcirca, an oral PDE-5 inhibitor to enhance the exercise ability in PAH patients. It also markets and sells Unituxin (dinutuximab) injection, a monoclonal antibody for treating high-risk neuroblastoma; and Remunity Pump, which contains a pump and separate controller for Remodulin. In addition, the company engages in developing RemoPro and Ralinepag for the treatment of PAH; Aurora-GT, a gene therapy product to rebuild the blood vessels in the lungs; and Nebulized Tyvaso, for the treatment of idiopathic pulmonary fibrosis, as well as xenografts, which are development-stage organ products. It has licensing and collaboration agreements with DEKA Research & Development Corp. to develop a semi-disposable system for the subcutaneous delivery of treprostinil; MannKind Corporation to develop and license treprostinil inhalation powder and the Dreamboat device; and Arena Pharmaceuticals, Inc. to develop Ralinepag. The company was incorporated in 1996 and is headquartered in Silver Spring, Maryland.

About Achieve Life Sciences

(Get Free Report)

Achieve Life Sciences, Inc., a clinical-stage pharmaceutical company, develops and commercializes cytisinicline for smoking cessation and nicotine addiction. The company offers cytisinicline, a plant-based alkaloid that interacts with nicotine receptors in the brain that reduce the severity of nicotine withdrawal symptoms. It has license and supply agreement with Sopharma AD and University of Bristol Achieve Life Sciences, Inc. is based in Vancouver, Canada.

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