Question 1

What is Vertex Pharmaceuticals's P/FCF ratio?

Accepted Answer

Vertex Pharmaceuticals (VRTX) P/FCF ratio is 32.6× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month free cash flow, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/FCF ratio calculated?

Accepted Answer

P/FCF = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Free Cash Flow, where Free Cash Flow = Operating Cash Flow − Capital Expenditures. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/FCF ratio?

Accepted Answer

The price-to-free-cash-flow (P/FCF) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) free cash flow. It is calculated as market cap ÷ TTM free cash flow, where free cash flow = operating cash flow − capital expenditures. Because FCF cannot be inflated by non-cash accounting items, P/FCF is often considered a cleaner measure of "earnings-power valuation" than P/E — especially for capital-intensive businesses where depreciation diverges from real cash outflows.

Question 4

What is a good P/FCF ratio for Vertex Pharmaceuticals?

Accepted Answer

Mature companies that consistently convert profit into cash often trade at 15–25× P/FCF; capital-intensive businesses with lumpy capex typically trade lower. Compare against sector peers and against the company's own multi-year average — single-year P/FCF can be distorted by working-capital swings. For Vertex Pharmaceuticals specifically, the relevant sector benchmark is the current sector median of 19.1×.

Question 5

Is Vertex Pharmaceuticals's P/FCF ratio high or low?

Accepted Answer

Vertex Pharmaceuticals's P/FCF ratio of 32.6× is above its own 5-year average of 26.2× and above the sector median of 19.1×. That places the current reading at the 79th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Vertex Pharmaceuticals's historical P/FCF ratio range?

Accepted Answer

In the available daily series, Vertex Pharmaceuticals (VRTX) P/FCF ratio has ranged from a low of 17.1× in 2021 to a high of 1478.0× in 2013. The 5-year average is 26.2× and the 5-year median is 25.8×.

Question 7

What was Vertex Pharmaceuticals's P/FCF ratio in 2025?

Accepted Answer

Vertex Pharmaceuticals (VRTX) P/FCF ratio at the end of 2025 was 36.0×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month free cash flow figure available at that date.

Question 8

Why does Vertex Pharmaceuticals's P/FCF ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (free cash flow). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$115B	$3.19B	36.0×	—	Dec 31, 2025
2024	$104B	-$978M	—	—	Dec 31, 2024
2023	$105B	$3.34B	31.4×	+12.5×	Dec 31, 2023
2022	$74.2B	$3.93B	18.9×	-4.3×	Dec 31, 2022
2021	$55.9B	$2.41B	23.2×	+2.7×	Dec 31, 2021
2020	$61.5B	$2.99B	20.5×	-17.3×	Dec 31, 2020
2019	$56.5B	$1.49B	37.8×	+1.9×	Dec 31, 2019
2018	$42.2B	$1.17B	36.0×	-14.6×	Dec 31, 2018
2017	$37.7B	$746M	50.6×	-50.1×	Dec 31, 2017
2016	$18.1B	$180M	100.7×	—	Dec 31, 2016
2015	$30.1B	-$411M	—	—	Dec 31, 2015
2014	$28.3B	-$624M	—	—	Dec 31, 2014
2013	$17.2B	-$103M	—	—	Dec 31, 2013
2012	$8.99B	$197M	45.7×	-94.9×	Dec 31, 2012
2011	$6.91B	$49.1M	140.6×	—	Dec 31, 2011
2010	$7.05B	-$673M	—	—	Dec 31, 2010
2009	$8.52B	-$451M	—	—	Dec 31, 2009
2008	$4.52B	-$259M	—	—	Dec 31, 2008
2007	$3.04B	-$285M	—	—	Dec 31, 2007
2006	$4.64B	-$54.9M	—	—	Dec 31, 2006
2005	$2.97B	-$189M	—	—	Dec 31, 2005
2004	$836M	-$155M	—	—	Dec 31, 2004
2003	$805M	-$185M	—	—	Dec 31, 2003
2002	$1.21B	-$121M	—	—	Dec 31, 2002


McKesson (MCK)	17.8×
Gilead Sciences (GILD)	16.9×
DexCom (DXCM)	16.9×
Pfizer (PFE)	16.7×
Humana (HUM)	16.4×
Quest Diagnostics (DGX)	16.3×
UnitedHealth Group (UNH)	15.9×
Labcorp Holdings (LH)	15.9×
Becton, Dickinson and (BDX)	14.0×
HCA Healthcare (HCA)	13.5×
Elevance Health (ELV)	13.4×
Incyte (INCY)	12.9×
CVS Health (CVS)	12.4×
Universal Health Services (UHS)	12.2×
Baxter International (BAX)	12.1×
Cardinal Health (CAH)	11.3×
IQVIA (IQV)	11.3×
Bristol-Myers Squibb (BMY)	10.4×
Biogen (BIIB)	10.3×
Zimmer Biomet Holdings (ZBH)	9.6×
Cigna (CI)	9.1×
Viatris (VTRS)	9.1×
DaVita (DVA)	6.9×
Teladoc Health (TDOC)	3.9×
Centene (CNC)	2.5×

P/FCF Ratio for Vertex Pharmaceuticals (VRTX) 2011-2026

P/FCF Ratio daily chart for Vertex Pharmaceuticals (VRTX)

Historical P/FCF Ratio for Vertex Pharmaceuticals (VRTX) from 2002 to 2025

About P/FCF Ratio at Vertex Pharmaceuticals (VRTX)

Vertex Pharmaceuticals P/FCF Ratio by Year

Vertex Pharmaceuticals P/FCF Ratio 2025: 36.0×

Vertex Pharmaceuticals P/FCF Ratio 2023: 31.4×

Vertex Pharmaceuticals P/FCF Ratio 2022: 18.9×

Vertex Pharmaceuticals P/FCF Ratio 2021: 23.2×

Vertex Pharmaceuticals P/FCF Ratio 2020: 20.5×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

Vertex Pharmaceuticals (VRTX) Key Financials