Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Vertex's second quarter of fiscal 2026 was defined by accelerating diversification beyond cystic fibrosis, with new therapies CASGEVY and JOURNAVX posting triple-digit year-over-year growth and together contributing $126 million in product revenues, while the planned $10 billion acquisition of Crinetics Pharmaceuticals marked a strategic push into endocrine diseases. Total revenue rose, driven by continued strong CF performance and rapid uptake of ALYFTREK, though operating margin contracted slightly due to a 37% increase in SG&A spending to support product launches. Tensions include an ongoing arbitration over ALYFTREK royalty rates and the integration risks tied to the pending Crinetics deal, even as cash reserves expanded to $13.6 billion.
Revenue
$3.33B
+12.45% YoY
EPS (Diluted)
$4.31
+8.02% YoY
Operating Income
$1.25B
+8.32% YoY
Source: SEC XBRL
VRTX reported Q2 FY2026 revenue of $3.33B, up 12.5% year over year. Operating margin was 37.4%, down 1.4 points from 38.8% a year earlier. VRTX's fiscal Q2 FY2026 corresponds to calendar Q2 2026.
Last 4 quarters: 2 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026This filing | 4.73 | 4.82 | Miss -2.0% |
| Mar 2026 | 4.47 | 4.40 | Beat +1.7% |
| Dec 2025 | 5.03 | 5.17 | Miss -2.8% |
| Sep 2025 | 4.80 | 4.65 | Beat +3.1% |
Adjusted (non-GAAP) EPS of $4.73 versus the $4.82 analyst consensus — a -2.0% miss for Jun 2026. Analyst consensus is quoted on the adjusted (non-GAAP) basis the street uses. GAAP diluted EPS for this quarter was $4.31.
Compiled by AI from 10-Q Item 2 of this filing
ALYFTREK secured reimbursement in four additional countries, including Spain, bringing the total to 25 countries, and a letter of intent was signed with the Pan-Canadian Pharmaceutical Alliance for reimbursement in Canada.
Source: 10-Q Item 2 MD&A
CASGEVY product revenues surged 151% YoY to $76.4 million, and the FDA approved its use in children aged 2+ with SCD or TDT, making approximately 5,500 additional patients eligible.
Source: 10-Q Item 2 MD&A
JOURNAVX prescriptions reached 900,000 in the first half of 2026, with reimbursement coverage now extending to approximately 260 million lives after agreements with major Medicare Part D plans.
Source: 10-Q Item 2 MD&A
The FDA accepted the biologics license application for accelerated approval of povetacicept in IgA nephropathy, with a PDUFA target action date of November 30, 2026.
Source: 10-Q Item 2 MD&A
Vertex entered into an agreement to acquire Crinetics Pharmaceuticals for $85.00 per share in cash (total equity value ~$10 billion), adding PALSONIFY for acromegaly and pipeline asset atumelnant for congenital adrenal hyperplasia.
Source: 10-Q Item 2 MD&A
Compiled by AI from this SEC filing · 2 high, 3 medium, 0 low
Vertex may be unable to complete the Crinetics acquisition or integrate its business, and the anticipated benefits depend on PALSONIFY sales and atumelnant development success, posing a material adverse risk.
Source: 10-Q Item 1A Risk Factors
Royalty Pharma initiated an arbitration alleging the royalty burden on ALYFTREK is ~8% instead of Vertex's position of 4%, seeking unpaid royalties and damages, which could impact CF franchise profitability.
Source: 10-Q Item 2 MD&A
The success of CASGEVY, JOURNAVX, and future launches like povetacicept depends on achieving adequate reimbursement and market acceptance; delays or failures could materially impact revenue diversification.
Source: 10-Q Item 2 MD&A
Vertex's strategy relies on advancing a broad pipeline of transformative therapies; clinical trial failures, regulatory setbacks, or delays—such as in T1D or pain programs—could significantly affect long‑term growth prospects.
Source: 10-Q Item 2 MD&A
Despite diversification, the majority of revenues still come from CF products, and any adverse changes in reimbursement, competition, or the treatment landscape could disproportionately impact financial performance.
Source: 10-Q Item 2 MD&A
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 3.33 $B | 2.96 $B | +12.45% |
Cost of Revenue $M | 489.20 $M | 407.50 $M | +20.05% |
Operating Income $B | 1.25 $B | 1.15 $B | +8.32% |
Net Income $B | 1.10 $B | 1.03 $B | +6.48% |
EPS (Basic) $ | 4.34 $ | 4.02 $ | +7.96% |
EPS (Diluted) $ | 4.31 $ | 3.99 $ | +8.02% |
SG&A Expense $M | 582.20 $M | 424.60 $M | +37.12% |
Answers draw on this SEC filing and the data on this page
Expected release date, analyst estimates & what to watch
Vertex Pharmaceuticals delivered a strong Q1 FY2026 with revenue of $2.99B (+7.8% YoY), operating income surging 80.6% to $1.14B, and net income jumping 59.6% to $1.03B, reflecting significant margin expansion and robust cash generation.
Vertex Pharmaceuticals delivered a strong FY2025 with revenue of $12.0B (+8.9% YoY) and a dramatic swing to profitability, posting net income of $3.95B versus a net loss of $535.6M in the prior year.
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