Vertex Pharmaceuticals (NASDAQ: VRTX) reviewed 10-13-2020
Market Cap: 72.0 Billion (USD) Share Price: $275.85 (USD)
Shares outstanding: 259,637,000
Cash: $5.45 B (USD) as of 30 June 2020
Long-term Debt: $898 M (USD) as of 30 June 2020
Insiders: Low, 0.14% Institutional: 1200+ own 98% of float
Website: vrtx.com
Investor Presentations: https://investors.vrtx.com/
President & CEO: Reshma Kewalramani HQs: Boston, Mass, USA
The company currently has four primary prescription drugs used to treat Cystic Fibrosis (CF):
- Trikafta – got early FDA approval in Nov 2019
- Symdeko – $362 M in revenues (all figures for 2019)
- Orkambi – $316 Million in revenues
- Kalydeco – $262 Million in revenues
Anticipates 90% growth in reaching CF patients during the 2021-2025 period
Vertex Pharma develops medicines for treating genetic diseases like cystic fibrosis (CF), sickle cell disease, beta-thalassemia, Alpha-1 Antitrypsin Deficiency (AATD) & APOL1-Mediated Kidney Diseases
Bottom line:
- Holds a monopoly in treating CF
- A huge increase in 2020 revenue will grow fast in 2021 as well
Addendum: Oct 14, 2020
The company reported:
Based on the safety and pharmacokinetic (PK) profile of VX-814 observed to date in a Phase 2 trial in AATD, Vertex has decided to stop dosing in the trial and will discontinue development of VX-814.
The stock, one of my positions, was smashed. However, baz22, who is a knowledgeable Cara Community member, wrote: “Buying at $ 223, and better, now… yes clinical trials are important, but Company current valuations (~$ 300M+) are based on its CF platform… what a gift today is… The liver is the clearinghouse for the human body… with Vertex having a ‘backup’, perhaps in 2 mo today’s buyers will be a bunch of happy campers.”