Vertex Pharmaceuticals (VRTX - Free Report) closed at $218.95 in the latest trading session, marking a -0.01% move from the prior day. This change lagged the S&P 500's daily gain of 0.3%. Meanwhile, the Dow gained 0.27%, and the Nasdaq, a tech-heavy index, added 0.3%.
Coming into today, shares of the drugmaker had lost 0.82% in the past month. In that same time, the Medical sector gained 3.08%, while the S&P 500 gained 2.69%.
Wall Street will be looking for positivity from VRTX as it approaches its next earnings report date. The company is expected to report EPS of $1.17, down 10% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $996.44 million, up 14.52% from the year-ago period.
Any recent changes to analyst estimates for VRTX should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. VRTX is holding a Zacks Rank of #2 (Buy) right now.
Looking at its valuation, VRTX is holding a Forward P/E ratio of 45.39. This valuation marks a premium compared to its industry's average Forward P/E of 24.57.
Also, we should mention that VRTX has a PEG ratio of 1.55. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Medical - Biomedical and Genetics stocks are, on average, holding a PEG ratio of 1.82 based on yesterday's closing prices.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 59, putting it in the top 24% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.