VERTEX PHARMACEUTICALS INC (1VRTX.MI) Stock Fundamental Analysis
Europe - BIT:1VRTX - US92532F1003 - Common Stock
334.7 EUR
-2.05 (-0.61%)
1VRTX gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 75 industry peers in the Biotechnology industry. Both the health and profitability get an excellent rating, making 1VRTX a very profitable company, without any liquidiy or solvency issues. 1VRTX is evaluated to be cheap and growing strongly. This does not happen too often! This makes 1VRTX very considerable for value and growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year 1VRTX was profitable.
In the past year 1VRTX had a positive cash flow from operations.
1VRTX had positive earnings in 4 of the past 5 years.
Of the past 5 years 1VRTX 4 years had a positive operating cash flow.
1.2 Ratios
1VRTX has a Return On Assets of 15.13%. This is amongst the best in the industry. 1VRTX outperforms 86.84% of its industry peers.
Looking at the Return On Equity, with a value of 21.18%, 1VRTX belongs to the top of the industry, outperforming 88.16% of the companies in the same industry.
1VRTX's Return On Invested Capital of 16.69% is amongst the best of the industry. 1VRTX outperforms 90.79% of its industry peers.
1VRTX had an Average Return On Invested Capital over the past 3 years of 18.67%. This is significantly above the industry average of 12.96%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.13% | ||
| ROE | 21.18% | ||
| ROIC | 16.69% |
ROA(3y)10.62%
ROA(5y)14.47%
ROE(3y)13.73%
ROE(5y)19.12%
ROIC(3y)18.67%
ROIC(5y)19.24%
1.3 Margins
1VRTX's Profit Margin of 31.86% is amongst the best of the industry. 1VRTX outperforms 86.84% of its industry peers.
1VRTX has a Operating Margin of 38.77%. This is amongst the best in the industry. 1VRTX outperforms 92.11% of its industry peers.
In the last couple of years the Operating Margin of 1VRTX has grown nicely.
1VRTX has a better Gross Margin (86.11%) than 75.00% of its industry peers.
1VRTX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.77% | ||
| PM (TTM) | 31.86% | ||
| GM | 86.11% |
OM growth 3Y2.79%
OM growth 5Y6.75%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.74%
GM growth 5Y-0.17%
2. Health
2.1 Basic Checks
1VRTX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
1VRTX has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1VRTX has less shares outstanding
Compared to 1 year ago, 1VRTX has an improved debt to assets ratio.
2.2 Solvency
There is no outstanding debt for 1VRTX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACC1.73
WACC9.67%
2.3 Liquidity
A Current Ratio of 2.52 indicates that 1VRTX has no problem at all paying its short term obligations.
With a Current ratio value of 2.52, 1VRTX perfoms like the industry average, outperforming 57.89% of the companies in the same industry.
A Quick Ratio of 2.16 indicates that 1VRTX has no problem at all paying its short term obligations.
1VRTX has a Quick ratio of 2.16. This is comparable to the rest of the industry: 1VRTX outperforms 59.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.52 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
1VRTX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 7966.67%, which is quite impressive.
The earnings per share for 1VRTX have been decreasing by -44.14% on average. This is quite bad
Looking at the last year, 1VRTX shows a quite strong growth in Revenue. The Revenue has grown by 10.46% in the last year.
1VRTX shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.50% yearly.
EPS 1Y (TTM)7966.67%
EPS 3Y-71.86%
EPS 5Y-44.14%
EPS Q2Q%135.23%
Revenue 1Y (TTM)10.46%
Revenue growth 3Y13.31%
Revenue growth 5Y21.5%
Sales Q2Q%12.06%
3.2 Future
1VRTX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 150.73% yearly.
The Revenue is expected to grow by 10.01% on average over the next years. This is quite good.
EPS Next Y6256.61%
EPS Next 2Y749.77%
EPS Next 3Y329.69%
EPS Next 5Y150.73%
Revenue Next Year10.03%
Revenue Next 2Y9.8%
Revenue Next 3Y9.48%
Revenue Next 5Y10.01%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
1VRTX is valuated rather expensively with a Price/Earnings ratio of 23.19.
Based on the Price/Earnings ratio, 1VRTX is valued cheaply inside the industry as 80.26% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 25.51, 1VRTX is valued at the same level.
1VRTX is valuated rather expensively with a Price/Forward Earnings ratio of 18.76.
Based on the Price/Forward Earnings ratio, 1VRTX is valued cheaper than 81.58% of the companies in the same industry.
1VRTX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.19 | ||
| Fwd PE | 18.76 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1VRTX is valued a bit cheaper than 76.32% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1VRTX indicates a somewhat cheap valuation: 1VRTX is cheaper than 78.95% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.78 | ||
| EV/EBITDA | 20.39 |
4.3 Compensation for Growth
1VRTX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of 1VRTX may justify a higher PE ratio.
1VRTX's earnings are expected to grow with 329.69% in the coming years. This may justify a more expensive valuation.
PEG (NY)0
PEG (5Y)N/A
EPS Next 2Y749.77%
EPS Next 3Y329.69%
5. Dividend
5.1 Amount
1VRTX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1VRTX (9/10/2025, 7:00:00 PM)
334.7
-2.05 (-0.61%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners97.63%
Inst Owner ChangeN/A
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap85.81B
Revenue(TTM)11.42B
Net Income(TTM)3.64B
Analysts75.9
Price Target416.5 (24.44%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.87%
Min EPS beat(2)-7.2%
Max EPS beat(2)3.45%
EPS beat(4)2
Avg EPS beat(4)-0.78%
Min EPS beat(4)-7.2%
Max EPS beat(4)3.69%
EPS beat(8)5
Avg EPS beat(8)-64.35%
EPS beat(12)7
Avg EPS beat(12)-42%
EPS beat(16)10
Avg EPS beat(16)-30.64%
Revenue beat(2)1
Avg Revenue beat(2)-2.37%
Min Revenue beat(2)-4.8%
Max Revenue beat(2)0.06%
Revenue beat(4)2
Avg Revenue beat(4)-0.57%
Min Revenue beat(4)-4.8%
Max Revenue beat(4)2.68%
Revenue beat(8)3
Avg Revenue beat(8)-0.87%
Revenue beat(12)5
Avg Revenue beat(12)-0.45%
Revenue beat(16)8
Avg Revenue beat(16)0.05%
PT rev (1m)-5.11%
PT rev (3m)-11.39%
EPS NQ rev (1m)0.02%
EPS NQ rev (3m)1.8%
EPS NY rev (1m)0.71%
EPS NY rev (3m)-0.04%
Revenue NQ rev (1m)0.39%
Revenue NQ rev (3m)1.43%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)0.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.19 | ||
| Fwd PE | 18.76 | ||
| P/S | 8.82 | ||
| P/FCF | 28.78 | ||
| P/OCF | 26.18 | ||
| P/B | 5.86 | ||
| P/tB | 6.43 | ||
| EV/EBITDA | 20.39 |
EPS(TTM)14.43
EY4.31%
EPS(NY)17.84
Fwd EY5.33%
FCF(TTM)11.63
FCFY3.47%
OCF(TTM)12.78
OCFY3.82%
SpS37.95
BVpS57.08
TBVpS52.02
PEG (NY)0
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.13% | ||
| ROE | 21.18% | ||
| ROCE | 22.25% | ||
| ROIC | 16.69% | ||
| ROICexc | 24.57% | ||
| ROICexgc | 27.69% | ||
| OM | 38.77% | ||
| PM (TTM) | 31.86% | ||
| GM | 86.11% | ||
| FCFM | 30.65% |
ROA(3y)10.62%
ROA(5y)14.47%
ROE(3y)13.73%
ROE(5y)19.12%
ROIC(3y)18.67%
ROIC(5y)19.24%
ROICexc(3y)46.18%
ROICexc(5y)52.12%
ROICexgc(3y)66.07%
ROICexgc(5y)80.93%
ROCE(3y)24.89%
ROCE(5y)25.65%
ROICexgc growth 3Y-29.98%
ROICexgc growth 5Y-9.76%
ROICexc growth 3Y-22.64%
ROICexc growth 5Y-1.94%
OM growth 3Y2.79%
OM growth 5Y6.75%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.74%
GM growth 5Y-0.17%
F-Score6
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 173.52% | ||
| Cap/Sales | 3.04% | ||
| Interest Coverage | 260.41 | ||
| Cash Conversion | 83.13% | ||
| Profit Quality | 96.21% | ||
| Current Ratio | 2.52 | ||
| Quick Ratio | 2.16 | ||
| Altman-Z | N/A |
F-Score6
WACC9.67%
ROIC/WACC1.73
Cap/Depr(3y)171.61%
Cap/Depr(5y)187.83%
Cap/Sales(3y)3.11%
Cap/Sales(5y)3.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7966.67%
EPS 3Y-71.86%
EPS 5Y-44.14%
EPS Q2Q%135.23%
EPS Next Y6256.61%
EPS Next 2Y749.77%
EPS Next 3Y329.69%
EPS Next 5Y150.73%
Revenue 1Y (TTM)10.46%
Revenue growth 3Y13.31%
Revenue growth 5Y21.5%
Sales Q2Q%12.06%
Revenue Next Year10.03%
Revenue Next 2Y9.8%
Revenue Next 3Y9.48%
Revenue Next 5Y10.01%
EBIT growth 1Y4.24%
EBIT growth 3Y16.47%
EBIT growth 5Y29.7%
EBIT Next Year816.11%
EBIT Next 3Y130.8%
EBIT Next 5Y68.38%
FCF growth 1Y-9.77%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-5.45%
OCF growth 3YN/A
OCF growth 5YN/A
VERTEX PHARMACEUTICALS INC / 1VRTX.MI FAQ
Can you provide the ChartMill fundamental rating for VERTEX PHARMACEUTICALS INC?
ChartMill assigns a fundamental rating of 7 / 10 to 1VRTX.MI.
Can you provide the valuation status for VERTEX PHARMACEUTICALS INC?
ChartMill assigns a valuation rating of 6 / 10 to VERTEX PHARMACEUTICALS INC (1VRTX.MI). This can be considered as Fairly Valued.
How profitable is VERTEX PHARMACEUTICALS INC (1VRTX.MI) stock?
VERTEX PHARMACEUTICALS INC (1VRTX.MI) has a profitability rating of 7 / 10.
What is the valuation of VERTEX PHARMACEUTICALS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for VERTEX PHARMACEUTICALS INC (1VRTX.MI) is 23.19 and the Price/Book (PB) ratio is 5.86.
What is the expected EPS growth for VERTEX PHARMACEUTICALS INC (1VRTX.MI) stock?
The Earnings per Share (EPS) of VERTEX PHARMACEUTICALS INC (1VRTX.MI) is expected to grow by 6256.61% in the next year.