United TherapeuticsUTHR +3.03%88 PEG Ratio is 0.89 as of Jul. 07, 2026, which is 242% above its 10-year median of 0.26. GuruFocus rates UTHR with a GF Score™ of 88/100 and a GF Value™ of $386.81 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 349 Drug Manufacturers companies, United Therapeutics ranks better than 74.5% on this metric.
* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
The historical rank and industry rank for United Therapeutics's PEG Ratio or its related term are showing as below:
UTHR'
s PEG Ratio Range Over the Past 10 Years
Min: 0.18 Med: 0.26 Max: 0.89
Current: 0.89
During the past 13 years, United Therapeutics's highest PEG Ratio was 0.89. The lowest was 0.18. And the median was 0.26.
UTHR's PEG Ratio is ranked better than 74.5% of 349
companies
in the Drug Manufacturers industry
Industry Median: 1.7
vs UTHR: 0.89
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
United Therapeutics (NAS:UTHR) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.
United Therapeutics PEG Ratio Related Terms
United Therapeutics PEG Ratio Historical Data
* Premium members only.
The historical data trend for United Therapeutics's PEG Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Drug Manufacturers - Specialty & Generic subindustry, United Therapeutics's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
United Therapeutics PEG Ratio vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, United Therapeutics's PEG Ratio distribution charts can be found below:
* The bar in red indicates where United Therapeutics's PEG Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
United Therapeutics (UTHR) has a PEG Ratio of 0.89 as of Jul. 07, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on United Therapeutics and its competitors. This is 242% above median its historical median of 0.26. Over the past decade, United Therapeutics' PEG Ratio has ranged from 0.18 to 0.89. According to the industry distribution chart, United Therapeutics ranks #89 out of 349 companies in the Drug Manufacturers industry, placing it in the top 25.5%.
Is United Therapeutics' PEG Ratio too high?
United Therapeutics' current PEG Ratio of 0.89 is 242% above median its 10-year median of 0.26. Over the past 10 years, this metric has ranged from a low of 0.18 to a high of 0.89. The Drug Manufacturers industry median PEG Ratio is 1.70. United Therapeutics' value of 0.89 is 47.6% below this industry median. Based on the distribution chart, United Therapeutics ranks #89 out of 349 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, United Therapeutics has a GF Score™ of 88/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does United Therapeutics' PEG Ratio compare to VTRS and NBIX?
According to the Drug Manufacturers industry distribution chart, United Therapeutics ranks #89 out of 349 companies for PEG Ratio. This puts United Therapeutics in the upper half of its industry. The industry median PEG Ratio is 1.70. United Therapeutics' value of 0.89 is 47.6% below this benchmark. Historically, United Therapeutics' own PEG Ratio has ranged from 0.18 to 0.89 over the past decade. While the company's 10-year median is 0.26 vs. the industry median of 1.70, United Therapeutics has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PEG Ratio for a Drug Manufacturers company?
The median PEG Ratio among Drug Manufacturers companies is 1.70, based on 349 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. United Therapeutics's current PEG Ratio of 0.89 is 47.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on United Therapeutics and its competitors. For the Drug Manufacturers industry, the median PEG Ratio is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. United Therapeutics's current PEG Ratio is 0.89, which is 242% above median its own 10-year median of 0.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is United Therapeutics stock overvalued right now?
Based on GuruFocus' analysis, United Therapeutics (UTHR) is currently considered Significantly Overvalued. The stock's GF Value™ is $386.81, compared to a current price of $563.70 — trading 45.7% above its estimated fair value. The current PEG Ratio is 0.89, which is 242% above median its 10-year median of 0.26 and 47.6% below the Drug Manufacturers industry median of 1.70. United Therapeutics' overall GF Score™ is 88/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For United Therapeutics (UTHR), the current PEG Ratio is 0.89 as of Jul. 07, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is United Therapeutics (UTHR) Overvalued in 2026?
Based on GuruFocus' analysis, United Therapeutics stock appears to be overvalued.
The current stock price of $563.70 is trading 45.7% above its estimated GF Value™ of $386.81.
GuruFocus considers United Therapeutics to be Significantly Overvalued.
Key valuation signals for UTHR:
PEG Ratio: 0.89 (242% above median its 10-year median of 0.26)
GF Value™: $386.81 vs. price of $563.70 (45.7% above fair value)
Industry Position: 47.6% below the Drug Manufacturers median (#89 of 349)
No single metric tells the full story. See the UTHR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
United Therapeutics Corp specializes in drug development for pulmonary arterial hypertension (PAH), a rare and progressive disease marked by abnormally high blood pressure in the arteries of the lungs. The company's therapies for PAH largely focus on the prostacyclin pathway, and many of its treatments are based on the same molecule, treprostinil. The company markets and sells the following commercial therapies in the United States to treat PAH: Tyvaso DPI (treprostinil) Inhalation Powder, Remodulin Injection, Orenitram (treprostinil) Extended-Release Tablets, Adcirca (tadalafil) Tablets, and Unituxin. It derives maximum revenue from the sale of Tyvaso DPI. Geographically, the company operates in United States and Rest of the World, of which United States generates majority of the revenue.
88GF Score
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