Seek Returns logo

RMD vs. UTHR: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at RMD and UTHR, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolRMDUTHR
Company NameResMed Inc.United Therapeutics Corporation
CountryUnited StatesUnited States
GICS SectorHealth CareHealth Care
GICS IndustryHealth Care Equipment & SuppliesBiotechnology
Market Capitalization42.32 billion USD14.12 billion USD
ExchangeNYSENasdaqGS
Listing DateJune 2, 1995June 17, 1999
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of RMD and UTHR by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

RMD vs. UTHR: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolRMDUTHR
5-Day Price Return1.52%-0.60%
13-Week Price Return14.10%0.82%
26-Week Price Return20.70%-16.25%
52-Week Price Return24.97%-11.20%
Month-to-Date Return6.30%13.66%
Year-to-Date Return26.40%-11.51%
10-Day Avg. Volume0.92M0.64M
3-Month Avg. Volume0.99M0.57M
3-Month Volatility18.28%40.26%
Beta0.840.62

Profitability

Return on Equity (TTM)

RMD

25.51%

Health Care Equipment & Supplies Industry

Max
34.53%
Q3
19.38%
Median
9.52%
Q1
4.86%
Min
-7.58%

In the upper quartile for the Health Care Equipment & Supplies industry, RMD’s Return on Equity of 25.51% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

UTHR

18.73%

Biotechnology Industry

Max
77.14%
Q3
10.76%
Median
-20.08%
Q1
-42.71%
Min
-119.20%

In the upper quartile for the Biotechnology industry, UTHR’s Return on Equity of 18.73% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

RMD vs. UTHR: A comparison of their Return on Equity (TTM) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Net Profit Margin (TTM)

RMD

27.22%

Health Care Equipment & Supplies Industry

Max
23.34%
Q3
13.06%
Median
9.53%
Q1
5.96%
Min
-3.87%

RMD’s Net Profit Margin of 27.22% is exceptionally high, placing it well beyond the typical range for the Health Care Equipment & Supplies industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

UTHR

40.36%

Biotechnology Industry

Max
59.44%
Q3
16.21%
Median
-11.49%
Q1
-167.42%
Min
-409.07%

A Net Profit Margin of 40.36% places UTHR in the upper quartile for the Biotechnology industry, signifying strong profitability and more effective cost management than most of its peers.

RMD vs. UTHR: A comparison of their Net Profit Margin (TTM) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Operating Profit Margin (TTM)

RMD

32.75%

Health Care Equipment & Supplies Industry

Max
29.44%
Q3
17.80%
Median
13.95%
Q1
8.73%
Min
-3.56%

RMD’s Operating Profit Margin of 32.75% is exceptionally high, placing it well above the typical range for the Health Care Equipment & Supplies industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

UTHR

47.05%

Biotechnology Industry

Max
60.62%
Q3
20.76%
Median
-12.41%
Q1
-181.14%
Min
-482.02%

An Operating Profit Margin of 47.05% places UTHR in the upper quartile for the Biotechnology industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

RMD vs. UTHR: A comparison of their Operating Profit Margin (TTM) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Profitability at a Glance

SymbolRMDUTHR
Return on Equity (TTM)25.51%18.73%
Return on Assets (TTM)18.61%16.48%
Net Profit Margin (TTM)27.22%40.36%
Operating Profit Margin (TTM)32.75%47.05%
Gross Profit Margin (TTM)59.33%88.98%

Financial Strength

Current Ratio (MRQ)

RMD

3.44

Health Care Equipment & Supplies Industry

Max
4.90
Q3
3.05
Median
2.14
Q1
1.49
Min
0.86

RMD’s Current Ratio of 3.44 is in the upper quartile for the Health Care Equipment & Supplies industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

UTHR

7.26

Biotechnology Industry

Max
19.31
Q3
9.38
Median
4.54
Q1
2.45
Min
0.76

UTHR’s Current Ratio of 7.26 aligns with the median group of the Biotechnology industry, indicating that its short-term liquidity is in line with its sector peers.

RMD vs. UTHR: A comparison of their Current Ratio (MRQ) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Debt-to-Equity Ratio (MRQ)

RMD

0.11

Health Care Equipment & Supplies Industry

Max
1.49
Q3
0.71
Median
0.45
Q1
0.14
Min
0.00

Falling into the lower quartile for the Health Care Equipment & Supplies industry, RMD’s Debt-to-Equity Ratio of 0.11 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

UTHR

0.00

Biotechnology Industry

Max
1.35
Q3
0.64
Median
0.09
Q1
0.00
Min
0.00

UTHR’s Debt-to-Equity Ratio of 0.00 is typical for the Biotechnology industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

RMD vs. UTHR: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Interest Coverage Ratio (TTM)

RMD

661.20

Health Care Equipment & Supplies Industry

Max
58.29
Q3
25.56
Median
9.06
Q1
3.60
Min
-28.92

With an Interest Coverage Ratio of 661.20, RMD demonstrates a superior capacity to service its debt, placing it well above the typical range for the Health Care Equipment & Supplies industry. This stems from either robust earnings or a conservative debt load.

UTHR

42.15

Biotechnology Industry

Max
72.37
Q3
1.91
Median
-7.81
Q1
-63.90
Min
-153.80

UTHR’s Interest Coverage Ratio of 42.15 is in the upper quartile for the Biotechnology industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

RMD vs. UTHR: A comparison of their Interest Coverage Ratio (TTM) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Financial Strength at a Glance

SymbolRMDUTHR
Current Ratio (MRQ)3.447.26
Quick Ratio (MRQ)2.166.94
Debt-to-Equity Ratio (MRQ)0.110.00
Interest Coverage Ratio (TTM)661.2042.15

Growth

Revenue Growth

RMD vs. UTHR: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

RMD vs. UTHR: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

RMD

0.74%

Health Care Equipment & Supplies Industry

Max
4.05%
Q3
1.76%
Median
0.71%
Q1
0.00%
Min
0.00%

RMD’s Dividend Yield of 0.74% is consistent with its peers in the Health Care Equipment & Supplies industry, providing a dividend return that is standard for its sector.

UTHR

0.00%

Biotechnology Industry

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

UTHR currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

RMD vs. UTHR: A comparison of their Dividend Yield (TTM) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Dividend Payout Ratio (TTM)

RMD

22.19%

Health Care Equipment & Supplies Industry

Max
160.00%
Q3
72.47%
Median
27.49%
Q1
0.00%
Min
0.00%

RMD’s Dividend Payout Ratio of 22.19% is within the typical range for the Health Care Equipment & Supplies industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

UTHR

0.00%

Biotechnology Industry

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

UTHR has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

RMD vs. UTHR: A comparison of their Dividend Payout Ratio (TTM) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Dividend at a Glance

SymbolRMDUTHR
Dividend Yield (TTM)0.74%0.00%
Dividend Payout Ratio (TTM)22.19%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

RMD

30.13

Health Care Equipment & Supplies Industry

Max
73.48
Q3
51.69
Median
34.31
Q1
25.74
Min
11.47

RMD’s P/E Ratio of 30.13 is within the middle range for the Health Care Equipment & Supplies industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

UTHR

11.39

Biotechnology Industry

Max
60.14
Q3
38.17
Median
29.01
Q1
15.12
Min
0.00

In the lower quartile for the Biotechnology industry, UTHR’s P/E Ratio of 11.39 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

RMD vs. UTHR: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Price-to-Sales Ratio (TTM)

RMD

8.20

Health Care Equipment & Supplies Industry

Max
9.53
Q3
5.26
Median
3.39
Q1
2.13
Min
0.00

RMD’s P/S Ratio of 8.20 is in the upper echelon for the Health Care Equipment & Supplies industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

UTHR

4.60

Biotechnology Industry

Max
76.98
Q3
36.53
Median
9.49
Q1
4.49
Min
0.00

UTHR’s P/S Ratio of 4.60 aligns with the market consensus for the Biotechnology industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

RMD vs. UTHR: A comparison of their Price-to-Sales Ratio (TTM) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Price-to-Book Ratio (MRQ)

RMD

6.34

Health Care Equipment & Supplies Industry

Max
10.85
Q3
5.98
Median
3.48
Q1
2.43
Min
0.69

RMD’s P/B Ratio of 6.34 is in the upper tier for the Health Care Equipment & Supplies industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

UTHR

1.81

Biotechnology Industry

Max
20.53
Q3
9.76
Median
4.77
Q1
2.49
Min
0.59

UTHR’s P/B Ratio of 1.81 is in the lower quartile for the Biotechnology industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

RMD vs. UTHR: A comparison of their Price-to-Book Ratio (MRQ) against their respective Health Care Equipment & Supplies and Biotechnology industry benchmarks.

Valuation at a Glance

SymbolRMDUTHR
Price-to-Earnings Ratio (TTM)30.1311.39
Price-to-Sales Ratio (TTM)8.204.60
Price-to-Book Ratio (MRQ)6.341.81
Price-to-Free Cash Flow Ratio (TTM)25.5713.21