Vertex Pharmaceuticals Incorporated (VRTX) Stock

Vertex Pharmaceuticals Incorporated (VRTX) is a Healthcare stock trading at $485.58 (as of 2026-07-17), with a market capitalization of $123.24B and a trailing P/E of 28.4. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Vertex Pharmaceuticals Incorporated develops and commercializes therapies, including cystic fibrosis treatments such as SYMDEKO/SYMKEVI, ORKAMBI, and KALYDECO, and TRIKAFTA for patients with specified CFTR mutations. The company also advances additional programs in areas including AAT deficiency, kidney diseases, and diabetes, selling its medicines through specialty channels.

Understand Vertex Pharmaceuticals Incorporated: how it makes money

Vertex Pharmaceuticals develops and commercializes cystic fibrosis therapies, and makes money by marketing and selling CFTR-targeted medicines such as TRIKAFTA, SYMDEKO/SYMKEVI, ORKAMBI, and KALYDECO to eligible patients based on specific CF mutations.

Vertex's near-term profit model is structurally driven by product sales of CFTR modulators for cystic fibrosis, especially TRIKAFTA/KAFTRIO, since these therapies are marketed to patients with specific CFTR mutations.

Revenue by segment (latest quarter)
TRIKAFTA/KAFTRIO$2.6B
ALYFTREK$0.4B

Business quality (Strong): Strong current earnings power shows up in high operating margin (38.1%), but the commercial engine is concentrated in CF product sales tied to specific mutation eligibility, while pipeline progress remains a key uncertainty.

Valuation: At 25× earnings, VRTX trades 51% above the Pharmaceutical Products average (17×). Note: one-time items can distort reported P/E.

Bull case

  • Established commercial portfolio in cystic fibrosis: Vertex markets multiple CF therapies including TRIKAFTA (for CF patients 6 years and older with at least one F508del mutation) and other products for patients with specific CF mutations.
  • Large contribution from TRIKAFTA/KAFTRIO to product revenue: In the latest reported period ended 2026-03-31, TRIKAFTA/KAFTRIO product revenue is 2.58B out of total revenue of 3.0B.
  • Operational profitability: Operating margin for the period ended 2026-03-31 is 38.1%.

Bear case

  • Dependence on a specific patient population defined by mutations: Vertex’s marketed CF therapies are indicated for patients with specific CF mutations, which can limit addressable demand if eligibility patterns change.
  • Pipeline execution risk: VX-864 for AAT deficiency is in Phase 2 clinical trial, meaning future success is not yet proven.
Valuation — source: SEC EDGAR (first-party)
Price$485.58
Market Cap$123.24B
P/E Ratio28.4
EV / EBITDA24.0
Price / Book6.37
Price / Sales10.09
FCF Yield3.0%
DCF Value (model)$62.94
DCF Upside vs Price-87.0%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$12.00B
Net Margin32.9%
Revenue Growth (YoY)7.8%
EPS Growth (YoY)61.1%
FCF Growth (YoY)66.4%
Financial Health — source: SEC EDGAR
Altman Z-Score12.70 (safe)
Valuation vs Sector & Industry
Stock P/E28.4
Sector P/E (Healthcare)21.4
Industry P/E (Pharmaceutical Products)17.0
vs Sector32.5%
vs Industry67.4%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderCapital World Investors ($11.33B)
Institutional Holders Tracked10
Congressional Trades (recent)10
Company
SectorHealthcare
IndustryPharmaceutical Products
CEOReshma Kewalramani
Employees6,100
CountryUS
IPO Date1991-07-24

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VRTX earnings history · VRTX institutional & insider holders · VRTX KPIs & operating metrics · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-07-17.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.