RBC Upgrades Vertex Pharmaceuticals (VRTX) to Outperform, Forecasting $12.5B-$13.5B Sales by 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
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Source: seekingalpha
- Rating Upgrade: RBC Capital Markets upgraded Vertex Pharmaceuticals (VRTX) from Sector Perform to Outperform, with analysts arguing that the company is poised for significant growth by 2026, primarily driven by its robust cystic fibrosis (CF) franchise.
- Sales Forecast: Analyst Brian Abrahams noted that Vertex's CF franchise is expected to generate $12.5 billion to $13.5 billion in sales over the next decade, with a per-share value close to $400, indicating that the current stock price does not fully reflect its potential value.
- Competitive Advantage: Abrahams emphasized that Vertex's CF platform remains one of the healthiest core franchises among large-cap biotech firms, expected to maintain strong margins and durable IP protections through 2039, with no significant competitive pressures.
- New Product Potential: The analyst also highlighted the blockbuster sales potential of Vertex's kidney disease candidate, povetacicept, suggesting that upcoming data will solidify its promising prospects and may alleviate competitive pressures in the CF space.
Analyst Views on VRTX
Wall Street analysts forecast VRTX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for VRTX is 515.88 USD with a low forecast of 414.00 USD and a high forecast of 604.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
22 Analyst Rating
17 Buy
5 Hold
0 Sell
Strong Buy
Current: 461.140
Low
414.00
Averages
515.88
High
604.00
Current: 461.140
Low
414.00
Averages
515.88
High
604.00
About VRTX
Vertex Pharmaceuticals Incorporated is a global biotechnology company that invests in scientific innovation to create transformative medicines for people with serious diseases, with a focus on specialty markets. It has seven approved medicines: five that treat the underlying cause of cystic fibrosis (CF), one that treats severe sickle cell disease (SCD) and transfusion dependent beta thalassemia (TDT), and one that treats moderate-to-severe acute pain. Its pipeline includes clinical-stage programs in CF, SCD, beta thalassemia, acute and peripheral neuropathic pain, APOL1-mediated kidney disease, IgA nephropathy and other autoimmune renal diseases and cytopenias, type 1 diabetes, myotonic dystrophy type 1, and autosomal dominant polycystic kidney disease. Its marketed medicines are TRIKAFTA/KAFTRIO (elexacaftor/tezacaftor/ivacaftor and ivacaftor), SYMDEKO/SYMKEVI (elexacaftor/tezacaftor/ivacaftor and ivacaftor), ORKAMBI (lumacaftor/ivacaftor), and KALYDECO (ivacaftor).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
