Biotechnology company United Therapeutics (NASDAQ:UTHR) will be reporting earnings tomorrow before market open. Here’s what investors should know.

United Therapeutics beat analysts’ revenue expectations by 3% last quarter, reporting revenues of $748.9 million, up 22.9% year on year. It was a strong quarter for the company, with a decent beat of analysts’ EPS estimates.

Is United Therapeutics a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting United Therapeutics’s revenue to grow 19.5% year on year to $734.3 million, slowing from the 25.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $6.84 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. United Therapeutics has missed Wall Street’s revenue estimates three times over the last two years.

Looking at United Therapeutics’s peers in the therapeutics segment, some have already reported their Q4 results, giving us a hint as to what we can expect. BioMarin Pharmaceutical delivered year-on-year revenue growth of 15.6%, beating analysts’ expectations by 4.8%, and Myriad Genetics reported revenues up 7.1%, falling short of estimates by 0.6%. BioMarin Pharmaceutical traded up 4.6% following the results.

Read our full analysis of BioMarin Pharmaceutical’s results here and Myriad Genetics’s results here.

Valuation multiples for many growth stocks have not yet reverted to their early 2021 highs, but the market has been optimistic as of late due to a soft landing. This is an economic situation where rate hikes successfully quelled inflation but did not send the economy into a recession. Furthermore, recent rate cuts and Donald Trump's triumph in the 2024 Presidential election have been tailwinds for the market, and while some of the therapeutics stocks have shown solid performance, the group has generally underperformed, with share prices down 5.5% on average over the last month. United Therapeutics is down 5.2% during the same time and is heading into earnings with an average analyst price target of $404.16 (compared to the current share price of $350.52).

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