As of Friday close, Vertex Pharmaceuticals Incorporated’s (NASDAQ:VRTX) stock was up $0.95, moving up 0.28 percent to $344.82. The average number of shares traded per day over the past five days has been 683,440 shares. 1 time new highs have been achieved over the past 5 days, with a -$5.04 fall in that time frame. In the last twenty days, the average volume was 980,615, while in the previous 50 days, it was 1,151,086.
Since last month, VRTX stock retreated -4.70%. Shares of the company fell to $340.20 on 08/04/23, the lowest level in the past month. A 52-week high of $367.00 was reached on 07/21/23 after having rallying from a 52-week low of $276.57. Since the beginning of this year, VRTX’s stock price has risen by 19.41% or $56.04, and marked a new high 27 times. However, the stock has declined by -6.04% since its 52-week high.
VRTX stock investors should be aware that Vertex Pharmaceuticals Incorporated (VRTX) stock had its last reported insider trading activity 9 days ago on Aug 10. Sachdev Amit, the EVP, Chief Patient Officer of the company, disposed of 10,031 shares for $350.00 on Aug 10. It resulted in a $3,510,850 divestment by the insider. Kearney Terrence C sold 10,000 shares at an average price of $350.00 on Aug 10. The insider now owns 6,536 shares following the transaction. On Aug 10, EVP, Chief Reg. & Quality Off. Tatsis Ourania sold 5,750 shares at $345.79 apiece. The transaction was valued at $1,988,293.
Valuation Metrics
Right now, Vertex Pharmaceuticals Incorporated (VRTX) has a P/E ratio of about 26.65. The stock’s beta is 0.51. Besides these, the trailing price-to-sales (P/S) ratio of 9.30, the price-to-book (PB) ratio of 5.74, and the price-to-cash flow ratio of 22.78 may also be considered.
Financial Health
In the three months ended June 29, Vertex Pharmaceuticals Incorporated’s quick ratio stood at 4.00, while its current ratio was 4.10, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 0.03, and the total debt-to-equity ratio was 0.03. On the profitability front, the trailing twelve-month gross margin is 87.90% percent. In the year ended June 29, EBITDA margin amounted to 48.34%, whereas operating margins totaled 41.70%. Based on annual data, VRTX earned $7.85 billion in gross profit and brought in $8.93 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 23.60%. Return on equity (ROE) for the past 12 months was 23.70%.
According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. VRTX’s revenue rose 11.91% to $2.37 billion during the quarter, while net income inched up to $2.49 billion. While analysts expected Vertex Pharmaceuticals Incorporated to report $3.57 quarterly earnings, the actual figure was $3.58 per share, beating the consensus estimate by 0.30%. During the quarter, the company generated $1.07 billion in EBITDA. The liabilities of Vertex Pharmaceuticals Incorporated were 4.88 billion at the end of its most recent quarter ended June 29, and its total debt was $767.6 million. The value of shareholders’ equity is $258.1 million.
Technical Picture
This quick technical analysis looks at Vertex Pharmaceuticals Incorporated’s (VRTX) price momentum. With a historical volatility rate of 11.27%, the RSI 9-day stood at 43.74% on 18 August.
With respect to its five-day moving average, the current Vertex Pharmaceuticals Incorporated price is down by -1.44% percent or -$5.04. At present, VRTX shares trade -4.87% below its 20-day simple moving average and +11.78% percent above its 100-day simple moving average. However, the stock is currently trading approximately +6.21% above its SMA50 and +10.52% above its SMA200.
Stochastic coefficient K was 18.45% and Stochastic coefficient D was 26.69%, while ATR was 5.86. Given the Stochastic reading of 22.23% for the 14-day period, the RSI (14) reading has been calculated as 46.00%. As of today, the MACD Oscillator reading stands at -2.42, while the 14-day reading stands at -2.95.
Analyst Ratings
William Blair launched its rating on Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX) to an Outperform in a note to investors on May 30, 2023. Vertex Pharmaceuticals Incorporated (VRTX) has been rated Overweight by analysts. According to 0 brokerage firms, VRTX is a sell, and 11 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 3 analysts rate Vertex Pharmaceuticals Incorporated stock as buy, with 18 recommending it as overweight.
With a median target price of $389.00, the current consensus forecast for the stock is $315.00 – $456.00. Based on these forecasts, analysts predict Vertex Pharmaceuticals Incorporated (VRTX) will achieve an average price target of $386.58.
