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Vertex Pharmaceuticals (VRTX) Outpaces Stock Market Gains: What You Should Know
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Vertex Pharmaceuticals (VRTX - Free Report) closed at $181.34 in the latest trading session, marking a +0.63% move from the prior day. This move outpaced the S&P 500's daily gain of 0.3%.
Coming into today, shares of the drugmaker had lost 4.35% in the past month. In that same time, the Medical sector lost 6.61%, while the S&P 500 lost 2.37%.
Investors will be hoping for strength from VRTX as it approaches its next earnings release. The company is expected to report EPS of $3.12, up 18.18% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.85 billion, up 20.31% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.37 per share and revenue of $7.29 billion, which would represent changes of +19.86% and +17.44%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for VRTX. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable 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. Within the past 30 days, our consensus EPS projection remained stagnant. VRTX is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that VRTX has a Forward P/E ratio of 14.57 right now. This represents a discount compared to its industry's average Forward P/E of 23.5.
We can also see that VRTX currently has a PEG ratio of 1.48. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Biomedical and Genetics was holding an average PEG ratio of 1.49 at yesterday's closing price.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 170, putting it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Vertex Pharmaceuticals (VRTX) Outpaces Stock Market Gains: What You Should Know
Vertex Pharmaceuticals (VRTX - Free Report) closed at $181.34 in the latest trading session, marking a +0.63% move from the prior day. This move outpaced the S&P 500's daily gain of 0.3%.
Coming into today, shares of the drugmaker had lost 4.35% in the past month. In that same time, the Medical sector lost 6.61%, while the S&P 500 lost 2.37%.
Investors will be hoping for strength from VRTX as it approaches its next earnings release. The company is expected to report EPS of $3.12, up 18.18% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.85 billion, up 20.31% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.37 per share and revenue of $7.29 billion, which would represent changes of +19.86% and +17.44%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for VRTX. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable 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. Within the past 30 days, our consensus EPS projection remained stagnant. VRTX is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that VRTX has a Forward P/E ratio of 14.57 right now. This represents a discount compared to its industry's average Forward P/E of 23.5.
We can also see that VRTX currently has a PEG ratio of 1.48. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Biomedical and Genetics was holding an average PEG ratio of 1.49 at yesterday's closing price.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 170, putting it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.