WallStSmart

Ironwood Pharmaceuticals Inc (IRWD)vsUnited Therapeutics Corporation (UTHR)

VS

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 Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 8.3Quality: 7.0
Piotroski: 4/9Altman Z: -4.21

UTHR

Buy

61

out of 100

Grade: C+

Growth: 5.3Profit: 9.0Value: 6.0Quality: 7.8
Piotroski: 5/9Altman Z: 8.56
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

IRWDUndervalued (+86.9%)

Margin of Safety

+86.9%

Fair Value

$33.87

Current Price

$4.08

$29.79 discount

UndervaluedFair: $33.87Overvalued
UTHRUndervalued (+0.8%)

Margin of Safety

+0.8%

Fair Value

$479.95

Current Price

$497.11

$17.16 discount

UndervaluedFair: $479.95Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IRWD6 strengths · Avg: 10.0/10
P/E RatioValuation
5.4x10/10

Attractively priced relative to earnings

Profit MarginProfitability
33.4%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
70.2%10/10

Strong operational efficiency at 70.2%

Revenue GrowthGrowth
32.6%10/10

Revenue surging 32.6% year-over-year

EPS GrowthGrowth
125.7%10/10

Earnings expanding 125.7% YoY

Debt/EquityHealth
-2.4510/10

Conservative balance sheet, low leverage

UTHR5 strengths · Avg: 9.4/10
Profit MarginProfitability
41.6%10/10

Keeps 42 of every $100 in revenue as profit

Operating MarginProfitability
42.2%10/10

Strong operational efficiency at 42.2%

Altman Z-ScoreHealth
8.5610/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
20.5%9/10

Every $100 of equity generates 20 in profit

P/E RatioValuation
17.9x8/10

Attractively priced relative to earnings

Areas to Watch

IRWD3 concerns · Avg: 2.3/10
Market CapQuality
$728.71M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-575.0%2/10

ROE of -575.0% — below average capital efficiency

Altman Z-ScoreHealth
-4.212/10

Distress zone — elevated risk

UTHR2 concerns · Avg: 3.0/10
PEG RatioValuation
2.224/10

Expensive relative to growth rate

Revenue GrowthGrowth
-1.9%2/10

Revenue declined 1.9%

Comparative Analysis Report

WallStSmart Research

Bull 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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