Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Vertex PharmaceuticalsWBO:VRTX +1.15%94 EV-to-EBIT is 23.71 as of Jul. 30, 2026, which is 2% above its 10-year median of 23.24. GuruFocus rates WBO:VRTX with a GF Score™ of 94/100 and a GF Value™ of €452.07 (Fairly Valued). The stock has 5 warning signs investors should review. Among 384 Biotechnology companies, Vertex Pharmaceuticals ranks worse than 65.63% on this metric.
This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.
Vertex Pharmaceuticals's Enterprise Value for the quarter that ended in Mar. 2026 was €93,367 Mil.
Vertex Pharmaceuticals's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €4,350 Mil.
* 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.
* 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.
WBO:VRTX vs REGN, RVMD, ALNY: EV-to-EBIT Comparison
For the Biotechnology subindustry, Vertex Pharmaceuticals's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT 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 EV-to-EBIT vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Vertex Pharmaceuticals's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Vertex Pharmaceuticals's EV-to-EBIT falls into.
Vertex Pharmaceuticals's current Enterprise Value is €103,119 Mil.
Vertex Pharmaceuticals's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €4,350 Mil.
* 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 (WBO:VRTX) has a EV-to-EBIT of 23.71 as of Jul. 30, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Vertex Pharmaceuticals and its competitors. This is near median its historical median of 23.24. According to the industry distribution chart, Vertex Pharmaceuticals ranks #252 out of 384 companies in the Biotechnology industry, placing it in the top 65.6%.
Is Vertex Pharmaceuticals' EV-to-EBIT too high?
Vertex Pharmaceuticals' current EV-to-EBIT of 23.71 is near median its 10-year median of 23.24. The Biotechnology industry median EV-to-EBIT is 12.17. Vertex Pharmaceuticals' value of 23.71 is 94.9% above this industry median. Based on the distribution chart, Vertex Pharmaceuticals ranks #252 out of 384 companies in the Biotechnology industry, which is below the industry midpoint. Overall, Vertex Pharmaceuticals has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Vertex Pharmaceuticals' EV-to-EBIT compare to REGN and RVMD?
According to the Biotechnology industry distribution chart, Vertex Pharmaceuticals ranks #252 out of 384 companies for EV-to-EBIT. This places Vertex Pharmaceuticals in the lower half of its industry. The industry median EV-to-EBIT is 12.17. Vertex Pharmaceuticals' value of 23.71 is 94.9% above this benchmark. While the company's 10-year median is 23.24 vs. the industry median of 12.17, Vertex Pharmaceuticals has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Biotechnology company?
The median EV-to-EBIT among Biotechnology companies is 12.17, based on 384 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Vertex Pharmaceuticals's current EV-to-EBIT of 23.71 is 94.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Vertex Pharmaceuticals and its competitors. For the Biotechnology industry, the median EV-to-EBIT is 12.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Vertex Pharmaceuticals's current EV-to-EBIT is 23.71, which is near median its own 10-year median of 23.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vertex Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Vertex Pharmaceuticals (WBO:VRTX) is currently considered Fairly Valued. The stock's GF Value™ is €452.07, compared to a current price of €430.85 — trading 4.7% below its estimated fair value. The current EV-to-EBIT is 23.71, which is near median its 10-year median of 23.24 and 94.9% above the Biotechnology industry median of 12.17. Vertex Pharmaceuticals' overall GF Score™ is 94/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Vertex Pharmaceuticals (WBO:VRTX), the current EV-to-EBIT is 23.71 as of Jul. 30, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Vertex Pharmaceuticals (WBO:VRTX) Overvalued in 2026?
Based on GuruFocus' analysis, Vertex Pharmaceuticals stock appears to be undervalued.
The current stock price of €430.85 is trading 4.7% below its estimated GF Value™ of €452.07.
GuruFocus considers Vertex Pharmaceuticals to be Fairly Valued.
Key valuation signals for WBO:VRTX:
EV-to-EBIT: 23.71 (near median its 10-year median of 23.24)
GF Value™: €452.07 vs. price of €430.85 (4.7% below fair value)
Industry Position: 94.9% above the Biotechnology median (#252 of 384)
No single metric tells the full story. See the WBO:VRTX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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, and Alyftrek for cystic fibrosis, where Vertex therapies remain the standard of care globally. Vertex has diversified its portfolio through Casgevy, a gene-editing therapy for beta thalassemia and sickle-cell disease, and Journavx, a non-opioid pain medication approved for the treatment of moderate-to-severe acute pain in adults. Additionally, Vertex is evaluating small-molecule inhibitors of APOL1-mediated kidney diseases. Vertex is also investigating cell therapies to deliver a potential functional cure for type 1 diabetes.
94GF Score
Get the complete analysis for WBO:VRTX
EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
WBO:VRTX has been successfully added to your 
