On July 22, 2024, Reshma Kewalramani, CEO & President of Vertex Pharmaceuticals Inc (VRTX, Financial), executed a sale of 15,202 shares of the company. According to the SEC Filing, the transaction was carried out at an average price of $497 per share, totaling approximately $7,550,394. The insider now owns 106,172 shares of Vertex Pharmaceuticals Inc.
Vertex Pharmaceuticals Inc, headquartered in Boston, Massachusetts, is a global biotechnology company that invests in scientific innovation to create transformative medicines for people with serious diseases. The company is known for its focused investment in clinical development of therapies for cystic fibrosis and other severe diseases.
Over the past year, the insider has sold a total of 54,202 shares and has not purchased any shares. This recent transaction follows a pattern observed over the last year, where there have been 64 insider sells and no insider buys.
Shares of Vertex Pharmaceuticals Inc were trading at $497 on the day of the sale, giving the company a market cap of approximately $126.65 billion. The price-earnings ratio of the stock stands at 31.85, which is above both the industry median of 26.83 and the company's historical median.
According to the GF Value, the intrinsic value of the stock is estimated at $368.54, which suggests that the stock is Significantly Overvalued with a price-to-GF-Value ratio of 1.35.
The GF Value is calculated considering historical trading multiples such as the price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow, along with a GuruFocus adjustment factor based on past returns and growth, and future business performance estimates from analysts.
This sale by the insider might be of interest to current and potential investors, as it provides insight into the insider's perspective on the stock's valuation relative to its current trading price.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
