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Vertex Pharmaceuticals (VRTX) closed the latest trading day at $402.70, indicating a +0.84% change from the previous session's end. This change outpaced the S&P 500's 0.43% loss on the day. At the same time, the Dow lost 0.07%, and the tech-heavy Nasdaq lost 0.9%.
Shares of the drugmaker witnessed a loss of 14.25% over the previous month, trailing the performance of the Medical sector with its loss of 7.03% and the S&P 500's loss of 1.98%.
Investors will be eagerly watching for the performance of Vertex Pharmaceuticals in its upcoming earnings disclosure. The company's upcoming EPS is projected at $4, signifying a 4.76% drop compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $2.77 billion, indicating a 10.18% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.42 per share and revenue of $10.88 billion, indicating changes of -97.24% and +10.28%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Vertex Pharmaceuticals. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
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 last 30 days, the Zacks Consensus EPS estimate has moved 4.36% lower. Vertex Pharmaceuticals is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Vertex Pharmaceuticals is holding a Forward P/E ratio of 956.53. This represents a premium compared to its industry's average Forward P/E of 23.98.
It's also important to note that VRTX currently trades at a PEG ratio of 78.4. 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. As of the close of trade yesterday, the Medical - Biomedical and Genetics industry held an average PEG ratio of 1.69.