Vertex has delivered earnings growth over the past decade thanks to its leadership in cystic fibrosis treatment.
In recent years, the company has launched products in other treatment areas too.
Vertex Pharmaceuticals (NASDAQ: VRTX) is a great example of a biotech success story. The company has developed strength in a specialty area and, thanks to that, has delivered a track record of revenue and profit growth over the past decade. This is in cystic fibrosis (CF), an area where Vertex has secured leadership.
On top of that, in recent years, Vertex has proven that it has what it takes to expand into other treatment areas. The company won approval for gene editing treatment Casgevy for blood disorders and, most recently, for Journavx, a non-opioid drug for pain management.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
Vertex makes a great investment for many reasons, but for one reason in particular, I would buy this stock and never sell.
Image source: Getty Images.
As mentioned, Vertex has impressed investors over the past few years, showing it has the ability to expand beyond CF. Prior to this, a couple of candidate failures outside of CF prompted investors to worry about Vertex’s expansion potential — and that weighed on its stock. Since Vertex launched the products I mentioned earlier, and as the company built out its pipeline in areas from kidney disease to type 1 diabetes, investors regained confidence, and the stock took off. Over the past three years, Vertex shares have climbed more than 60%.
Now, here’s the reason I would buy and hold Vertex for the long term. It might surprise you when I say it doesn’t have to do with the company’s work beyond CF. Instead, I would hold onto this company for its ongoing strength and long-term prospects in the CF market. Though Vertex has made great progress in other areas, it’s important to remember that its CF growth story is far from over.
The company has said that it has the intellectual property (IP) to secure its leadership through the late 2030s. Vertex continues to be an innovator in this space, with its latest CF drug, Alyftrek, even beating the efficacy of its biggest blockbuster, Trikafta. Now, both of those drugs are driving gains at Vertex, but the company isn’t stopping here.
Alyftrek and Trikafta are able to help 90% of CF patients — CF is linked to specific genetic mutations, and this makes it tricky for one drug to serve all patients. Vertex is working to address the needs of all patients, though, and it’s progressing on a candidate meant to help those who can’t take its current drugs. Vertex, with partner Moderna, is studying VX-522, an mRNA candidate in a phase 1/2 study and expects to report data this year.
Vertex’s CF business already fuels billion-dollar earnings — and potential new CF drugs, along with the company’s solid IP, should keep this going well into the future. That’s why I would buy and never sell this biotech winner.
Before you buy stock in Vertex Pharmaceuticals, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Vertex Pharmaceuticals wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $439,362!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,164,984!*
Now, it’s worth noting Stock Advisor’s total average return is 918% — a market-crushing outperformance compared to 196% for the S&P 500. Don’t miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of February 10, 2026.
Adria Cimino has positions in Vertex Pharmaceuticals. The Motley Fool has positions in and recommends Moderna and Vertex Pharmaceuticals. The Motley Fool has a disclosure policy.
—
Blog powered by G6
Disclaimer! A guest author has made this post. G6 has not checked the post. its content and attachments and under no circumstances will G6 be held responsible or liable in any way for any claims, damages, losses, expenses, costs or liabilities whatsoever (including, without limitation, any direct or indirect damages for loss of profits, business interruption or loss of information) resulting or arising directly or indirectly from your use of or inability to use this website or any websites linked to it, or from your reliance on the information and material on this website, even if the G6 has been advised of the possibility of such damages in advance.
For any inquiries, please contact [email protected]
