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 78 industry peers in the Biotechnology industry. 1VRTX gets an excellent profitability rating and is at the same time showing great financial health properties. 1VRTX has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination! With these ratings, 1VRTX could be worth investigating further 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.
1VRTX had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of 1VRTX (15.13%) is better than 86.84% of its industry peers.
With an excellent Return On Equity value of 21.18%, 1VRTX belongs to the best of the industry, outperforming 88.16% of the companies in the same industry.
With an excellent Return On Invested Capital value of 16.69%, 1VRTX belongs to the best of the industry, outperforming 90.79% of the companies in the same industry.
1VRTX had an Average Return On Invested Capital over the past 3 years of 18.67%. This is significantly above the industry average of 12.34%.
| 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
With an excellent Profit Margin value of 31.86%, 1VRTX belongs to the best of the industry, outperforming 86.84% of the companies in the same industry.
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.
1VRTX's Gross Margin of 86.11% is fine compared to the rest of the industry. 1VRTX outperforms 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.
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.
1VRTX has a better debt/assets ratio than last year.
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.
1VRTX's Current ratio of 2.52 is in line compared to the rest of the industry. 1VRTX outperforms 57.89% of its industry peers.
A Quick Ratio of 2.16 indicates that 1VRTX has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.16, 1VRTX is in line with its industry, outperforming 59.21% of the companies in the same industry.
| 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.
Measured over the past years, 1VRTX shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -44.14% on average per year.
1VRTX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.46%.
The Revenue has been growing by 21.50% on average over the past years. This is a very strong growth!
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
Based on estimates for the next years, 1VRTX will show a very strong growth in Earnings Per Share. The EPS will grow by 150.73% on average per year.
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.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 23.19, which indicates a rather expensive current 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 (25.98), we can say 1VRTX is valued inline with the index average.
The Price/Forward Earnings ratio is 18.76, which indicates a rather expensive current valuation of 1VRTX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1VRTX indicates a rather cheap valuation: 1VRTX is cheaper than 81.58% of the companies listed in the same industry.
1VRTX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 35.79, 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
76.32% of the companies in the same industry are more expensive than 1VRTX, based on the Enterprise Value to EBITDA ratio.
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
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.
A more expensive valuation may be justified as 1VRTX's earnings are expected to grow with 329.69% in the coming years.
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.