Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) Receives Average Rating of "Moderate Buy" from Brokerages

Key Points

• Vertex Pharmaceuticals has an average analyst rating of “Moderate Buy”, with 22 of 25 research firms recommending a buy and a consensus 12-month price target of about $555.91.
• The company recently reported strong quarterly results, posting earnings of $4.47 per share versus estimates of $4.24, while revenue came in at $2.99 billion and rose 8.3% year over year.
• Several insiders sold shares in recent months, including EVP Joy Liu and Director Sangeeta N. Bhatia, while institutional ownership remains high at 90.96% of the stock.

Shares of Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX - Get Free Report) have received an average rating of "Moderate Buy" from the twenty-five research firms that are currently covering the company, Marketbeat.com reports. Three research analysts have rated the stock with a hold recommendation and twenty-two have issued a buy recommendation on the company. The average 12-month price target among brokers that have issued ratings on the stock in the last year is $555.9130.

VRTX has been the subject of a number of research reports. HC Wainwright increased their price target on Vertex Pharmaceuticals from $591.00 to $641.00 and gave the company a "buy" rating in a research note on Tuesday, March 10th. Sanford C. Bernstein decreased their price target on Vertex Pharmaceuticals from $577.00 to $572.00 and set an "outperform" rating for the company in a research note on Tuesday, May 5th. Weiss Ratings raised Vertex Pharmaceuticals from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Monday, May 18th. Wall Street Zen lowered Vertex Pharmaceuticals from a "buy" rating to a "hold" rating in a research note on Saturday, May 30th. Finally, Oppenheimer raised their price objective on Vertex Pharmaceuticals from $540.00 to $600.00 and gave the stock an "outperform" rating in a research note on Tuesday, March 10th.

Vertex Pharmaceuticals Stock Performance

Shares of NASDAQ VRTX opened at $445.77 on Wednesday. The stock has a fifty day moving average price of $437.37 and a two-hundred day moving average price of $452.16. The firm has a market cap of $113.14 billion, a P/E ratio of 26.44, a PEG ratio of 1.89 and a beta of 0.30. Vertex Pharmaceuticals has a 1 year low of $362.50 and a 1 year high of $507.92.

Vertex Pharmaceuticals (NASDAQ:VRTX - Get Free Report) last issued its quarterly earnings results on Monday, May 4th. The pharmaceutical company reported $4.47 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.24 by $0.23. The firm had revenue of $2.99 billion during the quarter, compared to analyst estimates of $2.99 billion. Vertex Pharmaceuticals had a return on equity of 23.86% and a net margin of 35.51%.The firm's quarterly revenue was up 8.3% on a year-over-year basis. During the same period last year, the company posted $4.06 EPS. On average, research analysts predict that Vertex Pharmaceuticals will post 17.02 earnings per share for the current fiscal year.

Insider Transactions at Vertex Pharmaceuticals

In other news, EVP Joy Liu sold 1,104 shares of the firm's stock in a transaction on Friday, May 1st. The stock was sold at an average price of $425.02, for a total transaction of $469,222.08. Following the completion of the sale, the executive vice president directly owned 20,729 shares of the company's stock, valued at $8,810,239.58. This trade represents a 5.06% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Sangeeta N. Bhatia sold 318 shares of the firm's stock in a transaction on Monday, May 4th. The stock was sold at an average price of $423.73, for a total value of $134,746.14. Following the sale, the director directly owned 4,924 shares of the company's stock, valued at approximately $2,086,446.52. This represents a 6.07% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 13,462 shares of company stock valued at $6,095,195 in the last three months. 0.20% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Vertex Pharmaceuticals

Large investors have recently modified their holdings of the stock. Motiv8 Investments LLC purchased a new stake in shares of Vertex Pharmaceuticals in the fourth quarter valued at $26,000. Swiss RE Ltd. acquired a new stake in shares of Vertex Pharmaceuticals in the fourth quarter worth $28,000. Eagle Bay Advisors LLC acquired a new stake in shares of Vertex Pharmaceuticals in the fourth quarter worth $29,000. IMG Wealth Management Inc. boosted its position in shares of Vertex Pharmaceuticals by 277.8% in the fourth quarter. IMG Wealth Management Inc. now owns 68 shares of the pharmaceutical company's stock worth $31,000 after buying an additional 50 shares during the period. Finally, Colonial Trust Co SC boosted its position in shares of Vertex Pharmaceuticals by 118.8% in the third quarter. Colonial Trust Co SC now owns 70 shares of the pharmaceutical company's stock worth $27,000 after buying an additional 38 shares during the period. 90.96% of the stock is owned by institutional investors.

Vertex Pharmaceuticals Company Profile

Vertex Pharmaceuticals Inc is a Boston-based biotechnology company focused on the discovery, development and commercialization of therapies for serious diseases. Founded in 1989, Vertex built its reputation on research-driven drug development and is best known for its work in cystic fibrosis (CF), where its portfolio of small-molecule CFTR modulators transformed standards of care for many people with the disease. The company operates research and development, manufacturing and commercial organizations and serves patients and healthcare systems in multiple international markets.

Vertex's marketed products center on CFTR modulators that target the underlying cause of cystic fibrosis rather than just treating symptoms.

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