Vertex Pharmaceuticals Valuation
| VRTX Stock | USD 450.37 0.86 0.19% |
At this time, the company appears to be overvalued. Vertex Pharmaceuticals has a current Real Value of $363.22 per share. The regular price of the company is $450.37. Our model measures the value of Vertex Pharmaceuticals from inspecting the company fundamentals such as Return On Equity of -0.0298, shares outstanding of 257.53 M, and Operating Margin of 0.41 % as well as reviewing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Vertex Pharmaceuticals' valuation include:
Price Book 7.4343 | Enterprise Value 111.4 B | Enterprise Value Ebitda 215.1504 | Price Sales 10.9361 | Forward PE 24.57 |
Overvalued
Today
Please note that Vertex Pharmaceuticals' price fluctuation is very steady at this time. Calculation of the real value of Vertex Pharmaceuticals is based on 3 months time horizon. Increasing Vertex Pharmaceuticals' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Vertex Pharmaceuticals is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Vertex Stock. However, Vertex Pharmaceuticals' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 450.37 | Real 363.22 | Target 388.67 | Hype 450.64 | Naive 429.98 |
The intrinsic value of Vertex Pharmaceuticals' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Vertex Pharmaceuticals' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Vertex Pharmaceuticals helps investors to forecast how Vertex stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Vertex Pharmaceuticals more accurately as focusing exclusively on Vertex Pharmaceuticals' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Vertex Pharmaceuticals' intrinsic value based on its ongoing forecasts of Vertex Pharmaceuticals' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Vertex Pharmaceuticals' closest peers.
Vertex Pharmaceuticals Cash |
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Vertex Valuation Trend
Analysing the historical paterns of Vertex Pharmaceuticals' enterprise value and its market capitalization is a good way to estimate and gauge the value of Vertex Pharmaceuticals over time and is usually enough for investors to make rational market timing decisions.
Vertex Pharmaceuticals Total Value Analysis
Vertex Pharmaceuticals is at this time anticipated to have valuation of 111.38 B with market capitalization of 116.2 B, debt of 808.4 M, and cash on hands of 9.77 B. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Vertex Pharmaceuticals fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
111.38 B | 116.2 B | 808.4 M | 9.77 B |
Vertex Pharmaceuticals Investor Information
About 96.0% of the company outstanding shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.18. Vertex Pharmaceuticals recorded a loss per share of 1.9. The entity had not issued any dividends in recent years. The firm had 2:1 split on the 24th of August 2000. Based on the key indicators related to Vertex Pharmaceuticals' liquidity, profitability, solvency, and operating efficiency, Vertex Pharmaceuticals is performing exceptionally good at this time. It has a great odds to report excellent financial results in December.Vertex Pharmaceuticals Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Vertex Pharmaceuticals has an asset utilization ratio of 43.42 percent. This suggests that the Company is making $0.43 for each dollar of assets. An increasing asset utilization means that Vertex Pharmaceuticals is more efficient with each dollar of assets it utilizes for everyday operations.Vertex Pharmaceuticals Ownership Allocation
Vertex Pharmaceuticals shows a total of 257.53 Million outstanding shares. The majority of Vertex Pharmaceuticals outstanding shares are owned by institutional holders. These institutional investors are usually referred to as non-private investors looking to take positions in Vertex Pharmaceuticals to benefit from reduced commissions. Consequently, institutions are subject to a different set of regulations than regular investors in Vertex Pharmaceuticals. Please pay attention to any change in the institutional holdings of Vertex Pharmaceuticals as this could imply that something significant has changed or is about to change at the company. On October 8, 2024, Representative Ro Khanna of US Congress acquired under $15k worth of Vertex Pharmaceuticals's common stock.Vertex Pharmaceuticals Profitability Analysis
The company reported the previous year's revenue of 9.87 B. Net Income was 3.62 B with profit before overhead, payroll, taxes, and interest of 5.32 B.About Vertex Pharmaceuticals Valuation
Our relative valuation model uses a comparative analysis of Vertex Pharmaceuticals. We calculate exposure to Vertex Pharmaceuticals's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Vertex Pharmaceuticals's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 8.6 B | 9 B | |
| Pretax Profit Margin | 0.44 | 0.47 | |
| Operating Profit Margin | 0.44 | 0.46 | |
| Net Profit Margin | 0.37 | 0.39 | |
| Gross Profit Margin | 0.87 | 1.09 |
Vertex Pharmaceuticals Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 260.5 M | |
| Quarterly Earnings Growth Y O Y | 0.01 | |
| Forward Price Earnings | 24.57 |
Vertex Pharmaceuticals Current Valuation Indicators
Valuation refers to the process of determining the present value of Vertex Pharmaceuticals and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Vertex we look at many different elements of the entity such as Vertex's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Vertex Pharmaceuticals, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Vertex Pharmaceuticals' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Vertex Pharmaceuticals' worth.Additional Tools for Vertex Stock Analysis
When running Vertex Pharmaceuticals' price analysis, check to measure Vertex Pharmaceuticals' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Vertex Pharmaceuticals is operating at the current time. Most of Vertex Pharmaceuticals' value examination focuses on studying past and present price action to predict the probability of Vertex Pharmaceuticals' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Vertex Pharmaceuticals' price. Additionally, you may evaluate how the addition of Vertex Pharmaceuticals to your portfolios can decrease your overall portfolio volatility.