Analyst Evan Seigerman of BMO Capital maintained a Buy rating on Vertex Pharmaceuticals (VRTX – Research Report), retaining the price target of $545.00.
Evan Seigerman’s rating is based on a combination of factors that highlight Vertex Pharmaceuticals’ potential for growth despite recent setbacks. The discontinuation of the VX-264 program due to lack of efficacy is a modest negative, but it does not overshadow the promising developments in the zimislecel (VX-880) program. The pivotal trial for zimislecel is progressing well, with completion expected in the first half of 2025, and a potential regulatory submission in 2026. This program shows potential to deliver transformative benefits for Type 1 Diabetes patients, particularly those who can manage the use of immunosuppressants.
Despite the challenges faced by the VX-264 program, Vertex’s broader pipeline remains strong, with encouraging updates on other projects like VX-548 and VX-147. These developments, alongside the ongoing successful launches of Journavx and Alyftrek, support the company’s growth outlook. Seigerman’s confidence is further bolstered by the foundational role of Vertex’s cystic fibrosis treatments, which provide a solid base for future pipeline expansion and potential share price appreciation.