DCF Valuation
Base-case fair value
$692.23
Intrinsic $922.97 · 25% MOS
Current price: $551.47
Base-case summary
Our base-case DCF for UNITED THERAPEUTICS Corp (UTHR) projects 10 years of free cash flow growth at 16.3% for years 1–5 and 8.2% for years 6–10, anchored to 16.3% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $1.0B in trailing free cash flow, this produces an intrinsic value of $922.97 per share. A 25% safety margin gives a fair value of $692.23, suggesting the stock is currently 26% undervalued against the $551.47 market price.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$1.0B
Cash & equivalents
$2.2B
Total debt
$0
Shares outstanding
47M