Analysts are touting this pharma company’s future prospects—12 of them increased their forecasts for this year and eight for next year, in the past 30 days.
Vertex Pharmaceuticals (VRTX)
From Cabot Undervalued Stocks Advisor
Vertex Pharmaceuticals (VRTX) was my top stock pick for the coming year at the 2016 Cabot Investors Conference in August.
It is a biotech company that develops breakthrough drugs and carries them through to the manufacturing process. Vertex is a clear leader in the treatment of cystic fibrosis.
VRTX is a vastly undervalued, aggressive growth stock. Despite only one barely-profitable year between 2006 and 2015, Vertex is expected to earn $1.02 per share in 2016, $3.11 in 2017 (December year-end)—reflecting 205% earnings growth in 2017 with a 33 P/E--and to surpass $11.00 EPS by the year 2020. VRTX was my top stock pick for the coming year at the 2016 Cabot Investors Conference.
VRTX is climbing, with short-term resistance at 110, and much stronger price resistance in the low 130s. When it retraces the August 2015 high of 141, expect a big pullback. Some sudden short-term volatility could take the stock briefly down to 90, and if that happens, jump all over it! Buy.
Crista Huff, Cabot Undervalued Stocks Advisor, www.cabot.net, 978-745-5532, August 16, 2016