Prescott Group Capital Management L.L.C. Makes New $289,000 Investment in Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX)

Key Points

• Prescott Group Capital Management acquired 597 shares of Vertex Pharmaceuticals worth approximately $289,000 in the first quarter, marking a new investment in the company.
• Institutional investors now own 90.96% of Vertex Pharmaceuticals, indicating strong institutional interest in the company's stock.
• Vertex Pharmaceuticals recently reported a 2.6% increase in quarterly revenue year-over-year, but missed earnings estimates with an EPS of $4.06 against a consensus of $4.29.

Prescott Group Capital Management L.L.C. acquired a new position in shares of Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX - Free Report) during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund acquired 597 shares of the pharmaceutical company's stock, valued at approximately $289,000.

Several other institutional investors also recently modified their holdings of the company. Capital World Investors raised its position in Vertex Pharmaceuticals by 5.7% during the fourth quarter. Capital World Investors now owns 28,325,695 shares of the pharmaceutical company's stock valued at $11,406,667,000 after purchasing an additional 1,514,993 shares in the last quarter. Capital Research Global Investors lifted its position in shares of Vertex Pharmaceuticals by 15.8% during the 4th quarter. Capital Research Global Investors now owns 10,428,951 shares of the pharmaceutical company's stock worth $4,199,713,000 after buying an additional 1,426,746 shares during the last quarter. Wellington Management Group LLP boosted its stake in Vertex Pharmaceuticals by 23.3% in the fourth quarter. Wellington Management Group LLP now owns 5,916,084 shares of the pharmaceutical company's stock valued at $2,382,407,000 after buying an additional 1,117,214 shares in the last quarter. Jennison Associates LLC grew its position in Vertex Pharmaceuticals by 17.2% in the first quarter. Jennison Associates LLC now owns 5,062,442 shares of the pharmaceutical company's stock valued at $2,454,373,000 after acquiring an additional 744,680 shares during the last quarter. Finally, Loomis Sayles & Co. L P raised its stake in Vertex Pharmaceuticals by 23.0% during the fourth quarter. Loomis Sayles & Co. L P now owns 3,772,789 shares of the pharmaceutical company's stock worth $1,519,302,000 after acquiring an additional 704,575 shares in the last quarter. 90.96% of the stock is currently owned by institutional investors and hedge funds.

Vertex Pharmaceuticals Stock Up 1.3%

VRTX stock traded up $5.98 during midday trading on Tuesday, reaching $466.81. 440,122 shares of the company's stock traded hands, compared to its average volume of 1,517,544. The company has a market cap of $119.88 billion, a price-to-earnings ratio of -119.15 and a beta of 0.41. The firm's fifty day moving average price is $453.53 and its 200-day moving average price is $465.77. The company has a quick ratio of 2.29, a current ratio of 2.65 and a debt-to-equity ratio of 0.01. Vertex Pharmaceuticals Incorporated has a 52 week low of $377.85 and a 52 week high of $519.88.

Vertex Pharmaceuticals (NASDAQ:VRTX - Get Free Report) last announced its quarterly earnings results on Monday, May 5th. The pharmaceutical company reported $4.06 EPS for the quarter, missing analysts' consensus estimates of $4.29 by ($0.23). The business had revenue of $2.77 billion for the quarter, compared to the consensus estimate of $2.85 billion. Vertex Pharmaceuticals had a negative net margin of 8.91% and a negative return on equity of 3.36%. The business's revenue for the quarter was up 2.6% compared to the same quarter last year. During the same quarter last year, the firm posted $4.76 EPS. As a group, sell-side analysts forecast that Vertex Pharmaceuticals Incorporated will post 15.63 earnings per share for the current fiscal year.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on VRTX shares. The Goldman Sachs Group restated a "buy" rating on shares of Vertex Pharmaceuticals in a research note on Tuesday, May 6th. Needham & Company LLC reiterated a "hold" rating on shares of Vertex Pharmaceuticals in a report on Tuesday, May 6th. HC Wainwright reiterated a "buy" rating and issued a $550.00 price target on shares of Vertex Pharmaceuticals in a research note on Monday, June 23rd. Bank of America boosted their price objective on Vertex Pharmaceuticals from $555.00 to $567.00 and gave the stock a "buy" rating in a research report on Monday, March 31st. Finally, Scotiabank lowered their target price on Vertex Pharmaceuticals from $450.00 to $442.00 and set a "sector perform" rating for the company in a report on Tuesday, May 6th. Fourteen research analysts have rated the stock with a hold rating, thirteen have issued a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $512.30.

Vertex Pharmaceuticals Profile

Vertex Pharmaceuticals Incorporated, a biotechnology company, engages in developing and commercializing therapies for treating cystic fibrosis (CF). It markets TRIKAFTA/KAFTRIO for people with CF with at least one F508del mutation for 2 years of age or older; SYMDEKO/SYMKEVI for people with CF for 6 years of age or older; ORKAMBI for CF patients 1 year or older; and KALYDECO for the treatment of patients with 1 year or older who have CF with ivacaftor.