Ironwood Pharmaceuticals Inc (IRWD)vsUnited Therapeutics Corporation (UTHR)
IRWD
Ironwood Pharmaceuticals Inc
$4.08
+2.77%
HEALTHCARE · Cap: $728.71M
UTHR
United Therapeutics Corporation
$497.11
-1.34%
HEALTHCARE · Cap: $21.36B
Smart Verdict
WallStSmart Research — data-driven comparison
United Therapeutics Corporation generates 710% more annual revenue ($3.15B vs $389.32M). UTHR leads profitability with a 41.6% profit margin vs 33.4%. IRWD trades at a lower P/E of 5.4x. IRWD earns a higher WallStSmart Score of 69/100 (B-).
IRWD
Strong Buy69
out of 100
Grade: B-
UTHR
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+86.9%
Fair Value
$33.87
Current Price
$4.08
$29.79 discount
Margin of Safety
+0.8%
Fair Value
$479.95
Current Price
$497.11
$17.16 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 70.2%
Revenue surging 32.6% year-over-year
Earnings expanding 125.7% YoY
Conservative balance sheet, low leverage
Keeps 42 of every $100 in revenue as profit
Strong operational efficiency at 42.2%
Safe zone — low bankruptcy risk
Every $100 of equity generates 20 in profit
Attractively priced relative to earnings
Areas to Watch
Smaller company, higher risk/reward
ROE of -575.0% — below average capital efficiency
Distress zone — elevated risk
Expensive relative to growth rate
Revenue declined 1.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : IRWD
The strongest argument for IRWD centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 33.4% and operating margin at 70.2%. Revenue growth of 32.6% demonstrates continued momentum.
Bull Case : UTHR
The strongest argument for UTHR centers on Profit Margin, Operating Margin, Altman Z-Score. Profitability is solid with margins at 41.6% and operating margin at 42.2%.
Bear Case : IRWD
The primary concerns for IRWD are Market Cap, Return on Equity, Altman Z-Score.
Bear Case : UTHR
The primary concerns for UTHR are PEG Ratio, Revenue Growth.
Key Dynamics to Monitor
IRWD profiles as a growth stock while UTHR is a declining play — different risk/reward profiles.
UTHR carries more volatility with a beta of 0.56 — expect wider price swings.
IRWD is growing revenue faster at 32.6% — sustainability is the question.
UTHR generates stronger free cash flow (206M), providing more financial flexibility.
Bottom Line
IRWD scores higher overall (69/100 vs 61/100), backed by strong 33.4% margins and 32.6% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Ironwood Pharmaceuticals Inc
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Ironwood Pharmaceuticals, Inc., a healthcare company, focuses on the development and commercialization of gastrointestinal (GI) products. The company is headquartered in Boston, Massachusetts.
United Therapeutics Corporation
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
United Therapeutics Corporation, a biotechnology company, is dedicated to 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 is headquartered in Silver Spring, Maryland.
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