Takeda Pharmaceutical Co. (TAK) vs United Therapeutics Corporation (UTHR)

Takeda Pharmaceutical Co. and United Therapeutics Corporation are both Drug Manufacturers Specialty & Generic companies. Takeda Pharmaceutical Co. is the larger, with a market value of $67.7B against $24.3B — 2.8× the size. United Therapeutics Corporation trades at the lower P/E: 19.7× against 32.0×. United Therapeutics Corporation grew revenue faster over the last twelve months: 1.89% against 0.66%. United Therapeutics Corporation has the higher net margin (38.6% vs 7.12%) and the higher return on invested capital (30.1% vs 0.00%). Across the 22 metrics below, United Therapeutics Corporation leads on 16 and Takeda Pharmaceutical Co. on 6.

Valuation

Metric TAK UTHR Drug Manufacturers Specialty & Generic median
P/E 31.97 19.75 20.55
P/S 2.24 7.57 2.08
P/B 1.44 3.77 1.79
Price to free cash flow 8.42 27.99 16.29
EV/EBITDA 11.17 14.74 12.22
EV/Sales 3.10 6.55 2.87
Earnings yield 3.13% 5.06% (15.94%)
Free cash flow yield 11.88% 3.57% 0.00%

Profitability

Metric TAK UTHR Drug Manufacturers Specialty & Generic median
Gross margin 65.85% 86.34% 53.51%
Operating margin 11.61% 41.45% 0.00%
Net margin 7.12% 38.61% (2.45%)
Free cash flow margin 0.00% 27.21% 0.00%
Return on equity 0.00% 19.13% (0.80%)
Return on assets 0.00% 17.11% (1.67%)
Return on invested capital 0.00% 30.13% 0.00%

Growth

Metric TAK UTHR Drug Manufacturers Specialty & Generic median
Revenue growth (TTM) 0.66% 1.89% 5.22%
EPS growth (last fiscal year) (244.86%) 13.07% 42.91%
Revenue growth, 5-year CAGR (0.21%) 16.50% 7.24%
Net income growth, 5-year CAGR 0.00% 20.99% 0.00%

Health

Metric TAK UTHR Drug Manufacturers Specialty & Generic median
Debt to equity 0.62 0.00 0.04
Current ratio 1.15 4.66 2.41
Net debt to EBITDA 5.84 (1.85) 1.01

Dividend

Metric TAK UTHR Drug Manufacturers Specialty & Generic median
Dividend yield 1.45% — 1.45%
Payout ratio 0.46 — 0.27

Size

Metric TAK UTHR Drug Manufacturers Specialty & Generic median
Market cap 67.70b 24.26b 315.39m

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