An independent two-stage DCF analysis by a frontier AI model.
" data-astro-cid-eotenzz6> Vertex dominates the cystic fibrosis (CF) market, providing highly predictable and growing cash flows. Revenue grew 8.9% in 2025 and ~11% in 2024. FCF has been lumpy due to acquisitions (like the drop in 2024), but underlying operations support a 10% annualized growth rate over the next five years.
" data-astro-cid-eotenzz6> Vertex dominates the cystic fibrosis (CF) market, providing highly predictable and growing cash flows. Revenue grew 8.9% in 2025 and ~11% in 2024. FCF has been lumpy due to acquisitions (like the drop in 2024), but underlying operations support a 10% annualized growth rate over the next five years.
" data-astro-cid-eotenzz6> Vertex dominates the cystic fibrosis (CF) market, providing highly predictable and growing cash flows. Revenue grew 8.9% in 2025 and ~11% in 2024. FCF has been lumpy due to acquisitions (like the drop in 2024), but underlying operations support a 10% annualized growth rate over the next five years.
Intrinsic value per share under varying discount rate and terminal growth rate assumptions.
| WACC ↓ / Terminal → | 8.0% | 8.5% | 9.0% | 9.5% | 10.0% |
|---|---|---|---|---|---|
| 8.0% | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 |
| 8.5% | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 |
| 9.0% | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 |
| 9.5% | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 |
| 10.0% | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 |
■ Undervalued vs current price ■ Overvalued vs current price
Vertex maintains a dominant position in the cystic fibrosis (CF) market, driving strong cash flows and a 0.095 revenue growth rate. The company is actively diversifying its pipeline beyond CF, but faces risks related to patent expirations and reliance on a single core therapeutic area. A robust profit margin supports continued research and development investments.
Vertex's competitive position is anchored by its near-monopoly in CF treatments, allowing for strong pricing power and consistent revenue growth.
The economic moat is wide, protected by significant switching costs for patients on life-altering therapies and a strong patent portfolio.
Market sentiment is generally positive, balancing the strong current financial performance against the need for pipeline diversification beyond CF.
Westmount Research. "Vertex Pharmaceuticals (VRTX) Intrinsic Value: A DCF Analysis." westmountfundamentals.com, March 18, 2026.
Disclaimer: The numbers presented on this page are for educational and entertainment purposes only. They are the result of a deterministic mathematical model fed with assumptions generated by an Artificial Intelligence (Gemini 3.1). This does not constitute investment advice. Always conduct your own due diligence before investing in the stock market.