Collins Stewart Initiates Coverage on United Therapeutics (UTHR) with a Buy
Collins analyst says, "We believe UTHR is an emerging leader in the field of pulmonary arterial hypertension (PAH). The company currently has one marketed product (Remodulin), two drugs under FDA-review (Tyvaso (inhaled treprostinil) and Adcirca (tadalafil)), and one product in P3 development (oral treprostinil), all for the treatment of PAH. In the near term, we expect the potential approvals of Tyvaso (April 30th PDUFA) and Adcirca (May 24th PDUFA) to represent significantly positive catalysts. We view oral treprostinil as a free call option at these levels. Potential approvals of Tyvaso and Adcirca should provide a nice 1-2 punch in 2Q09: Our physician consultants are highly confident that Adcirca should receive FDA approval and cautiously optimistic on the prospects for Tyvaso's approval. They believe both drugs have competitive advantages leading to favorable uptake, with Adcirca likely cannibalizing Pfizer s Revatio, and Tyvaso likely replacing Actelion's Ventavis and potentially used in less severe Remodulin IV/SQ patients."