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Vertex Pharmaceuticals Incorporated
NASDAQ: VRTX Healthcare Pharma 🔎 Screen
S&P 500 Nasdaq 100
🏹 Trader: 🚀 Stage 2 + Near High 📈 Stage 2 🎯 Near 52W High | BRS 76 Ready View all →
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$131.7B
Market Cap
29.6
P/E
0.15
PEG
30.5%
ROCE
22.5%
ROE
0.11
D/E
39.1%
OPM
-7.6%
% from 52W High
77
α RS
🔍 VRTX is showing a high-conviction setup because it matches 18 of 39 tracked screener presets, Sector RRG has Technology in the Leading quadrant with the trail still rolling over, and RS Rating is 77. Net: Broad signal stack, not a recommendation. ? Conviction RRG RS Rating
Sources
Conviction 18/39 · Technology in Leading quadrant · RS Rating 77
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Currency-adjusted total returns for VRTX including FX impact
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📈 Price History
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About

Vertex Pharmaceuticals Incorporated operates as a biotechnology company in the United States, Europe, and internationally. The company offers transformative medicines for people with serious diseases with a focus on specialty markets, such as cystic fibrosis (CF), sickle cell disease (SCD), transfusion dependent beta thalassemia (TDT), and acute pain. It markets TRIKAFTA/KAFTRIO for people with CF with at least one F508del mutation for 2 years of age and older; ALYFTREK for the treatment for people with CF 6 years of age and older; SYMDEKO/SYMKEVI for treatment of patients with CF 6 years of age and older; ORKAMBI for CF patients 1 year or older; and KALYDECO for the treatment of patients with 1 month or older who have CF with ivacaftor. The company also develops CASGEVY for the treatment of SCD and TDT; JOURNAVX for the treatment of acute pain in adults; VX-522, a CFTR mRNA therapeutic designed to treat the underlying cause of CF, which is in Phase 1/2 clinical trial; inaxaplin for the treatment of APOL1-mediated kidney disease, which is in single Phase 2 trial; VX-264 for treating Type 1 Diabetes; VX-670 for the treatment of myotonic dystrophy type 1; and VX-407, a small molecule corrector for the treatment of autosomal dominant polycystic kidney disease. In addition, the company also operates as a clinical-stage pharmaceutical company, that focuses on the discovery, development, and commercialization of novel therapeutics for rare endocrine diseases and endocrine-related tumors. The company sells its products primarily to specialty pharmacy and distributors, wholesalers, retail pharmacies, hospitals, and clinics. Vertex Pharmaceuticals Incorporated has a strategic collaboration with AbCellera Biologics Inc. to research, develop, manufacture, and commercialize multispecific T-cell engagers (TCEs) for autoimmune diseases and other conditions. Vertex Pharmaceuticals Incorporated was founded in 1989 and is headquartered in Boston, Massachusetts.

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Manager Shares Value % of Fund Period
Jim Simons Renaissance Technologies LLC 421.7K $188.3M 0.29% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q2 2026
Revenue
$3.33B
+12% YoY
Non-GAAP EPS
$4.73
+5% YoY
Gross Margin
85.6%
N/A
GAAP Net Income
$1.1B
+10% YoY
What Went Right
  • CASGEVY revenue of $76M grew ~150% YoY and >75% sequentially, with more infusions in H1 2026 than all of 2025.
  • JOURNAVX revenue of $50M nearly 4x Q2 2025, with Q2 prescriptions of ~535,000 and 18,000 new prescribers added.
  • ALYFTREK crossed $1B in H1 2026 revenue, and POVI BLA accepted with a November 30 PDUFA date.
What to Watch
  • JOURNAVX gross-to-net normalization is now expected in H1 2027, not 2026, as PSP utilization is running ahead of forecast due to coverage restrictions.
  • Gross margin came in at 85.6% and is expected to be just under 86% for the full year, with mix and manufacturing investments more pronounced in H2.
  • CF growth drivers such as prior-year U.S. price increases and FX are expected to contribute less in H2, and CASGEVY revenue remains lumpy around infusion timing.
Management Guidance
  • FY2026 total revenue guidance raised to $13.1B-$13.2B.
  • FY2026 non-CF product revenue expected at $500M or greater.
  • Combined non-GAAP R&D, AIPR&D and SG&A expense reiterated at $5.65B-$5.75B, now expected at the high end.
  • Non-GAAP effective tax rate maintained at 19.5%-20.5%; gross margin expected just under 86%.
  • Crinetics acquisition expected to close in Q3 2026 with modest 2026 revenue/opex impact and accretion to non-GAAP operating income in 2029.
Investor Lens
The thesis is stronger after this quarter: revenue beat and guidance was raised, with CF still growing 11% and the newer assets CASGEVY and JOURNAVX scaling quickly. The path to a fifth pillar via Crinetics adds diversification and a ~$5B peak-sales opportunity, while POVI's upcoming November PDUFA gives another near-term catalyst. The main caveat is near-term earnings growth is being held back by commercial investment and the delay in JOURNAVX gross-to-net normalization, but the long-term growth story remains intact.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Solid beat-and-raise quarter: revenue $3.33B, +12% YoY
Revenue
Q2 total revenue was $3.33B, +12% YoY, with U.S. revenue up 11% to $2.06B and OUS revenue up 14% to $1.28B. Global CF revenue grew 11%, while CASGEVY contributed $76M and JOURNAVX contributed $50M.
Profitability
Non-GAAP EPS was $4.73, up 5% YoY. GAAP net income was $1.1B versus $1.0B in the prior-year quarter, and non-GAAP net income was approximately $1.2B.
Margins
Gross margin was 85.6%, down sequentially from Q1, and full-year gross margin is expected to be just under 86% as product mix shifts toward higher-cost CASGEVY and manufacturing investments intensify in H2. Non-GAAP SG&A rose 45% YoY to $520M on pain and renal launch investment, while non-GAAP R&D was $889M, up only 1%.
Balance Sheet
Cash and investments were $13.6B at quarter-end. Vertex repurchased roughly 1 million shares for $455M in Q2. The Crinetics acquisition is expected to be funded with cash on hand and a $4.5B term loan.
Key Risks
JOURNAVX gross-to-net normalization was pushed to H1 2027 because about 80M covered lives still have restrictions and PSP usage is running higher than forecast. Gross margin pressure from mix and manufacturing investments is expected to be more pronounced in H2. Management also flagged that CF growth will moderate in H2 as price and FX tailwinds fade, and CASGEVY revenue will continue to vary quarter-to-quarter with infusion timing.
Outlook
FY2026 revenue guidance was raised to $13.1B-$13.2B, with at least $500M expected from CASGEVY and JOURNAVX combined. Combined non-GAAP opex is reiterated at $5.65B-$5.75B, now expected at the high end, and the non-GAAP tax rate remains 19.5%-20.5%; Crinetics is expected to close in Q3 with a modest 2026 impact.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-08-03
Q2 2026 revenue rose 12% year-over-year to $3.3B, led by CF, CASGEVY, and JOURNAVX growth. The company raised full-year guidance, advanced its pipeline, and announced the $8.8B Crinetics acquisition, adding a fifth commercial pillar in rare endocrine diseases.
Q1 2026 Q1 2026 2026-05-04
Q1 2026 revenue rose 8% year-over-year to $2.99B, with strong growth in CF and new products like ALYFTREK, CASGEVY, and JOURNAVX. Robust R&D and commercial execution support 2026 guidance of $12.95–$13.1B revenue and over $500M from non-CF products.
Q4 2025 Q4 2025 2026-02-12
Q4 and full-year 2025 saw strong revenue and earnings growth, driven by CF franchise strength, new launches (CASGEVY, JOURNAVX), and pipeline progress. 2026 guidance projects 8–9% revenue growth, with significant contributions from non-CF products and continued investment in innovation.
Q3 2025 Q3 2025 2025-11-03
Q3 2025 saw 11% revenue growth to $3.08B, driven by strong CF franchise, new launches, and pipeline progress. Guidance was raised, with ALYFTREK, CASGEVY, and Journavx fueling diversification and global expansion. Cash reserves remain robust, supporting continued investment.
Q2 2025 Q2 2025 2025-08-04
Q2 2025 revenue grew 12% year-over-year to $2.96 billion, driven by strong launches of ALYFTREK, JOURNAVX, and CASGEVY. Net income reached $1.2 billion, and guidance for 2025 was reiterated, with continued investment in R&D and commercial expansion.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
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No Investment Recommendation:
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Information Sources:
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