Analysts estimate Vertex Pharmaceuticals Incorporated (VRTX) To Grow by 11.48%: Here is Why

Vertex Pharmaceuticals Incorporated (VRTX) is owned by a number of high-value investors. Its largest direct holder is Jeffrey M Leiden Chairman of the Board, Chief Executive Officer and President with 106,346 shares. The second-largest direct holder is Michael Parini Executive Vice President, Chief Legal Officer and Chief Administrative Officer, with 35,003 shares of the company’s stock. In third place with 33,416 shares of VRTX is Amit K. Sachdev Executive Vice President and Chief Regulatory Officer.

Now turning to institutional ownership of Vertex Pharmaceuticals Incorporated (VRTX), T. Rowe Price Associates, Inc. (Investment Management) is the top holder with 26.29 million shares. The next largest fund holder of this company’s stock is Fidelity Management & Research Co. with 23.76 million shares. In the third-place spot with 19.56 million shares is The Vanguard Group, Inc..

This company’s stock price was $220.79 at the previous market close, with its latest volume reaching 1056452. Compare that to its average daily volume of 1.27M. Given the fact that this stock has 256.95M shares outstanding, its current market value is sitting at $56.73B. This publicly-traded stock’s 60-month Beta is 1.48. Its Price to Sales ratio is 15.67, its Price to Cash Flow ratio is 14.20, and its Price to Book ratio is 10.80.

VRTX stock has achieved a 5-day range of $218.07 to $223.73, with a total performance of -1.11% during that period. Meanwhile, in the past month of trading, this stock has traded in the range of $195.11 to $223.73, generating a +9.88% change during the period. In the past three months, this stock’s price has changed by +22.65%, trading in the range of $165.23 to $223.73.

In the past 5 days, shares of VRTX have made a new high 1 time. In the last month, it has made a new high 10 times, and in the past 3 months, it has made a new high 19 times.

Now let’s turn to this public company’s earnings. For the quarter ending 9/29/2019, the earnings per share (EPS) was reported at 1.23. This is a 0.08 difference compared to the consensus estimate of 1.15, amounting to an earnings surprise of 7.00%. In the previous quarter, which ended in 9/29/2019, the consensus estimate was 1.07, making for an earnings surprise of 17.80%. For the quarter ending 3/30/2019, EPS was reported at 1.14, generating a 17.50% earnings surprise.

The Net Income for the most recent full fiscal year, which ended in 12-2018, was $2.09 billion. This is compared to the prior year, where Net Income was $91.64 million. Meanwhile, this company’s Operating Cash Flow was $1.27 billion for the year, compared to $844.94 million in 2017. Capital Expenditures for the year were reportedly -$95.52 million, compared to -$99.42 million, and Free Cash flow was $1.17 billion compared to the prior year’s $745.52 million.

Vertex Pharmaceuticals Incorporated (VRTX) stock currently has a Financial Strength score of 8/10. This is due to a combination of factors, including a Cash to Debt ratio of 6.61, an Equity to Asset ratio of 0.7, a Debt to Equity ratio of 0.12 and a Debt to EBITDA of 0.69. The Interest Coverage of this stock is 32.7, its Piotroski F-Score is 4, its Altman Z-Score is 16.04 and its Beneish M-Score is 1.65.

This publicly-traded company’s Profitability and Growth score is 4/10, thanks to a combination of things: an Operating Margin of 22.26, a Net Margin of 59.23, a ROE of 47.88, and a ROC of 96.72.

Shifting focus now to Valuation and Return for VRTX, this company’s Price to Tangible Book is 11.82 and its Price to Median PS Value is 0.97. Price to Peter Lynch Fair Value for VRTX is now 0.00, and this organization’s Price to Graham Number is 3.75.

Certain ratios provide helpful insights into how a stock is performing. The Quick Ratio for VRTX is sitting at 3.32, while its Current Ratio is 3.44. This stock’s PB Ratio is 10.81, its PS Ratio is 15.86, its Forward PE Ratio is 33.9, and its PE Ratio without NRI is 26.77. Similarly, its Price to Owner Earnings is 59.46, its Price to Free Cash Flow is 42.11 and its Price to Operating Cash Flow is 39.94.