VRTX

Vertex Pharmaceuticals Incorporated

Fundamental data last updated:June 7, 2026

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company profile

SECTOR

Healthcare

industry

Biotechnology

Exchange

NASDAQ

County of HQ

US

Next Earnings Date

08/03/2026

Business Summary

Vertex Pharmaceuticals Incorporated, a biotechnology company, engages in developing and commercializing therapies for treating cystic fibrosis. The company markets SYMDEKO/SYMKEVI, ORKAMBI, and KALYDECO to treat patients with cystic fibrosis who have specific mutations in their cystic fibrosis transmembrane conductance regulator gene; and TRIKAFTA for the treatment of patients with CF 6 years of age or older who have at least one F508del mutation. Its pipeline includes VX-864 for the treatment of AAT deficiency, which is in Phase 2 clinical trial; VX-147 for the treatment of APOL1-mediated focal segmental glomerulosclerosis, or FSGS, and other serious kidney diseases which is in Phase 2 clinical trial; VX- 880, treatment for Type 1 Diabetes which is in Phase 1/2 clinical trial; VX-548, a NaV1.8 inhibitor for treatments of acute, neuropathic, musculoskeletal pain which is in Phase 2 clinical trial; and CTX001 for the treatment severe SCD and TDT which is in Phase 3 clinical trial. The company sells its products primarily to specialty pharmacy and specialty distributors in the United States, as well as specialty distributors and retail chains, and hospitals and clinics internationally. It has collaborations with Affinia Therapeutics, Inc.; Arbor Biotechnologies, Inc.; CRISPR Therapeutics AG.; Kymera Therapeutics, Inc.; Mammoth Biosciences, Inc.; Moderna, Inc.; Obsidian Therapeutics, Inc.; and Skyhawk Therapeutics, Inc.; as well as Ribometrix, Inc.; Genomics plc; Merck KGaA; Darmstadt, Germany, and X-Chem, Inc. Vertex Pharmaceuticals Incorporated was founded in 1989 and is headquartered in Boston, Massachusetts.

 


VALUATION

P/E

26.17

Market Cap ($M USD)

$113.41B

Forward P/E

13.49

PEG

0.14

PRICE TO SALES

9.25

PRICE TO BOOK

5.86

EV / EBITDA

21.19

5-Year Average P/E

Free Cash Flow Yield

3.27%

DCF Value

$404.50

Graham Number

$171.09

Price to FCF

30.57

EV to FCF

29.62

Earnings Yield

3.82%

FCF Yield

3.27%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$17.07

Next Year EPS Growth Estimate

$33.12

Next Year Revenue Growth Estimate

$1.94T

Return on Equity (ROE)

23.93%

FREE CASH FLOW

Operating Margin

38.97%

Debt-to-Equity

0.21

Piotroski F-Score

5

Altman Z-Score

11.77

Return on Invested Capital (ROIC)

21.13%

Current Ratio

3.02

Quick Ratio

2.57

Net Debt to EBITDA

-0.68

Interest Coverage

463.67

Gross Profit margin

86.28%

FCF PER SHARE

$14.60

REVENUE PER SHARE

$48.23

Gainseekers Quantitative Analysis

Summary

VRTX’s valuation presents a compelling case for investors focused on growth at a reasonable price. With a Forward P/E of 13.05 and a PEG ratio of 0.14, the market seems to be underestimating its growth potential. The stock traded below its DCF value, suggesting a potential undervaluation. An Altman Z-score of 11.41 indicates robust financial health, while an Earnings Yield of 3.90% underscores its profitability. Overall, the financial metrics paint a picture of a company with strong growth prospects and solid financial footing.

AI Exposure / Tech Reliance

In the biotechnology sector, VRTX is well-positioned to leverage AI and modern technology. The industry is ripe for innovation, and VRTX's focus on cutting-edge treatments aligns with technological advancements. This adaptability could enhance its competitive edge and operational efficiency.

The Bull Case

For the value-driven investor, VRTX offers a tantalizing opportunity. With an impressive ROIC of 21.13% and a solid FCF Yield, the company demonstrates exceptional capital efficiency. Its Operating Margin of 38.97% highlights strong pricing power, while a Piotroski F-Score of 5 suggests moderate financial strength. These metrics collectively indicate a company capable of generating substantial returns on investment.

The Bear Case

Despite its strengths, VRTX is not without risks. The Price/Sales ratio of 9.07 and Price/Book of 5.75 suggest a premium valuation, potentially limiting upside. Additionally, the stock's proximity to its 52-week high raises concerns about technical overextension. Investors should be wary of these valuation pressures, which could temper future returns.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$553.93

Institutional Ownership %

1-Year Beta

0.31

Insider Buying % (6 Mo)

Distance to 52-Week High

13.67%

Distance to 52-Week Low

18.87%

EARNINGS SURPRISE %

5.42%

50-DAY SMA

$437.24

200-DAY SMA

$436.63

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.