Vertex reported third-quarter results highlighted by strong uptake of its cystic fibrosis triple combination therapy, Trikafta/Kaftrio, in the United States and internationally. Quarterly product revenue of $2.48 billion represented a 6% increase from the prior-year period. Vertex’s results are tracking our expectations, and we maintain our fair value estimate of $314 per share.
The firm's CF therapies are poised to dominate the lucrative market for the foreseeable future, based on the disease-modifying potential of the drugs, chronic use by patients, and limited competition.
Vertex is highly dependent on the success of its cystic fibrosis franchise, and it could fail to diversify if its other pipeline candidates are not successful.
|
Metric
|
VRTX
|
BMRN
|
SGEN
|
|---|---|---|---|
Price/Earnings (Normalized) | 23.69 | 106.77 | — |
Price/Book Value | 5.47 | 3.40 | 15.86 |
Price/Sales | 9.44 | 7.33 | 17.45 |
Price/Cash Flow | 23.39 | 43.28 | — |
|
Metric
|
VRTX
|
BMRN
|
SGEN
|
|---|---|---|---|
Quick Ratio | 3.74 | 1.46 | 1.96 |
Current Ratio | 4.08 | 2.54 | 2.67 |
Interest Coverage | 84.99 | 8.20 | — |
|
Metric
|
VRTX
|
BMRN
|
SGEN
|
|---|---|---|---|
Return on Assets (Normalized) | 20.07% | 5.83% | −13.05% |
Return on Equity (Normalized) | 26.24% | 8.02% | −17.35% |
Return on Invested Capital (Normalized) | 22.40% | 5.94% | −16.86% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|
NVO
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REGN
| Regeneron Pharmaceuticals Inc | Jkmfhw | $86.9 Bil | |
SGEN
| Seagen Inc Ordinary Shares | Wltpx | $40.5 Bil | |
MRNA
| Moderna Inc | Ccxk | $29.6 Bil | |
ARGX
| argenx SE ADR | Xhzy | $29.3 Bil | |
BNTX
| BioNTech SE ADR | Qrqnv | $23.0 Bil | |
ALNY
| Alnylam Pharmaceuticals Inc | Gzwhgwc | $20.0 Bil | |
BMRN
| Biomarin Pharmaceutical Inc | Mlstj | $16.7 Bil | |
INCY
| Incyte Corp | Ywmbtt | $11.8 Bil |
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