Vertex Pharmaceuticals Inc (VRTX) has a current Price-to-Book (P/B) ratio of 6.63. Compared to its 3-year average P/B ratio of 6.62, the current P/B ratio is approximately 0.17% higher. Relative to its 5-year average P/B ratio of 6.31, the current P/B ratio is about 5.12% higher. Vertex Pharmaceuticals Inc (VRTX) has a Forward Free Cash Flow (FCF) yield of approximately 2.91%. Compared to its 3-year average FCF yield of 2.12%, the current FCF yield is approximately 37.06% lower. Relative to its 5-year average FCF yield of 3.11%, the current FCF yield is about -6.40% lower.

Competitors Valuation Multiple

AI Analysis

The average P/S ratio for VRTX competitors is 3.90, providing a benchmark for relative valuation. Vertex Pharmaceuticals Inc Corp (VRTX.O) exhibits a P/S ratio of 8.97, which is 129.84% above the industry average. Given its robust revenue growth of 9.55%, this premium appears unsustainable.

P/E

P/S

EV/EBITDA

EV/EBIT

Earnings Growth

Market Cap

Performance Decomposition

AI Analysis

Market capitalization of VRTX increased by 0.00% over the past 1 year(s). The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.

The secondary factor is the Unknown, contributed 0.00% to the performance.

Overall, the performance of VRTX in the past 1 year(s) is driven by Unknown.

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Frequently Asked Questions

Is VRTX currently overvalued or undervalued?

What is Vertex Pharmaceuticals Inc (VRTX) fair value?

VRTX's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. The fair price of Vertex Pharmaceuticals Inc (VRTX) is between 360.67 to 488.95 according to relative valuation method.

How does VRTX's valuation metrics compare to the industry average?

The average P/S ratio for VRTX's competitors is 3.90, providing a benchmark for relative valuation. Vertex Pharmaceuticals Inc Corp (VRTX) exhibits a P/S ratio of 8.97, which is 129.84% above the industry average. Given its robust revenue growth of 9.55%, this premium appears unsustainable.

What is the current P/B ratio for Vertex Pharmaceuticals Inc (VRTX) as of Mar 02 2026?

As of Mar 02 2026, Vertex Pharmaceuticals Inc (VRTX) has a P/B ratio of 6.63. This indicates that the market values VRTX at 6.63 times its book value.

What is the current FCF Yield for Vertex Pharmaceuticals Inc (VRTX) as of Mar 02 2026?

As of Mar 02 2026, Vertex Pharmaceuticals Inc (VRTX) has a FCF Yield of 2.91%. This means that for every dollar of Vertex Pharmaceuticals Inc's market capitalization, the company generates 2.91 cents in free cash flow.

What is the current Forward P/E ratio for Vertex Pharmaceuticals Inc (VRTX) as of Mar 02 2026?

As of Mar 02 2026, Vertex Pharmaceuticals Inc (VRTX) has a Forward P/E ratio of 22.55. This means the market is willing to pay $22.55 for every dollar of Vertex Pharmaceuticals Inc's expected earnings over the next 12 months.

What is the current Forward P/S ratio for Vertex Pharmaceuticals Inc (VRTX) as of Mar 02 2026?

As of Mar 02 2026, Vertex Pharmaceuticals Inc (VRTX) has a Forward P/S ratio of 8.97. This means the market is valuing VRTX at $8.97 for every dollar of expected revenue over the next 12 months.

VRTX Valuation