Advertisement
Australia markets closed
  • ALL ORDS

    8,083.10
    -35.20 (-0.43%)
     
  • AUD/USD

    0.6643
    +0.0022 (+0.33%)
     
  • ASX 200

    7,811.80
    -36.30 (-0.46%)
     
  • OIL

    78.28
    +0.71 (+0.92%)
     
  • GOLD

    2,365.20
    -27.70 (-1.16%)
     
  • Bitcoin AUD

    105,023.01
    +267.34 (+0.26%)
     
  • CMC Crypto 200

    1,514.89
    +12.23 (+0.81%)
     
Powerball's $150 million jackpot :

Winning numbers revealed

Vertex Pharmaceuticals (VRTX) Stock Falls Amid Market Uptick: What Investors Need to Know

The most recent trading session ended with Vertex Pharmaceuticals (VRTX) standing at $394.17, reflecting a -0.8% shift from the previouse trading day's closing. The stock fell short of the S&P 500, which registered a gain of 0.03% for the day. Elsewhere, the Dow gained 0.41%, while the tech-heavy Nasdaq added 0.12%.

The drugmaker's stock has dropped by 3.41% in the past month, exceeding the Medical sector's loss of 5.81% and lagging the S&P 500's loss of 0.9%.

Investors will be eagerly watching for the performance of Vertex Pharmaceuticals in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on May 6, 2024. In that report, analysts expect Vertex Pharmaceuticals to post earnings of $4.09 per share. This would mark year-over-year growth of 34.1%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.56 billion, up 7.72% from the year-ago period.

VRTX's full-year Zacks Consensus Estimates are calling for earnings of $16.75 per share and revenue of $10.69 billion. These results would represent year-over-year changes of +9.98% and +8.33%, respectively.

ADVERTISEMENT

It is also important to note the recent changes to analyst estimates for Vertex Pharmaceuticals. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.01% lower within the past month. As of now, Vertex Pharmaceuticals holds a Zacks Rank of #4 (Sell).

Looking at its valuation, Vertex Pharmaceuticals is holding a Forward P/E ratio of 23.72. This indicates a premium in contrast to its industry's Forward P/E of 22.64.

It's also important to note that VRTX currently trades at a PEG ratio of 1.67. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Medical - Biomedical and Genetics industry had an average PEG ratio of 1.85.

The Medical - Biomedical and Genetics industry is part of the Medical sector. Currently, this industry holds a Zacks Industry Rank of 85, positioning it in the top 34% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Vertex Pharmaceuticals Incorporated (VRTX) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research