VRTX

Vertex Pharmaceuticals Incorporated Healthcare - Biotechnology Investor Relations →

NO
22.8% ABOVE
↑ Moving away Was 21.0% last week
-15% -10% -5% 0% 5% 10% 15%+
Buy Threshold $389.21
14-Week RSI 65

Vertex Pharmaceuticals Incorporated (VRTX) closed at $477.92 as of 2026-02-02, trading 22.8% above its 200-week moving average of $389.21. The stock moved further from the line this week, up from 21.0% last week. The 14-week RSI sits at 65, indicating neutral momentum.

Over the past 1754 weeks of data, VRTX has crossed below its 200-week moving average 27 times. On average, these episodes lasted 16 weeks. Historically, investors who bought VRTX at the start of these episodes saw an average one-year return of +71.7%.

With a market cap of $122.5 billion, VRTX is a large-cap stock. The company generates a free cash flow yield of 2.4%. Return on equity stands at 22.3%, indicating strong profitability. The stock trades at 7.0x book value.

VRTX passes our Buffett quality screen: high return on equity, low debt, and positive free cash flow.

Over the past 33.2 years, a hypothetical investment of $100 in VRTX would have grown to $9558, compared to $2849 for the S&P 500. That represents an annualized return of 14.7% vs 10.6% for the index — confirming VRTX as a market-beating investment and the kind of quality company where buying during 200-week moving average touches has historically been rewarded.

In the past 12 months, corporate insiders have made 2 open-market purchases totaling $5,844,184.

Free cash flow has been declining at a -100% compound annual rate. A deteriorating cash flow trend warrants extra scrutiny — the stock may be cheap for a reason.

Growth of $100: VRTX vs S&P 500

Monthly data normalized to $100 at start. Vertical dashed lines mark 200-week MA touches.

What Happens After VRTX Crosses Below the Line?

Across 27 historical episodes, buying VRTX when it crossed below its 200-week moving average produced an average return of +84.9% after 12 months (median +43.0%), compared to +12.3% for the S&P 500 over the same periods. 96% of those episodes were profitable after one year. After 24 months, the average return was +122.0% vs +27.7% for the index.

Each line shows $100 invested at the moment VRTX crossed below its 200-week MA. Bold blue = stock average. Gray dashed = S&P 500 average over same periods.

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Insider Buying Activity

2 conviction buys in the past 12 months (purchases over $500K with meaningful position increases).

DateInsiderTitleValueSharesPosition +%
2025-08-06KEWALRAMANI RESHMAChief Executive Officer$3,895,76810,000+6.9%
2025-08-06SACHS BRUCE IDirector$1,948,4165,000N/A

Historical Touches

VRTX has crossed below its 200-week MA 27 times with an average 1-year return of +71.7% after recovery.

Crossed BelowRecoveredWeeksMax Depth1-Year ReturnReturn Since Touch
Jun 1992Nov 19921941.4%+35.7%+13554.9%
Nov 1992Dec 199222.4%+52.3%+8589.5%
Dec 1992May 19932132.2%+55.8%+8791.5%
Jun 1993Sep 19931313.8%+29.3%+9225.3%
Jun 1994Aug 199477.9%+41.5%+8034.8%
Dec 1994Dec 199414.7%+67.4%+8211.7%
Jun 1998Jun 199811.8%-18.6%+3456.6%
Jun 1998Dec 19982642.0%+13.0%+4220.2%
Feb 1999Aug 19993032.6%+77.2%+3464.9%
Sep 1999Sep 199910.1%+484.8%+3046.8%
Oct 1999Dec 1999816.6%+535.8%+3239.2%
Sep 2001Jun 200519572.4%-25.5%+1936.3%
Dec 2007Mar 20081437.3%+25.7%+1936.3%
Sep 2008Sep 200812.5%+38.4%+1721.3%
Oct 2008Dec 20081023.9%+32.7%+1778.6%
Mar 2009Apr 200989.3%+49.5%+1621.0%
May 2009Jun 200934.7%+31.3%+1574.6%
Nov 2011Jan 2012925.0%+43.4%+1422.5%
Jan 2012Feb 201230.6%+30.2%+1228.3%
Apr 2012Apr 201221.8%+54.1%+1221.3%
Nov 2012Dec 201224.5%+74.5%+1101.1%
Feb 2016Feb 201613.3%+5.9%+474.2%
Mar 2016May 2016119.3%+8.9%+454.0%
Jun 2016Jul 201648.1%+42.0%+451.0%
Sep 2016Mar 20172722.1%+66.9%+427.3%
Jun 2021Jul 202155.3%+32.0%+147.6%
Aug 2021Nov 20211611.3%+51.5%+145.9%
Average16+71.7%

Not financial advice. This is an educational tool. Past performance does not guarantee future results. Do your own research before making investment decisions.

Data as of Friday close, 2026-02-02