VRTX
Vertex Pharmaceuticals
$466.79
▲ 3.4%Updated Today 7:15 PM ET
▲ Up 0.7% over the last 12 months
Market Cap
$115.02B
P/E
26.26x
Forward P/E (est.)
24.75x
ROE
23.9%
Revenue Growth
10.1%
EPS Growth
6.1%
Profit Margin
35.5%
FCF Yield
3.1%
Debt / Equity
0.01x
ROIC
17.0%
Interest Coverage
71.77x
Current Ratio
3.02x
Dividend Yield
—
Implied Growth (rev. DCF)
6.1%
Rating Score
67/100
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what VRTX's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. VRTX trades near $466.79, above its 50-day average ($437.91) and 200-day average ($439.38). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 56 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.
Volatility — ATR. Average True Range is the typical daily move. VRTX's is $11.76 (~2.5% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month VRTX found buyers near $420.01 (support) and sellers near $464.31 (resistance); its 52-week range is $362.50–$507.92. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 1.1× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
Vertex Pharmaceuticals (VRTX) is a large-cap company in the Biotechnology industry, part of the Health Care sector of the S&P 500, with a market value around $115.02B.
In its latest reported year it generated about $12.00B in revenue and $3.95B in net profit.
Our model rates VRTX Favorable (67/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
4Y CAGR
12.2%
Revenue moved from $7.57B in 2021 to $12.00B in 2025, a 12.2% compound annual growth rate. The most recent year grew a steady 10.1% year over year. Consistent top-line growth is one sign of healthy demand.
Gross Margin
86.2%
Operating Margin
34.8%
Net Margin
32.9%
ROE
23.9%
Vertex Pharmaceuticals keeps about 35.5% of each sales dollar as net profit, with a 86.2% gross margin and 34.8% operating margin. Return on equity is 23.9% and return on invested capital about 17.0%. Margins this wide usually signal pricing power or a cost advantage.
Total Debt
$105.00M
Net Debt
-$5.39B
Net cash position
Net Debt / EBITDA
-1.29x
Debt / Equity
0.01x
Leverage: debt-to-equity is 0.0x, and operating profit covers interest about 71.8x, with a current ratio of 3.0x. That is a conservative balance sheet — a cushion in downturns. It carries roughly $105.00M of total debt against $5.49B of cash.
Operating CF
$3.63B
Free Cash Flow
$3.19B
FCF Margin
26.6%
In the latest year Vertex Pharmaceuticals produced about $3.63B of operating cash flow and $3.19B of free cash flow after capital spending. That is a free-cash-flow yield of about 3.1% on today's price. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.
P/E
26.26x
P/S
9.53x
P/B
6.14x
EV / EBITDA
24.69x
VRTX trades at 26.3x trailing earnings (about 24.7x on estimated forward earnings), 9.5x sales, and 6.1x book value. Reverse-engineering today's price implies the market expects roughly 6.1% long-term free-cash-flow growth. That is a premium multiple that needs growth to justify it.
Where this stock sits versus what most companies trade at.
Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.
How VRTX stacks up against its Health Care peers — valuation, profitability, and growth versus the sector median.
In the Health Care sector (59 S&P 500 companies), VRTX ranks #11 of 59 by our overall rating. It trades at roughly in line versus the sector on earnings (26.3x P/E vs. 25.4x median) with a higher return on equity (23.9% vs. 14.9%) and faster revenue growth (10.1% vs. 7.9%).
P/E vs sector
26.3x
median 25.4x
ROE vs sector
23.9%
median 14.9%
Growth vs sector
10.1%
median 7.9%
Sector rank
#11
of 59 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Health Care companies by sub-industry and size. Sector median is across all 59 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$402.09 – $653.40
vs. $466.79 today · expected CAGR -3% – 7%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $13.20B | $14.52B | $15.97B | $17.57B | $19.33B |
| Net income | $4.36B | $4.79B | $5.27B | $5.80B | $6.38B |
| EPS | $17.16 | $18.88 | $20.77 | $22.85 | $25.13 |
| Share price (low) | $274.63 | $302.10 | $332.31 | $365.54 | $402.09 |
| Share price (high) | $446.28 | $490.91 | $540.00 | $594.00 | $653.40 |
| CAGR (low–high) | -41% / -4% | -20% / 3% | -11% / 5% | -6% / 6% | -3% / 7% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for VRTX:
- Revenue is growing 10.1% a year, a sign of real demand.
- High net margins (35.5%) point to pricing power or efficiency.
- Strong return on equity (23.9%) shows capital is put to work well.
- A conservative balance sheet (debt/equity 0.0x) lowers risk.
- Our model's overall read is Favorable (67/100).
The case against VRTX:
- Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen favourably: Vertex Pharmaceuticals is a large-cap health care business still growing nicely, with solid profitability, and a sound balance sheet. It trades at 26.3x earnings, which our model scores Favorable (67/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.