BidaskClub Lowers Vertex Pharmaceuticals (NASDAQ:VRTX) to Sell

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Vertex Pharmaceuticals (NASDAQ:VRTX) was downgraded by stock analysts at BidaskClub from a “hold” rating to a “sell” rating in a report released on Tuesday, July 30th, BidAskClub reports.

VRTX has been the subject of a number of other reports. Goldman Sachs Group reaffirmed a “buy” rating and set a $220.00 price objective on shares of Vertex Pharmaceuticals in a report on Thursday, May 23rd. ValuEngine downgraded Vertex Pharmaceuticals from a “buy” rating to a “hold” rating in a research report on Friday, July 26th. Evercore ISI began coverage on Vertex Pharmaceuticals in a research report on Thursday, April 11th. They set an “in-line” rating and a $183.00 target price for the company. Credit Suisse Group began coverage on Vertex Pharmaceuticals in a research report on Monday, May 20th. They issued an “outperform” rating and a $209.00 price target for the company. Finally, Citigroup restated a “buy” rating and issued a $205.00 price target on shares of Vertex Pharmaceuticals in a research report on Thursday, May 23rd. One analyst has rated the stock with a sell rating, nine have issued a hold rating and fifteen have given a buy rating to the stock. The stock has an average rating of “Buy” and a consensus price target of $206.95.

Shares of Vertex Pharmaceuticals stock opened at $181.12 on Tuesday. The company has a debt-to-equity ratio of 0.12, a current ratio of 3.74 and a quick ratio of 3.63. The stock has a market cap of $46.23 billion, a price-to-earnings ratio of 64.00, a PEG ratio of 2.34 and a beta of 1.40. The firm’s 50-day moving average is $176.96 and its 200 day moving average is $178.41. Vertex Pharmaceuticals has a 1 year low of $151.80 and a 1 year high of $195.81.

Vertex Pharmaceuticals (NASDAQ:VRTX) last released its quarterly earnings results on Wednesday, July 31st. The pharmaceutical company reported $0.99 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.75 by $0.24. Vertex Pharmaceuticals had a net margin of 64.13% and a return on equity of 21.73%. The firm had revenue of $941.29 million during the quarter, compared to analyst estimates of $884.66 million. During the same quarter in the prior year, the firm earned $0.94 EPS. The business’s revenue for the quarter was up 25.1% compared to the same quarter last year. On average, equities analysts expect that Vertex Pharmaceuticals will post 3.41 EPS for the current fiscal year.

Vertex Pharmaceuticals declared that its board has initiated a stock repurchase plan on Wednesday, July 31st that authorizes the company to repurchase $500.00 million in outstanding shares. This repurchase authorization authorizes the pharmaceutical company to buy up to 1.2% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board of directors believes its shares are undervalued.

In other Vertex Pharmaceuticals news, CEO Jeffrey M. Leiden sold 113,432 shares of the firm’s stock in a transaction dated Friday, May 24th. The stock was sold at an average price of $175.10, for a total value of $19,861,943.20. Following the completion of the sale, the chief executive officer now owns 219,719 shares of the company’s stock, valued at $38,472,796.90. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CEO Jeffrey M. Leiden sold 56,030 shares of Vertex Pharmaceuticals stock in a transaction dated Tuesday, June 18th. The stock was sold at an average price of $175.39, for a total value of $9,827,101.70. Following the sale, the chief executive officer now directly owns 162,317 shares of the company’s stock, valued at approximately $28,468,778.63. The disclosure for this sale can be found here. In the last three months, insiders sold 195,292 shares of company stock valued at $34,357,560. Corporate insiders own 0.70% of the company’s stock.

A number of large investors have recently made changes to their positions in VRTX. Geode Capital Management LLC increased its stake in shares of Vertex Pharmaceuticals by 7.3% in the fourth quarter. Geode Capital Management LLC now owns 3,059,306 shares of the pharmaceutical company’s stock worth $505,995,000 after buying an additional 207,934 shares during the period. Actinver Wealth Management Inc. purchased a new position in shares of Vertex Pharmaceuticals in the fourth quarter worth $272,000. Sowell Financial Services LLC increased its stake in shares of Vertex Pharmaceuticals by 29.6% in the fourth quarter. Sowell Financial Services LLC now owns 1,758 shares of the pharmaceutical company’s stock worth $291,000 after buying an additional 401 shares during the period. Machina Capital S.A.S. purchased a new position in shares of Vertex Pharmaceuticals in the fourth quarter worth $144,000. Finally, First Hawaiian Bank increased its stake in shares of Vertex Pharmaceuticals by 141.1% in the first quarter. First Hawaiian Bank now owns 7,459 shares of the pharmaceutical company’s stock worth $1,373,000 after buying an additional 4,365 shares during the period. 94.70% of the stock is owned by institutional investors.

Vertex Pharmaceuticals Company Profile

Vertex Pharmaceuticals Incorporated engages in developing and commercializing therapies for treating cystic fibrosis. The company markets SYMDEKO/SYMKEVI, ORKAMBI, and KALYDECO to treat patients with cystic fibrosis who have specific mutations in their cystic fibrosis transmembrane conductance regulator gene.

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Analyst Recommendations for Vertex Pharmaceuticals (NASDAQ:VRTX)

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