VERTEX PHARMACEUTICALS INC (1VRTX.MI) Stock Fundamental Analysis
Europe - Euronext Milan - 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 81 industry peers in the Biotechnology industry. 1VRTX gets an excellent profitability rating and is at the same time showing great financial health properties. An interesting combination arises when we look at growth and value: 1VRTX is growing strongly while it also seems undervalued. These ratings could make 1VRTX a good candidate for value and growth and quality investing.
1. Profitability
1.1 Basic Checks
1VRTX had positive earnings in the past year.
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 better Return On Assets (15.13%) than 86.84% of its industry peers.
1VRTX has a Return On Equity of 21.18%. This is amongst the best in the industry. 1VRTX outperforms 88.16% of its industry peers.
1VRTX has a better Return On Invested Capital (16.69%) than 90.79% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1VRTX is significantly above the industry average of 13.22%.
| 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 has a better Profit Margin (31.86%) than 86.84% of its industry peers.
The Operating Margin of 1VRTX (38.77%) is better than 92.11% of its industry peers.
1VRTX's Operating Margin has improved in the last couple of years.
The Gross Margin of 1VRTX (86.11%) is better than 75.00% of its industry peers.
In the last couple of years the Gross Margin of 1VRTX has remained more or less at the same level.
| 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1VRTX is creating value.
Compared to 1 year ago, 1VRTX has less shares outstanding
The number of shares outstanding for 1VRTX has been reduced compared to 5 years ago.
The debt/assets ratio for 1VRTX has been reduced compared to a year ago.
2.2 Solvency
1VRTX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACC1.73
WACC9.67%
2.3 Liquidity
1VRTX has a Current Ratio of 2.52. This indicates that 1VRTX is financially healthy and has no problem in meeting its short term obligations.
1VRTX has a Current ratio of 2.52. This is comparable to the rest of the industry: 1VRTX outperforms 57.89% of its industry peers.
1VRTX has a Quick Ratio of 2.16. This indicates that 1VRTX is financially healthy and has no problem in meeting its short term obligations.
1VRTX's Quick ratio of 2.16 is in line compared 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.
1VRTX shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -44.14% yearly.
1VRTX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.46%.
Measured over the past years, 1VRTX shows a very strong growth in Revenue. The Revenue has been growing by 21.50% on average per year.
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
The Earnings Per Share is expected to grow by 150.73% on average over the next years. This is a very strong growth
1VRTX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.01% yearly.
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
A Price/Earnings ratio of 23.19 indicates a rather expensive valuation of 1VRTX.
1VRTX's Price/Earnings ratio is rather cheap when compared to the industry. 1VRTX is cheaper than 80.26% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1VRTX to the average of the S&P500 Index (26.46), we can say 1VRTX is valued inline with the index average.
A Price/Forward Earnings ratio of 18.76 indicates a rather expensive valuation of 1VRTX.
1VRTX's Price/Forward Earnings ratio is rather cheap when compared to the industry. 1VRTX is cheaper than 81.58% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.10. 1VRTX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.19 | ||
| Fwd PE | 18.76 |
4.2 Price Multiples
1VRTX's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. 1VRTX is cheaper than 76.32% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, 1VRTX is valued a bit cheaper than the industry average as 78.95% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.78 | ||
| EV/EBITDA | 20.39 |
4.3 Compensation for Growth
The 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
No dividends for 1VRTX!.
| 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.