Stock Analysis on Net

Vertex Pharmaceuticals Inc. (NASDAQ:VRTX)

Analysis of Long-term (Investment) Activity Ratios 

Microsoft Excel

Long-term Activity Ratios (Summary)

Vertex Pharmaceuticals Inc., long-term (investment) activity ratios

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Net fixed asset turnover 8.51 8.06 6.92 6.47 5.59
Net fixed asset turnover (including operating lease, right-of-use asset) 6.79 6.13 5.32 4.83 5.00
Total asset turnover 0.43 0.49 0.56 0.53 0.50
Equity turnover 0.56 0.64 0.75 0.71 0.68

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Long-term activity ratio Description The company
Net fixed asset turnover An activity ratio calculated as total revenue divided by net fixed assets. Vertex Pharmaceuticals Inc. net fixed asset turnover ratio improved from 2021 to 2022 and from 2022 to 2023.
Net fixed asset turnover (including operating lease, right-of-use asset) An activity ratio calculated as total revenue divided by net fixed assets (including operating lease, right-of-use asset). Vertex Pharmaceuticals Inc. net fixed asset turnover ratio (with operating lease, right-of-use asset) improved from 2021 to 2022 and from 2022 to 2023.
Total asset turnover An activity ratio calculated as total revenue divided by total assets. Vertex Pharmaceuticals Inc. total asset turnover ratio deteriorated from 2021 to 2022 and from 2022 to 2023.
Equity turnover An activity ratio calculated as total revenue divided by shareholders’ equity. Vertex Pharmaceuticals Inc. equity turnover ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Net Fixed Asset Turnover

Vertex Pharmaceuticals Inc., net fixed asset turnover calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in thousands)
Revenues 9,869,200 8,930,700 7,574,400 6,205,683 4,162,821
Property and equipment, net 1,159,300 1,108,400 1,094,100 958,534 745,080
Long-term Activity Ratio
Net fixed asset turnover1 8.51 8.06 6.92 6.47 5.59
Benchmarks
Net Fixed Asset Turnover, Competitors2
AbbVie Inc. 10.89 11.76 11.00 8.73 11.23
Amgen Inc. 4.53 4.57 4.69 4.96 4.51
Bristol-Myers Squibb Co. 6.77 7.38 7.67 7.22 4.18
Eli Lilly & Co. 2.64 2.81 3.15 2.83 2.83
Gilead Sciences Inc. 5.07 4.93 5.27 4.90 4.91
Johnson & Johnson 4.28 4.79 4.95 4.40 4.65
Merck & Co. Inc. 2.61 2.77 2.53 2.67 3.11
Pfizer Inc. 3.09 6.17 5.46 3.01 3.71
Regeneron Pharmaceuticals Inc. 3.16 3.23 4.62 2.64 2.72
Thermo Fisher Scientific Inc. 4.54 4.84 4.71 5.45 5.38
Net Fixed Asset Turnover, Sector
Pharmaceuticals, Biotechnology & Life Sciences 4.06 4.86 4.86 4.21 4.22
Net Fixed Asset Turnover, Industry
Health Care 10.19 10.62 10.38 9.62 9.72

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Net fixed asset turnover = Revenues ÷ Property and equipment, net
= 9,869,200 ÷ 1,159,300 = 8.51

2 Click competitor name to see calculations.

Long-term activity ratio Description The company
Net fixed asset turnover An activity ratio calculated as total revenue divided by net fixed assets. Vertex Pharmaceuticals Inc. net fixed asset turnover ratio improved from 2021 to 2022 and from 2022 to 2023.

Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)

Vertex Pharmaceuticals Inc., net fixed asset turnover (including operating lease, right-of-use asset) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in thousands)
Revenues 9,869,200 8,930,700 7,574,400 6,205,683 4,162,821
 
Property and equipment, net 1,159,300 1,108,400 1,094,100 958,534 745,080
Operating lease assets 293,600 347,400 330,300 325,564 88,202
Property and equipment, net (including operating lease, right-of-use asset) 1,452,900 1,455,800 1,424,400 1,284,098 833,282
Long-term Activity Ratio
Net fixed asset turnover (including operating lease, right-of-use asset)1 6.79 6.13 5.32 4.83 5.00
Benchmarks
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Competitors2
AbbVie Inc. 9.47 10.24 9.57 7.46 10.06
Amgen Inc. 4.08 4.13 4.23 4.58 4.11
Bristol-Myers Squibb Co. 5.60 6.18 6.66 6.30 3.76
Eli Lilly & Co. 2.43 2.63 2.93 2.63 2.66
Gilead Sciences Inc. 4.57 4.51 4.77 4.34 4.28
Johnson & Johnson 4.07 4.54 4.72 4.18 4.41
Merck & Co. Inc. 2.45 2.60 2.33 2.43 2.90
Pfizer Inc. 2.68 5.20 4.59 2.74 3.39
Regeneron Pharmaceuticals Inc. 3.11 3.17 4.52 2.58 2.66
Thermo Fisher Scientific Inc. 3.89 4.13 3.98 4.82 4.69
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Sector
Pharmaceuticals, Biotechnology & Life Sciences 3.68 4.39 4.37 3.84 3.89
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Industry
Health Care 8.32 8.55 8.22 7.54 7.63

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset) = Revenues ÷ Property and equipment, net (including operating lease, right-of-use asset)
= 9,869,200 ÷ 1,452,900 = 6.79

2 Click competitor name to see calculations.

Long-term activity ratio Description The company
Net fixed asset turnover (including operating lease, right-of-use asset) An activity ratio calculated as total revenue divided by net fixed assets (including operating lease, right-of-use asset). Vertex Pharmaceuticals Inc. net fixed asset turnover ratio (with operating lease, right-of-use asset) improved from 2021 to 2022 and from 2022 to 2023.

Total Asset Turnover

Vertex Pharmaceuticals Inc., total asset turnover calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in thousands)
Revenues 9,869,200 8,930,700 7,574,400 6,205,683 4,162,821
Total assets 22,730,200 18,150,900 13,432,500 11,751,808 8,318,465
Long-term Activity Ratio
Total asset turnover1 0.43 0.49 0.56 0.53 0.50
Benchmarks
Total Asset Turnover, Competitors2
AbbVie Inc. 0.40 0.42 0.38 0.30 0.37
Amgen Inc. 0.28 0.38 0.40 0.39 0.37
Bristol-Myers Squibb Co. 0.47 0.48 0.42 0.36 0.20
Eli Lilly & Co. 0.53 0.58 0.58 0.53 0.57
Gilead Sciences Inc. 0.43 0.43 0.40 0.36 0.36
Johnson & Johnson 0.51 0.51 0.52 0.47 0.52
Merck & Co. Inc. 0.56 0.54 0.46 0.52 0.55
Pfizer Inc. 0.26 0.51 0.45 0.27 0.31
Regeneron Pharmaceuticals Inc. 0.40 0.42 0.63 0.50 0.53
Thermo Fisher Scientific Inc. 0.43 0.46 0.41 0.47 0.44
Total Asset Turnover, Sector
Pharmaceuticals, Biotechnology & Life Sciences 0.41 0.48 0.45 0.39 0.40
Total Asset Turnover, Industry
Health Care 0.80 0.81 0.76 0.70 0.71

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Total asset turnover = Revenues ÷ Total assets
= 9,869,200 ÷ 22,730,200 = 0.43

2 Click competitor name to see calculations.

Long-term activity ratio Description The company
Total asset turnover An activity ratio calculated as total revenue divided by total assets. Vertex Pharmaceuticals Inc. total asset turnover ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Equity Turnover

Vertex Pharmaceuticals Inc., equity turnover calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in thousands)
Revenues 9,869,200 8,930,700 7,574,400 6,205,683 4,162,821
Shareholders’ equity 17,580,400 13,912,700 10,100,000 8,686,815 6,085,244
Long-term Activity Ratio
Equity turnover1 0.56 0.64 0.75 0.71 0.68
Benchmarks
Equity Turnover, Competitors2
AbbVie Inc. 5.24 3.36 3.65 3.50
Amgen Inc. 4.32 6.77 3.63 2.58 2.30
Bristol-Myers Squibb Co. 1.53 1.49 1.29 1.12 0.51
Eli Lilly & Co. 3.17 2.68 3.15 4.35 8.56
Gilead Sciences Inc. 1.18 1.27 1.28 1.34 0.98
Johnson & Johnson 1.24 1.24 1.27 1.31 1.38
Merck & Co. Inc. 1.60 1.29 1.28 1.90 1.81
Pfizer Inc. 0.66 1.05 1.05 0.66 0.82
Regeneron Pharmaceuticals Inc. 0.51 0.54 0.86 0.77 0.71
Thermo Fisher Scientific Inc. 0.92 1.02 0.96 0.93 0.86
Equity Turnover, Sector
Pharmaceuticals, Biotechnology & Life Sciences 1.25 1.32 1.35 1.31 1.26
Equity Turnover, Industry
Health Care 2.22 2.17 2.10 2.06 2.06

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Equity turnover = Revenues ÷ Shareholders’ equity
= 9,869,200 ÷ 17,580,400 = 0.56

2 Click competitor name to see calculations.

Long-term activity ratio Description The company
Equity turnover An activity ratio calculated as total revenue divided by shareholders’ equity. Vertex Pharmaceuticals Inc. equity turnover ratio deteriorated from 2021 to 2022 and from 2022 to 2023.