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Vertex Pharmaceuticals (VRTX) Gains As Market Dips: What You Should Know
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Vertex Pharmaceuticals (VRTX - Free Report) closed at $209.24 in the latest trading session, marking a +0.52% move from the prior day. This move outpaced the S&P 500's daily loss of 0.75%. Elsewhere, the Dow lost 0.3%, while the tech-heavy Nasdaq lost 0.23%.
Heading into today, shares of the drugmaker had gained 11.39% over the past month, outpacing the Medical sector's loss of 2.78% and the S&P 500's loss of 0.13% in that time.
Wall Street will be looking for positivity from Vertex Pharmaceuticals as it approaches its next earnings report date. In that report, analysts expect Vertex Pharmaceuticals to post earnings of $3.32 per share. This would mark year-over-year growth of 32.27%. Our most recent consensus estimate is calling for quarterly revenue of $2 billion, up 23.11% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.94 per share and revenue of $7.5 billion, which would represent changes of +25.39% and +20.81%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Vertex Pharmaceuticals. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.33% higher within the past month. Vertex Pharmaceuticals currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Vertex Pharmaceuticals is holding a Forward P/E ratio of 16.09. This valuation marks a discount compared to its industry's average Forward P/E of 21.76.
Investors should also note that VRTX has a PEG ratio of 1.57 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Medical - Biomedical and Genetics stocks are, on average, holding a PEG ratio of 1.54 based on yesterday's closing prices.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 159, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow VRTX in the coming trading sessions, be sure to utilize Zacks.com.
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Vertex Pharmaceuticals (VRTX) Gains As Market Dips: What You Should Know
Vertex Pharmaceuticals (VRTX - Free Report) closed at $209.24 in the latest trading session, marking a +0.52% move from the prior day. This move outpaced the S&P 500's daily loss of 0.75%. Elsewhere, the Dow lost 0.3%, while the tech-heavy Nasdaq lost 0.23%.
Heading into today, shares of the drugmaker had gained 11.39% over the past month, outpacing the Medical sector's loss of 2.78% and the S&P 500's loss of 0.13% in that time.
Wall Street will be looking for positivity from Vertex Pharmaceuticals as it approaches its next earnings report date. In that report, analysts expect Vertex Pharmaceuticals to post earnings of $3.32 per share. This would mark year-over-year growth of 32.27%. Our most recent consensus estimate is calling for quarterly revenue of $2 billion, up 23.11% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.94 per share and revenue of $7.5 billion, which would represent changes of +25.39% and +20.81%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Vertex Pharmaceuticals. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.33% higher within the past month. Vertex Pharmaceuticals currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Vertex Pharmaceuticals is holding a Forward P/E ratio of 16.09. This valuation marks a discount compared to its industry's average Forward P/E of 21.76.
Investors should also note that VRTX has a PEG ratio of 1.57 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Medical - Biomedical and Genetics stocks are, on average, holding a PEG ratio of 1.54 based on yesterday's closing prices.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 159, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow VRTX in the coming trading sessions, be sure to utilize Zacks.com.