HUTCHMED DRC (HCM)vsUnited Therapeutics Corporation (UTHR)
HCM
HUTCHMED DRC
$13.32
-3.48%
HEALTHCARE · Cap: $2.44B
UTHR
United Therapeutics Corporation
$586.48
-0.80%
HEALTHCARE · Cap: $22.87B
Smart Verdict
WallStSmart Research — data-driven comparison
United Therapeutics Corporation generates 474% more annual revenue ($3.15B vs $549.12M). UTHR leads profitability with a 41.6% profit margin vs 3.3%. UTHR trades at a lower P/E of 19.1x. UTHR earns a higher WallStSmart Score of 61/100 (C+).
HCM
Avoid28
out of 100
Grade: F
UTHR
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+40.8%
Fair Value
$25.53
Current Price
$13.32
$12.21 discount
Margin of Safety
+0.7%
Fair Value
$479.17
Current Price
$586.48
$107.31 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 38 in profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
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
Areas to Watch
0.2% revenue growth
3.3% margin — thin
Operating margin of 0.3%
Weak financial health signals
Expensive relative to growth rate
Revenue declined 1.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : HCM
The strongest argument for HCM centers on Return on Equity, Debt/Equity, Price/Book.
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 : HCM
The primary concerns for HCM are Revenue Growth, Profit Margin, Operating Margin. A P/E of 140.5x leaves little room for execution misses. Thin 3.3% margins leave little buffer for downturns.
Bear Case : UTHR
The primary concerns for UTHR are PEG Ratio, Revenue Growth.
Key Dynamics to Monitor
HCM profiles as a value stock while UTHR is a declining play — different risk/reward profiles.
UTHR carries more volatility with a beta of 0.49 — expect wider price swings.
HCM is growing revenue faster at 0.2% — sustainability is the question.
UTHR generates stronger free cash flow (206M), providing more financial flexibility.
Bottom Line
UTHR scores higher overall (61/100 vs 28/100), backed by strong 41.6% margins. HCM offers better value entry with a 40.8% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
HUTCHMED DRC
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
HUTCHMED (China) Limited discovers, develops and markets targeted immunotherapies and therapies for cancer and immune diseases globally. The company is headquartered in Central, Hong Kong.
Visit Website →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.
Visit Website →Compare with Other DRUG MANUFACTURERS - SPECIALTY & GENERIC Stocks
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