United Therapeutics Earnings: Here’s Why Investors are Selling Shares Now

United Therapeutics Corp. (NASDAQ:UTHR) delivered a profit and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 4.97%.

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United Therapeutics Corp. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 7.75% to $1.19 in the quarter versus EPS of $1.29 in the year-earlier quarter.

Revenue: Rose 20.04% to $245.14 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: United Therapeutics Corp. reported adjusted EPS income of $1.19 per share. By that measure, the company missed the mean analyst estimate of $1.47. It beat the average revenue estimate of $241.14 million.

Quoting Management: “I am pleased that our first quarter 2013 results were solid, providing a strong foundation for continued growth,” said Martine Rothblatt, Ph.D., United Therapeutics’ Chairman and Chief Executive Officer. “Our pipeline continues to grow, with two phase 3 trials, a new phase 1 trial of mesenchymal stem cells in PAH patients and advances in our strategic product portfolio.”

Key Stats (on next page)…

Revenue increased 0.54% from $243.82 million in the previous quarter. EPS decreased 25.63% from $1.60 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $1.37 to a profit $1.50. For the current year, the average estimate has moved up from a profit of $5.53 to a profit of $6.32 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)