Vertex Cash Flow from Operations

VRTX
 Stock
  

USD 312.98  3.18  1.01%   

Vertex Pharmaceutic fundamentals help investors to digest information that contributes to Vertex Pharmaceutic's financial success or failures. It also enables traders to predict the movement of Vertex Stock. The fundamental analysis module provides a way to measure Vertex Pharmaceutic's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Vertex Pharmaceutic stock.
This module does not cover all equities due to inconsistencies in global equity categorizations. Continue to Equity Screeners to view more equity screening tools.
  
Net Cash Flow from Operations is likely to rise to about 2.9 B in 2022. Free Cash Flow is likely to rise to about 222.8 M in 2022.

Vertex Cash Flow from Operations Analysis

Vertex Pharmaceutic's Operating Cash Flow reveals the quality of a company's reported earnings and is calculated by deducting company's income taxes from earnings before interest, taxes, and depreciation (EBITDA). In other words, Operating Cash Flow refers to the amount of cash a firm generates from the sales or products or from rendering services. Operating Cash Flow typically excludes costs associated with long-term investments or investment in marketable securities and is usually used by investors or analysts to check on the quality of a company's earnings.
 2019 2020 2021 2022 (projected)
Receivables633.52 M885.35 M1.14 B1.23 B
Inventories167.5 M280.78 M353.1 M380.98 M
Operating Cash Flow 
 = 
EBITDA 
-  
Taxes 
More About Cash Flow from Operations | All Equity Analysis

Current Vertex Pharmaceutic Cash Flow from Operations

    
  4.05 B  
Most of Vertex Pharmaceutic's fundamental indicators, such as Cash Flow from Operations, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Vertex Pharmaceutic is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.

Vertex Cash Flow from Operations Driver Correlations

Understanding the fundamental principles of building solid financial models for Vertex Pharmaceutic is extremely important. It helps to project a fair market value of Ford stock properly, considering its historical fundamentals such as Cash Flow from Operations. Since Vertex Pharmaceutic's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Vertex Pharmaceutic's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Vertex Pharmaceutic's interrelated accounts and indicators.

Vertex Cash Flow from Operations Historical Pattern

Today, most investors in Vertex Pharmaceutic Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Vertex Pharmaceutic's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's cash flow from operations growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Vertex Pharmaceutic cash flow from operations as a starting point in their analysis.
   Vertex Pharmaceutic Cash Flow from Operations   
Share
       Timeline  
Operating Cash Flow shows the difference between reported income and actual cash flows of the company. If a firm does not have enough cash or cash equivalents to cover its current liabilities, then both investors and management should be concerned about the company having enough liquid resources to meet current and long term debt obligations.
Compare to competition

In accordance with the recently published financial statements, Vertex Pharmaceutic has 4.05 B in Cash Flow from Operations. This is much higher than that of the Healthcare sector and significantly higher than that of the Biotechnology industry. The cash flow from operations for all United States stocks is significantly lower than that of the firm.

Vertex Cash Flow from Operations Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Vertex Pharmaceutic's direct or indirect competition against its Cash Flow from Operations to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Vertex Pharmaceutic could also be used in its relative valuation, which is a method of valuing Vertex Pharmaceutic by comparing valuation metrics of similar companies.
Vertex Pharmaceutic is currently under evaluation in cash flow from operations category among related companies.

Vertex Pharmaceutic Current Valuation Drivers

We derive many important indicators used in calculating different scores of Vertex Pharmaceutic from analyzing Vertex Pharmaceutic's financial statements. These drivers represent accounts that assess Vertex Pharmaceutic's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Vertex Pharmaceutic's important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Net Income Per Employee114.56 K838.76 K392.27 K795.36 K600.54 K647.95 K
Revenue Per Employee1.08 M1.22 M1.39 M1.82 M1.94 M2.1 M
Earnings Before Interest Taxes and Depreciation Amortization EBITDA103.26 M706.76 M1.5 B3.26 B2.91 B3.14 B

Vertex Pharmaceutic ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Vertex Pharmaceutic's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Vertex Pharmaceutic's managers, analysts, and investors.
Environment Score
Governance Score
Social Score

Vertex Fundamentals

About Vertex Pharmaceutic Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Vertex Pharmaceutic's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Vertex Pharmaceutic using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Vertex Pharmaceutic based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Last ReportedProjected for 2022
Net Cash Flow from Operations2.6 B2.9 B
Free Cash Flow206.5 M222.8 M

Vertex Pharmaceutic Investors Sentiment

The influence of Vertex Pharmaceutic's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Vertex. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.
Investor biases related to Vertex Pharmaceutic's public news can be used to forecast risks associated with investment in Vertex. The trend in average sentiment can be used to explain how an investor holding Vertex can time the market purely based on public headlines and social activities around Vertex Pharmaceutic. Please note that most equiteis that are difficult to arbitrage are affected by market sentiment the most.
Vertex Pharmaceutic's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Vertex Pharmaceutic's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Vertex Pharmaceutic's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Vertex Pharmaceutic.

Vertex Pharmaceutic Implied Volatility

    
  11.39  
Vertex Pharmaceutic's implied volatility exposes the market's sentiment of Vertex Pharmaceutic stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Vertex Pharmaceutic's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Vertex Pharmaceutic stock will not fluctuate a lot when Vertex Pharmaceutic's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Vertex Pharmaceutic in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Vertex Pharmaceutic's short interest history, or implied volatility extrapolated from Vertex Pharmaceutic options trading.

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Also, please take a look at Vertex Pharmaceutic Piotroski F Score and Vertex Pharmaceutic Altman Z Score analysis. You can also try Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.

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Is Vertex Pharmaceutic's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Vertex Pharmaceutic. If investors know Vertex will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Vertex Pharmaceutic listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.095
Market Capitalization
82.5 B
Quarterly Revenue Growth YOY
0.18
Return On Assets
0.14
Return On Equity
0.29
The market value of Vertex Pharmaceutic is measured differently than its book value, which is the value of Vertex that is recorded on the company's balance sheet. Investors also form their own opinion of Vertex Pharmaceutic's value that differs from its market value or its book value, called intrinsic value, which is Vertex Pharmaceutic's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Vertex Pharmaceutic's market value can be influenced by many factors that don't directly affect Vertex Pharmaceutic's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Vertex Pharmaceutic's value and its price as these two are different measures arrived at by different means. Investors typically determine Vertex Pharmaceutic value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Vertex Pharmaceutic's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.