Vertex PharmaceuticalsWBO:VRTX +2.51%90 Net Margin % is 34.53% as of Mar. 2026, which is 8% above its 10-year median of 31.93. GuruFocus rates WBO:VRTX with a GF Score™ of 90/100 and a GF Value™ of €439.78 (Fairly Valued). The stock has 4 warning signs investors should review. Among 947 Biotechnology companies, Vertex Pharmaceuticals ranks better than 92.61% on this metric.
The historical rank and industry rank for Vertex Pharmaceuticals's Net Margin % or its related term are showing as below:
WBO:VRTX'
s Net Margin % Range Over the Past 10 Years
Min: -6.58 Med: 31.93 Max: 68.8
Current: 35.51
WBO:VRTX's Net Margin % is ranked better than 92.61% of 947
companies
in the Biotechnology industry
Industry Median: -89.56
vs WBO:VRTX: 35.51
Vertex Pharmaceuticals (WBO:VRTX) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Vertex Pharmaceuticals Net Margin % Related Terms
Vertex Pharmaceuticals Net Margin % Historical Data
* 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, ALNY, RVMD: Net Margin % Comparison
For the Biotechnology subindustry, Vertex Pharmaceuticals's Net Margin %, along with its competitors' market caps and Net Margin % 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 Net Margin % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Vertex Pharmaceuticals's Net Margin % distribution charts can be found below:
* The bar in red indicates where Vertex Pharmaceuticals's Net Margin % falls into.
* 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 Net Margin % of 34.53% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Vertex Pharmaceuticals and its competitors. This is near median its historical median of 31.93. According to the industry distribution chart, Vertex Pharmaceuticals ranks #70 out of 947 companies in the Biotechnology industry, placing it in the top 7.4%.
Is Vertex Pharmaceuticals' Net Margin % too high?
Vertex Pharmaceuticals' current Net Margin % of 34.53% is near median its 10-year median of 31.93. Based on the distribution chart, Vertex Pharmaceuticals ranks #70 out of 947 companies in the Biotechnology industry, which is in the top quartile — a strong position relative to peers. Overall, Vertex Pharmaceuticals has a GF Score™ of 90/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Vertex Pharmaceuticals' Net Margin % compare to REGN and ALNY?
According to the Biotechnology industry distribution chart, Vertex Pharmaceuticals ranks #70 out of 947 companies for Net Margin %. This places Vertex Pharmaceuticals in the top 7% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Biotechnology company?
A good Net Margin % depends on the Biotechnology industry context. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Vertex Pharmaceuticals and its competitors. Vertex Pharmaceuticals's current Net Margin % is 34.53%, which is near median its own 10-year median of 31.93. 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 €439.78, compared to a current price of €410.10 — trading 6.7% below its estimated fair value. The current Net Margin % is 34.53%, which is near median its 10-year median of 31.93. Vertex Pharmaceuticals' overall GF Score™ is 90/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Vertex Pharmaceuticals (WBO:VRTX), the current Net Margin % is 34.53% as of Mar. 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 €410.10 is trading 6.7% below its estimated GF Value™ of €439.78.
GuruFocus considers Vertex Pharmaceuticals to be Fairly Valued.
Key valuation signals for WBO:VRTX:
Net Margin %: 34.53% (near median its 10-year median of 31.93)
GF Value™: €439.78 vs. price of €410.10 (6.7% below fair value)
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.
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