Vertex Pharmaceuticals (NASDAQ:VRTX) Hits New 1-Year High – Here’s Why

Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX)’s share price reached a new 52-week high on Monday . The company traded as high as $546.17 and last traded at $525.6690, with a volume of 654559 shares traded. The stock had previously closed at $496.07.

Analysts Set New Price Targets

VRTX has been the topic of several research analyst reports. Sanford C. Bernstein raised Vertex Pharmaceuticals to a “strong-buy” rating in a research report on Wednesday, July 29th. Barclays increased their target price on shares of Vertex Pharmaceuticals from $615.00 to $617.00 and gave the company an “overweight” rating in a research note on Wednesday, August 5th. Wall Street Zen downgraded shares of Vertex Pharmaceuticals from a “buy” rating to a “hold” rating in a research note on Sunday, June 28th. TD Cowen upped their price objective on Vertex Pharmaceuticals from $525.00 to $550.00 and gave the company a “buy” rating in a research note on Tuesday, August 4th. Finally, Cantor Fitzgerald increased their target price on shares of Vertex Pharmaceuticals from $590.00 to $595.00 and gave the stock an “overweight” rating in a research report on Tuesday, August 4th. One analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $563.50.

Vertex Pharmaceuticals Price Performance

The business has a 50 day simple moving average of $474.84 and a 200 day simple moving average of $461.66. The company has a market cap of $134.73 billion, a price-to-earnings ratio of 30.87, a price-to-earnings-growth ratio of 2.05 and a beta of 0.30.

Vertex Pharmaceuticals (NASDAQ:VRTX) last announced its earnings results on Monday, August 3rd. The pharmaceutical company reported $4.73 earnings per share for the quarter, missing analysts’ consensus estimates of $4.74 by ($0.01). Vertex Pharmaceuticals had a net margin of 35.00% and a return on equity of 23.09%. The business had revenue of $3.33 billion during the quarter, compared to analyst estimates of $3.23 billion. During the same quarter last year, the business posted $4.52 earnings per share. The business’s quarterly revenue was up 12.5% compared to the same quarter last year. As a group, sell-side analysts anticipate that Vertex Pharmaceuticals Incorporated will post 16.86 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CMO Carmen Bozic sold 6,988 shares of the company’s stock in a transaction that occurred on Tuesday, May 12th. The shares were sold at an average price of $450.00, for a total value of $3,144,600.00. Following the completion of the transaction, the chief marketing officer owned 26,088 shares in the company, valued at $11,739,600. This represents a 21.13% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Ourania Tatsis sold 1,500 shares of the stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $524.99, for a total value of $787,485.00. Following the transaction, the executive vice president owned 45,321 shares of the company’s stock, valued at approximately $23,793,071.79. The trade was a 3.20% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 17,452 shares of company stock valued at $8,103,997 in the last 90 days. 0.20% of the stock is owned by insiders.

Hedge Funds Weigh In On Vertex Pharmaceuticals

A number of institutional investors have recently added to or reduced their stakes in the company. Bangor Savings Bank increased its stake in shares of Vertex Pharmaceuticals by 0.4% in the second quarter. Bangor Savings Bank now owns 4,470 shares of the pharmaceutical company’s stock worth $2,220,000 after buying an additional 20 shares during the period. Earned Wealth Advisors LLC boosted its position in Vertex Pharmaceuticals by 3.3% during the 4th quarter. Earned Wealth Advisors LLC now owns 650 shares of the pharmaceutical company’s stock valued at $295,000 after buying an additional 21 shares during the period. Confluence Wealth Services Inc. boosted its position in Vertex Pharmaceuticals by 4.0% during the 4th quarter. Confluence Wealth Services Inc. now owns 545 shares of the pharmaceutical company’s stock valued at $247,000 after buying an additional 21 shares during the period. Williams Jones Wealth Management LLC. grew its holdings in Vertex Pharmaceuticals by 1.9% in the 4th quarter. Williams Jones Wealth Management LLC. now owns 1,155 shares of the pharmaceutical company’s stock worth $524,000 after acquiring an additional 21 shares during the last quarter. Finally, Trust Point Inc. grew its holdings in Vertex Pharmaceuticals by 2.7% in the 2nd quarter. Trust Point Inc. now owns 793 shares of the pharmaceutical company’s stock worth $394,000 after acquiring an additional 21 shares during the last quarter. 90.96% of the stock is currently owned by institutional investors and hedge funds.

Vertex Pharmaceuticals Company Profile

Vertex Pharmaceuticals Inc is a Boston-based biotechnology company focused on the discovery, development and commercialization of therapies for serious diseases. Founded in 1989, Vertex built its reputation on research-driven drug development and is best known for its work in cystic fibrosis (CF), where its portfolio of small-molecule CFTR modulators transformed standards of care for many people with the disease. The company operates research and development, manufacturing and commercial organizations and serves patients and healthcare systems in multiple international markets.

Vertex’s marketed products center on CFTR modulators that target the underlying cause of cystic fibrosis rather than just treating symptoms.