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Vertex Pharmaceuticals Shiller PE Ratio

: 90.34 (As of Today)
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As of today (2022-08-13), Vertex Pharmaceuticals's current share price is $294.52. Vertex Pharmaceuticals's E10 for the quarter that ended in Jun. 2022 was $3.26. Vertex Pharmaceuticals's Shiller PE Ratio for today is 90.34.

The historical rank and industry rank for Vertex Pharmaceuticals's Shiller PE Ratio or its related term are showing as below:

VRTX' s Shiller PE Ratio Range Over the Past 10 Years
Min: 77.8   Med: 113.76   Max: 8209.67
Current: 90.35

During the past years, Vertex Pharmaceuticals's highest Shiller PE Ratio was 8209.67. The lowest was 77.80. And the median was 113.76.

VRTX's Shiller PE Ratio is ranked worse than
75.41% of 122 companies
in the Biotechnology industry
Industry Median: 45.72 vs VRTX: 90.35

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Vertex Pharmaceuticals's adjusted earnings per share data for the three months ended in Jun. 2022 was $3.130. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $3.26 for the trailing ten years ended in Jun. 2022.

Shiller PE for Stocks: The True Measure of Stock Valuation


Vertex Pharmaceuticals Shiller PE Ratio Historical Data

The historical data trend for Vertex Pharmaceuticals's Shiller PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Vertex Pharmaceuticals Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Shiller PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - 7,147.96 155.85 86.51

Vertex Pharmaceuticals Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Shiller PE Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 97.35 79.01 86.51 91.26 86.44

Competitive Comparison

For the Biotechnology subindustry, Vertex Pharmaceuticals's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Vertex Pharmaceuticals Shiller PE Ratio Distribution

For the Biotechnology industry and Healthcare sector, Vertex Pharmaceuticals's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Vertex Pharmaceuticals's Shiller PE Ratio falls into.



Vertex Pharmaceuticals Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Vertex Pharmaceuticals's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=294.52/3.26
=90.34

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Vertex Pharmaceuticals's E10 for the quarter that ended in Jun. 2022 is calculated as:

For example, Vertex Pharmaceuticals's adjusted earnings per share data for the three months ended in Jun. 2022 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Jun. 2022 (Change)*Current CPI (Jun. 2022)
=3.13/123.3228*123.3228
=3.130

Current CPI (Jun. 2022) = 123.3228.

Vertex Pharmaceuticals Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201209 -0.270 97.633 -0.341
201212 -0.350 96.871 -0.446
201303 -1.430 98.209 -1.796
201306 -0.260 98.518 -0.325
201309 -0.540 98.790 -0.674
201312 0.190 98.326 0.238
201403 -1.000 99.695 -1.237
201406 -0.680 100.560 -0.834
201409 -0.720 100.428 -0.884
201412 -0.740 99.070 -0.921
201503 -0.830 99.621 -1.027
201506 -0.780 100.684 -0.955
201509 -0.390 100.392 -0.479
201512 -0.310 99.792 -0.383
201603 -0.170 100.470 -0.209
201606 -0.260 101.688 -0.315
201609 -0.160 101.861 -0.194
201612 0.130 101.863 0.157
201703 0.990 102.862 1.187
201706 0.070 103.349 0.084
201709 -0.410 104.136 -0.486
201712 0.390 104.011 0.462
201803 0.810 105.290 0.949
201806 0.800 106.317 0.928
201809 0.500 106.507 0.579
201812 5.970 105.998 6.946
201903 1.030 107.251 1.184
201906 1.030 108.070 1.175
201909 0.220 108.329 0.250
201912 2.230 108.420 2.537
202003 2.290 108.902 2.593
202006 3.180 108.767 3.606
202009 2.530 109.815 2.841
202012 2.300 109.897 2.581
202103 2.490 111.754 2.748
202106 0.260 114.631 0.280
202109 3.280 115.734 3.495
202112 3.000 117.630 3.145
202203 2.960 121.301 3.009
202206 3.130 123.323 3.130

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Vertex Pharmaceuticals  (NAS:VRTX) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


Vertex Pharmaceuticals Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of Vertex Pharmaceuticals's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Vertex Pharmaceuticals Business Description

Vertex Pharmaceuticals logo
Address
50 Northern Avenue, Boston, MA, USA, 02210
Vertex Pharmaceuticals is a global biotechnology company that discovers and develops small-molecule drugs for the treatment of serious diseases. Its key drugs are Kalydeco, Orkambi, Symdeko, and Trikafta/Kaftrio for cystic fibrosis, where Vertex therapies remain the standard of care globally. In addition to its focus on cystic fibrosis, Vertex is diversifying its pipeline through gene-editing therapies such as CTX001 for beta-thalassemia and sickle-cell disease, small-molecule inhibitors targeting acute and chronic pain using non-opioid treatments, and small-molecule inhibitors of APOL1-mediated kidney diseases. Vertex is also investigating cell therapies to deliver a potential functional cure for type 1 diabetes.
Executives
Upadhyay Suketu director 345 E. MAIN STREET WARSAW IN 46580
Garber Alan M director 3355 MILTON COURT MOUNTAIN VIEW CA 94040
Kearney Terrence C director IN CARE OF HOSPIRA, INC. 275 NORTH FIELD DRIVE LAKE FOREST IL 60045
Carney Lloyd director C/O MICROMUSE INC 139 TOWNSEND ST SAN FRANCISCO CA 94107
Mckenzie Diana director METLIFE 200 PARK AVENUE NEW YORK NY 10166
Bhatia Sangeeta N. director C/O VERTEX PHARMACEUTICALS, INC. 50 NORTHERN AVENUE BOSTON MA 02210
Lee Yuchun director 170 TRACER LA. WALTHAM MA 02451
Ambrose Kristen officer: SVP & Chief Accounting Officer C/O VERTEX PHARMACEUTICALS INCORPORATED 50 NORTHERN AVENUE BOSTON MA 02210
Mcglynn Margaret G director C/O MERCK & CO INC ONE MERCK DRIVE PO BOX 100 WHITEHOUSE STATION NJ 08889-0100
Liu Joy officer: SVP, General Counsel C/O VERTEX PHARMACEUTICALS INCORPORATED 50 NORTHERN AVENUE BOSTON MA 02210
Tatsis Ourania officer: EVP, Chief Reg. & Quality Off. C/O VERTEX PHARMACEUTICALS, INC. 50 NORTHERN AVENUE BOSTON MA 02210
Bozic Carmen officer: EVP and CMO C/O VERTEX PHARMACEUTICALS, INC. 50 NORTHERN AVENUE BOSTON MA 02210
Wagner Charles F Jr officer: EVP & Chief Financial Officer C/O MILLIPORE CORP BILLERICA MA 01820
Arbuckle Stuart A officer: EVP, COO VERTEX PHARMACEUTICALS INCORPORATED 130 WAVERLY ST. CAMBRIDGE MA 02139
Kewalramani Reshma director, officer: CEO & President C/O VERTEX PHARMACEUTICALS, INC. 50 NORTHERN AVENUE BOSTON MA 02210

Vertex Pharmaceuticals Headlines

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