Vertex Pharmaceuticals (VRTX) closed the most recent trading day at $295.40, moving -0.18% from the previous trading session. This move was narrower than the S&P 500's daily loss of 0.56%. Meanwhile, the Dow lost 1.39%, and the Nasdaq, a tech-heavy index, added 0.53%.
Prior to today's trading, shares of the drugmaker had gained 7.87% over the past month. This has outpaced the Medical sector's loss of 1.33% and the S&P 500's loss of 1.79% in that time.
Investors will be hoping for strength from VRTX as it approaches its next earnings release. In that report, analysts expect VRTX to post earnings of $2.13 per share. This would mark year-over-year growth of 69.05%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.41 billion, up 49.74% from the year-ago period.
VRTX's full-year Zacks Consensus Estimates are calling for earnings of $8.89 per share and revenue of $5.74 billion. These results would represent year-over-year changes of +66.79% and +37.99%, respectively.
Investors might also notice recent changes to analyst estimates for VRTX. These revisions help to show the ever-changing nature of 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. Within the past 30 days, our consensus EPS projection has moved 0.85% lower. VRTX is currently a Zacks Rank #4 (Sell).
Investors should also note VRTX's current valuation metrics, including its Forward P/E ratio of 33.28. This valuation marks a premium compared to its industry's average Forward P/E of 25.11.
Meanwhile, VRTX's PEG ratio is currently 1.17. 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. The Medical - Biomedical and Genetics was holding an average PEG ratio of 1.93 at yesterday's closing price.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 67, which puts it in the top 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Vertex Pharmaceuticals Incorporated (VRTX) : Free Stock Analysis Report
To read this article on Zacks.com click here.