Daiwa launched its Vertex Pharmaceuticals Incorporated [NASDAQ:VRTX] rating to the equivalent of Outperform and assigned the price target of $250, in a research note dated December 30, 2020. That figure represents around a 7.07% premium from where the company’s shares closed on Tuesday. Other analysts also revised their coverage, with RBC Capital Mkts’s analysts upgrading the shares from ”a Sector perform” rating to “an Outperform” rating in a research note to investors issued in late November. Meanwhile, Bernstein had launched its coverage on VRTX with “an Outperform”, in a research note produced for clients November 20, 2020. In addition, there was a new coverage from UBS on October 28, 2020. The research firm rated VRTX “a Buy”.
Is Vertex Pharmaceuticals Incorporated [NASDAQ:VRTX] a Good Buy Right Now?
It should be noted that VRTX technical indicators for short, intermediate as well as long term progress have placed an overall average of 40% as Sell. The average signal changed from 40% Sell in the last week and compares with 88% Sell in the past month. Data from Vertex Pharmaceuticals Incorporated’s Trend Spotter indicated that the signals were Weakening. The stock current average is 1.46 million shares in the past 20 days and the short term average signal indicates a Hold. In the last 50 days, the average trading volume was 1.97 million shares while the medium term average advocated for 50% Sell. The average long-term signal stands at 100% Sell and the 100-day average volume stands at 1.79 million shares.
VRTX Price Performance
On Wall Street, Vertex Pharmaceuticals Incorporated [NASDAQ:VRTX] finished Tuesday’s session up 0.44% at $233.49. The stock went up to $236.56 at the same session while its lowest single day price was $232.96. In the last five days, it saw a fall of about -0.45%, Vertex Pharmaceuticals Incorporated shares gained by almost 6.64% since the beginning of the year. However, the share price has dropped to as low as -23.72% below its one year high. On 07/07/20, the company shares recorded $306.08, the highest single-day price it has got to in the last 52-weeks and a 52-week low was seen on 03/18/20, the same year at $197.47. The company’s shares have inclined by 6.63% in the past year. The 50-day SMA achieved is $221.82 while the 200-day SMA is $256.72. Volume dropped to 0.66 million from 0.9 million in the previous session.
Vertex Pharmaceuticals Incorporated [VRTX] Valuation Measures
Notably, Vertex Pharmaceuticals Incorporated [VRTX] stock can be classified as a good candidate in the listing of underestimated low-priced Biotechnology companies to purchase soonest possible with the prevailing 12-month PE ratio of 22.85. The measure means the stock is exchanging at a discount as compared to the 41.03x trailing earnings of the industry. It can be helpful for investors to consider historical price-sales ratio, more specifically, a 10.19 PS value ratio is reported for the last one year of reported earnings. That is lower than the industry average of 19.81 which means VRTX serve an attractive investment opportunity compared to its competitors.
VRTX Stock Support And Resistance Levels
On the 24-hour scale, the immediate backing is perceived around 232.11 level, and in case of violation of this particular level, it will cause more drop to 230.74 level. On the upper level, 237.94 is still the key resistance. The stock may increase to the subsequent resistance at 235.71. The Relative Strength Index (RSI) pinned on the 14-day chart is 56.44, implying a neutral technical stance while the MACD stands at 1.97, meaning price will increase in the next trading period. Percent R indicator moved to 33.12%, implying low price movement. Stochastic %K at 66.79% suggest selling the stock.
What is the short interest in Vertex Pharmaceuticals Incorporated?
Short interest in the Vertex Pharmaceuticals Incorporated stock has plunged, decreasing by -0.5 million shares to total 3.25 million shares on Dec 14, 2020. The interest had seen shares on Nov 12, 2020 stand at 2.75 million, data from Yahoo Finance shows. The increase of 15.38% suggests the stock saw some increased bearish sentiment. The stock’s days to cover (short ratio) moved to while the shorted shares account for just 1.25% of the overall float for the stock.
Vertex Pharmaceuticals Incorporated’s Biggest Shareholders: Who Owns Vertex Pharmaceuticals Incorporated [VRTX]?
Filings by T. Rowe Price Associates, Inc. showed that the firm now holds a total of 20,370,924 shares or roughly 7.83% of the outstanding VRTX shares. This means their shares have reduced by -827,578 from the 20,370,924 the investor reportedly held in its prior 13-F filing. With the conclusion of the sale, The Vanguard Group, Inc. updated stake is worth $4,431,835,989. Details in the latest 13F filings reveal that Fidelity Management & Research Co acquired their 5.15% stake valued at $4,424,946,096 while BlackRock Fund Advisors cut theirs at $3,743,290,346. During the last quarter, Fidelity Management & Research Co raised 950,983 of its shares in Vertex Pharmaceuticals Incorporated while BlackRock Fund Advisors sold -316,413 shares. The SSgA Funds Management, Inc.’s holdings currently number 11,361,946 shares at $2652900771.54. According to the firm’s last 13F report, Capital Research & Management Co shares in the company at filing stood at 11,360,515 shares, roughly $2,587,357,291.
VRTX Earnings Forecast For The Current Quarter
Vertex Pharmaceuticals Incorporated [VRTX] is expected to report strong earnings results for the quarter ending on Dec 2020. Consensus estimates give the company expected revenues of $1.59B and an earnings per share of $2.58 for Dec 2020. Looking further ahead, the company is expected to report revenue of $1.65B at an EPS of $2.69 for Mar 2021. The estimates represent upside of 13.10% and 11.38% in the company’s revenue and earnings per share, respectively, on a year-on-year basis.
VRTX Earnings Estimates For The Current Year
For the financial year, Vertex Pharmaceuticals Incorporated [NASDAQ:VRTX] is expected to bring in revenue of $6.15B. The returns are nearly $2.14 billion higher than the company’s actual revenue recorded in the fiscal year 2019. In terms of EPS for the 2020, estimate put it at 10.35, higher than that of FY19 by $5.02. Estimates put this year’s earnings growth at 94.20%, 11.30% for the next, and at an annual 25.34% over the next 5-year period. As for sales, forecasts are for an increase of 53.50% in the current fiscal year and a further 13.10% over the following year.