Vertex Pharmaceuticals Incorporated [NASDAQ: VRTX] closed the trading session at $211.97 on 11/19/20. The day’s price range saw the stock hit a low of $211.395, while the highest price level was $218.141. The company report on November 14, 2020 that Vertex Recommends Rejection of ‘Mini-Tender’ Offer From TRC Capital Investment Corporation.
Vertex Pharmaceuticals Incorporated (Nasdaq:VRTX) today announced that it has been notified of an unsolicited “mini-tender” offer dated November 9, 2020, made by TRC Capital Investment Corporation, an Ontario, Canada, corporation to purchase up to 1,000,000 shares of Vertex common stock. TRC Capital’s unsolicited “mini-tender” offer price of $210.00 per share is approximately 4.67% below the $220.28 per share closing price of Vertex’s common stock on November 6, 2020, the last trading day prior to the commencement of the offer.
Vertex does not endorse TRC Capital’s offer and recommends that Vertex shareholders reject the offer and not tender their shares in response to TRC Capital’s unsolicited offer. The “mini-tender” offer is at a price below the market price of shares of Vertex’s common stock (as of today’s date) and is subject to numerous conditions, including TRC Capital’s ability to obtain financing necessary to consummate the offer. Vertex is not affiliated in any way with TRC Capital, the offer, or the offer documentation.
The stocks have a year to date performance of -3.19 percent and weekly performance of -2.90 percent. The stock has been moved at -25.61 percent over the last six months. The stock has performed 0.28 percent around the most recent 30 days and changed -21.86 percent over the most recent 3-months.
If compared to the average trading volume of 1.91M shares, VRTX reached to a volume of 2596543 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here’s what leading stock market gurus have to say about Vertex Pharmaceuticals Incorporated [VRTX]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for VRTX shares is $288.33 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on VRTX stock is a recommendation set at 2.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
UBS have made an estimate for Vertex Pharmaceuticals Incorporated shares, keeping their opinion on the stock as Buy, with their previous recommendation back on October 28, 2020. While these analysts kept the previous recommendation, H.C. Wainwright raised their target price from $295 to $315. The new note on the price target was released on July 31, 2020, representing the official price target for Vertex Pharmaceuticals Incorporated stock. Previously, the target price had yet another raise to $300, while Morgan Stanley analysts kept a Equal-Weight rating on VRTX stock. On April 30, 2020, analysts increased their price target for VRTX shares from 270 to 295.
The Average True Range (ATR) for Vertex Pharmaceuticals Incorporated is set at 8.42, with the Price to Sales ratio for VRTX stock in the period of the last 12 months amounting to 8.91. The Price to Book ratio for the last quarter was 6.79, with the Price to Cash per share for the same quarter was set at 24.44. Price to Free Cash Flow for VRTX in the course of the last twelve months was 17.91 with Quick ratio for the last quarter at 3.60.
VRTX stock trade performance evaluation
Vertex Pharmaceuticals Incorporated [VRTX] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -2.90. With this latest performance, VRTX shares gained by 0.28% in over the last four-week period, additionally sinking by -25.61% over the last 6 months – not to mention a drop of -1.44% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for VRTX stock in for the last two-week period is set at 39.08, with the RSI for the last a single of trading hit 37.61, and the three-weeks RSI is set at 38.85 for Vertex Pharmaceuticals Incorporated [VRTX]. The present Moving Average for the last 50 days of trading for this stock 240.28, while it was recorded at 220.21 for the last single week of trading, and 257.37 for the last 200 days.
Vertex Pharmaceuticals Incorporated [VRTX]: An insightful look at the core fundamentals
Operating Margin for any stock indicates how profitable investing would be, and Vertex Pharmaceuticals Incorporated [VRTX] shares currently have an operating margin of +28.31 and a Gross Margin at +86.74. Vertex Pharmaceuticals Incorporated’s Net Margin is presently recorded at +28.49.
Return on Total Capital for VRTX is now 19.85, given the latest momentum, and Return on Invested Capital for the company is 20.07. Return on Equity for this stock inclined to 22.37, with Return on Assets sitting at 16.16. When it comes to the capital structure of this company, Vertex Pharmaceuticals Incorporated [VRTX] has a Total Debt to Total Equity ratio set at 11.06. Additionally, VRTX Total Debt to Total Capital is recorded at 9.96, with Total Debt to Total Assets ending up at 8.09. Long-Term Debt to Equity for the company is recorded at 10.24, with the Long-Term Debt to Total Capital now at 9.22.
Reflecting on the efficiency of the workforce at the company, Vertex Pharmaceuticals Incorporated [VRTX] managed to generate an average of $392,270 per employee. Receivables Turnover for the company is 7.88 with a Total Asset Turnover recorded at a value of 0.57.Vertex Pharmaceuticals Incorporated’s liquidity data is similarly interesting compelling, with a Quick Ratio of 3.60 and a Current Ratio set at 3.70.
Earnings per share (EPS) analysis for Vertex Pharmaceuticals Incorporated [VRTX] stock
With the latest financial reports released by the company, Vertex Pharmaceuticals Incorporated posted 1.7/share EPS, while the average EPS was predicted by analysts to be reported at 1.21/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 40.50%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for VRTX. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Vertex Pharmaceuticals Incorporated go to 25.34%.
Vertex Pharmaceuticals Incorporated [VRTX]: Insider Ownership positions
There are presently around $51,354 million, or 96.30% of VRTX stock, in the hands of institutional investors. The top three institutional holders of VRTX stocks are: BLACKROCK INC. with ownership of 25,175,541, which is approximately -1.303% of the company’s market cap and around 0.10% of the total institutional ownership; VANGUARD GROUP INC, holding 20,689,919 shares of the stock with an approximate value of $4.39 billion in VRTX stocks shares; and PRICE T ROWE ASSOCIATES INC /MD/, currently with $4.32 billion in VRTX stock with ownership of nearly -3.904% of the company’s market capitalization.
Positions in Vertex Pharmaceuticals Incorporated stocks held by institutional investors increased at the end of October and at the time of the October reporting period, where 497 institutional holders increased their position in Vertex Pharmaceuticals Incorporated [NASDAQ:VRTX] by around 10,059,820 shares. Additionally, 413 investors decreased positions by around 10,655,386 shares, while 128 investors held positions by with 221,556,974 shares. The mentioned changes placed institutional holdings at 242,272,180 shares, according to the latest SEC report filing. VRTX stock had 95 new institutional investments in for a total of 1,836,296 shares, while 91 institutional investors sold positions of 695,030 shares during the same period.