United Therapeutics Target of Unusually High Options Trading (NASDAQ:UTHR)

United Therapeutics Corporation (NASDAQ:UTHR) was the target of unusually large options trading activity on Friday. Stock investors bought 15,930 call options on the company. This represents an increase of 665% compared to the average volume of 2,083 call options.

United Therapeutics Stock Performance

United Therapeutics stock opened at $588.38 on Friday. United Therapeutics has a 52 week low of $272.12 and a 52 week high of $607.89. The stock has a market capitalization of $25.79 billion, a P/E ratio of 21.09, a PEG ratio of 1.65 and a beta of 0.75. The stock has a 50-day simple moving average of $526.73 and a 200 day simple moving average of $489.49.

United Therapeutics (NASDAQ:UTHR) last announced its quarterly earnings results on Wednesday, February 25th. The biotechnology company reported $7.70 earnings per share (EPS) for the quarter, beating the consensus estimate of $6.78 by $0.92. United Therapeutics had a return on equity of 19.30% and a net margin of 41.94%.The business had revenue of $790.20 million during the quarter, compared to the consensus estimate of $814.80 million. During the same quarter last year, the firm posted $6.19 EPS. The company’s quarterly revenue was up 7.4% on a year-over-year basis. Research analysts forecast that United Therapeutics will post 24.48 earnings per share for the current year.

More United Therapeutics News

Here are the key news stories impacting United Therapeutics this week:

• Positive Sentiment: Unusual bullish options flow — Traders bought 15,930 UTHR call options on Friday (about a 665% jump versus average call volume), indicating speculative or hedged bullish positioning that can amplify near-term upside or volatility.
• Positive Sentiment: Analyst target increases and constructive coverage — Multiple firms have raised price targets recently (examples cited include Morgan Stanley, Oppenheimer, BofA and RBC) and the consensus remains a “Moderate Buy” with an average target near $601.50, supporting positive investor sentiment. Analyst Coverage & MarketBeat Summary
• Neutral Sentiment: Small CEO sale disclosed — CEO Martine Rothblatt sold 75 shares (March 13) for roughly $40k; the size is immaterial to overall ownership and is unlikely on its own to drive stock direction. InsiderTrades Alert
• Neutral Sentiment: Institutional/hedge fund activity — Several funds adjusted positions (some added, some trimmed); UTHR remains heavily institutionally owned (~94%), which tends to moderate retail-driven swings. MarketBeat: Insider & Institutional Activity
• Negative Sentiment: Material insider selling by CEO — Martine Rothblatt sold 9,500 shares on April 15 (~$5.5M at ~$580.36), a significant reduction in her reported holding per filings; large insider sales can be perceived negatively by investors. SEC Filing: CEO Sale
• Negative Sentiment: Large EVP sale — EVP Paul A. Mahon sold 8,300 shares on April 16 for roughly $4.79M, a meaningful insider disposition that may pressure sentiment if more insider sales follow. SEC Filing: EVP Sale

Wall Street Analyst Weigh In

UTHR has been the subject of several recent research reports. Bank of America increased their target price on shares of United Therapeutics from $569.00 to $626.00 and gave the stock a “neutral” rating in a report on Tuesday, March 31st. Morgan Stanley increased their target price on shares of United Therapeutics from $471.00 to $519.00 and gave the stock an “equal weight” rating in a report on Friday, April 10th. Wells Fargo & Company upped their target price on United Therapeutics from $486.00 to $575.00 and gave the stock an “equal weight” rating in a report on Tuesday, March 31st. Raymond James Financial began coverage on United Therapeutics in a report on Friday, April 10th. They set an “outperform” rating and a $700.00 target price on the stock. Finally, HC Wainwright upped their target price on United Therapeutics from $600.00 to $660.00 and gave the stock a “buy” rating in a report on Tuesday, March 31st. Ten analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $601.50.

Insider Activity at United Therapeutics

In related news, CEO Martine A. Rothblatt sold 9,500 shares of the firm’s stock in a transaction on Wednesday, April 15th. The shares were sold at an average price of $580.36, for a total transaction of $5,513,420.00. Following the sale, the chief executive officer directly owned 40,513 shares in the company, valued at $23,512,124.68. This trade represents a 19.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Christopher Patusky sold 1,000 shares of the firm’s stock in a transaction on Friday, April 17th. The stock was sold at an average price of $578.88, for a total transaction of $578,880.00. Following the sale, the director owned 1,490 shares in the company, valued at approximately $862,531.20. The trade was a 40.16% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 414,295 shares of company stock valued at $217,625,176. Insiders own 10.30% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the stock. Clearstead Advisors LLC raised its holdings in United Therapeutics by 8.9% in the 3rd quarter. Clearstead Advisors LLC now owns 280 shares of the biotechnology company’s stock valued at $117,000 after acquiring an additional 23 shares during the period. Independent Advisor Alliance grew its holdings in United Therapeutics by 3.3% in the 4th quarter. Independent Advisor Alliance now owns 833 shares of the biotechnology company’s stock valued at $406,000 after buying an additional 27 shares in the last quarter. Bessemer Group Inc. grew its holdings in United Therapeutics by 2.6% in the 3rd quarter. Bessemer Group Inc. now owns 1,126 shares of the biotechnology company’s stock valued at $472,000 after buying an additional 28 shares in the last quarter. Florida Financial Advisors LLC grew its holdings in United Therapeutics by 5.4% in the 4th quarter. Florida Financial Advisors LLC now owns 550 shares of the biotechnology company’s stock valued at $268,000 after buying an additional 28 shares in the last quarter. Finally, NDVR Inc. grew its holdings in United Therapeutics by 5.1% in the 4th quarter. NDVR Inc. now owns 616 shares of the biotechnology company’s stock valued at $300,000 after buying an additional 30 shares in the last quarter. 94.08% of the stock is owned by institutional investors.

About United Therapeutics

United Therapeutics Corporation (NASDAQ: UTHR) is a biotechnology company dedicated to the development and commercialization of unique products to address life-threatening illnesses. The company’s primary focus has been on pulmonary arterial hypertension (PAH), where it has launched several therapies designed to improve functional capacity and quality of life for patients. Its marketed products include continuous infusion treprostinil (Remodulin), inhaled treprostinil (Tyvaso), oral treprostinil (Orenitram) and tadalafil (Adcirca), each tailored to different modes of administration and patient needs.