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Here's How Much You'd Have If You Invested $1000 in Vertex Pharmaceuticals a Decade Ago
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For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.
What if you'd invested in Vertex Pharmaceuticals (VRTX - Free Report) ten years ago? It may not have been easy to hold on to VRTX for all that time, but if you did, how much would your investment be worth today?
Vertex Pharmaceuticals' Business In-Depth
With that in mind, let's take a look at Vertex Pharmaceuticals' main business drivers.
Boston, MA-based Vertex Pharmaceuticals Incorporated is focused on the discovery, development, and commercialization of small molecule drugs targeting serious diseases. The company’s main area of focus is cystic fibrosis (CF).
The company’s lead marketed products are Trikafta (elexacaftor/tezacaftor/ivacaftor and ivacaftor), Symdeko/Symkevi (tezacaftor/ivacaftor and ivacaftor), Orkambi (lumacaftor/ivacaftor) and Kalydeco (ivacaftor), which are collectively approved to treat more than 75% of the 88,000 people with CF in North America, Europe and Australia. Trikafta/Kaftrio (brand name of Trikafta in EU), Vertex’s triple combination regimen, is approved for the treatment of CF in people aged 2 years and older who have at least one F508del mutation in the United States and for CF patients aged 6 and above in countries outside the United States.
While CF remains the main area of focus, Vertex is also developing treatments for sickle cell disease, beta thalassemia, acute and neuropathic pain, APOL1-mediated kidney disease, type I diabetes, and alpha-1 antitrypsin deficiency, and has earlier-stage programs in diseases such as muscular dystrophies.
Pimodivir/VX-787, for the treatment of influenza, was out-licensed to Janssen in 2014 while oncology candidates VX-970, VX-984 and VX-803 were divested to Merck KGaA in 2017.
The company recorded total revenues of $8.93 billion in 2022, up 18% year over year. Trikafta/ Kaftrio accounted for 86% of the company’s total product revenues and generated $7.69 billion in sales in 2022, Orkambi accounted for 5.7%, Kalydeco accounted for 6.2% and Symdeko comprised 2% of the same.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Vertex Pharmaceuticals, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in January 2014 would be worth $5,571.18, or a gain of 457.12%, as of January 9, 2024, according to our calculations. This return excludes dividends but includes price appreciation.
Compare this to the S&P 500's rally of 159.24% and gold's return of 58.59% over the same time frame.
Going forward, analysts are expecting more upside for VRTX.
Vertex’s cystic franchise sales continue to grow, driven by its triple therapy, Trikafta/Kaftrio. New reimbursement agreements in ex-U.S. markets and label expansions to younger age groups are driving Trikafta/Kaftrio sales higher. Vertex has a broad clinical non-CF pipeline across eight disease areas, which are progressing rapidly with multiple major near-term milestones. Multiple late-stage projects have established proof of concept. Vertex believes VX-548 has blockbuster potential as it can change the standard of care for neuropathic pain. Vertex faces minimal competition in its core CF franchise. However, the company’s dependence on just the CF franchise for commercial revenues is a concern. Some of Vertex’s non-CF programs carry a high risk. The stock has outperformed the industry so far this year.
Shares have gained 17.64% over the past four weeks and there have been 3 higher earnings estimate revisions for fiscal 2023 compared to none lower. The consensus estimate has moved up as well.
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Here's How Much You'd Have If You Invested $1000 in Vertex Pharmaceuticals a Decade Ago
For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.
What if you'd invested in Vertex Pharmaceuticals (VRTX - Free Report) ten years ago? It may not have been easy to hold on to VRTX for all that time, but if you did, how much would your investment be worth today?
Vertex Pharmaceuticals' Business In-Depth
With that in mind, let's take a look at Vertex Pharmaceuticals' main business drivers.
Boston, MA-based Vertex Pharmaceuticals Incorporated is focused on the discovery, development, and commercialization of small molecule drugs targeting serious diseases. The company’s main area of focus is cystic fibrosis (CF).
The company’s lead marketed products are Trikafta (elexacaftor/tezacaftor/ivacaftor and ivacaftor), Symdeko/Symkevi (tezacaftor/ivacaftor and ivacaftor), Orkambi (lumacaftor/ivacaftor) and Kalydeco (ivacaftor), which are collectively approved to treat more than 75% of the 88,000 people with CF in North America, Europe and Australia. Trikafta/Kaftrio (brand name of Trikafta in EU), Vertex’s triple combination regimen, is approved for the treatment of CF in people aged 2 years and older who have at least one F508del mutation in the United States and for CF patients aged 6 and above in countries outside the United States.
While CF remains the main area of focus, Vertex is also developing treatments for sickle cell disease, beta thalassemia, acute and neuropathic pain, APOL1-mediated kidney disease, type I diabetes, and alpha-1 antitrypsin deficiency, and has earlier-stage programs in diseases such as muscular dystrophies.
Pimodivir/VX-787, for the treatment of influenza, was out-licensed to Janssen in 2014 while oncology candidates VX-970, VX-984 and VX-803 were divested to Merck KGaA in 2017.
The company recorded total revenues of $8.93 billion in 2022, up 18% year over year. Trikafta/ Kaftrio accounted for 86% of the company’s total product revenues and generated $7.69 billion in sales in 2022, Orkambi accounted for 5.7%, Kalydeco accounted for 6.2% and Symdeko comprised 2% of the same.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Vertex Pharmaceuticals, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in January 2014 would be worth $5,571.18, or a gain of 457.12%, as of January 9, 2024, according to our calculations. This return excludes dividends but includes price appreciation.
Compare this to the S&P 500's rally of 159.24% and gold's return of 58.59% over the same time frame.
Going forward, analysts are expecting more upside for VRTX.
Vertex’s cystic franchise sales continue to grow, driven by its triple therapy, Trikafta/Kaftrio. New reimbursement agreements in ex-U.S. markets and label expansions to younger age groups are driving Trikafta/Kaftrio sales higher. Vertex has a broad clinical non-CF pipeline across eight disease areas, which are progressing rapidly with multiple major near-term milestones. Multiple late-stage projects have established proof of concept. Vertex believes VX-548 has blockbuster potential as it can change the standard of care for neuropathic pain. Vertex faces minimal competition in its core CF franchise. However, the company’s dependence on just the CF franchise for commercial revenues is a concern. Some of Vertex’s non-CF programs carry a high risk. The stock has outperformed the industry so far this year.
Shares have gained 17.64% over the past four weeks and there have been 3 higher earnings estimate revisions for fiscal 2023 compared to none lower. The consensus estimate has moved up as well.