- Vertex Pharmaceuticals’ stock advanced as analysts debate the potential of its pain drug, VX-548, which could be worth up to $11.4 billion in sales.
- The company beat forecasts in its first quarter report and has begun a rolling submission to the FDA for the approval of VX-548 in patients with moderate-to-severe acute pain.
- However, analysts are divided on whether the drug will succeed commercially, with estimates ranging from $400 million in peak sales to $11.4 billion in 2032 sales.
Vertex Pharmaceuticals’ stock rises as the company’s pain drug, VX-548, sparks debate among analysts. The drug could potentially generate up to $11.4 billion in sales.
Vertex Stock: Mature CF Franchise
Vertex is the market leader for cystic fibrosis treatments. In the first quarter, sales rose 13% to $2.69 billion. Earnings increased 56% to $4.76 per share on an adjusted basis, both exceeding the Street’s forecast. However, the company’s future relies on its pipeline as its cystic fibrosis franchise matures.
The Pain Drug Debate Continues
The debate over the pain drug has been ongoing since January when Vertex unveiled the results of its non-opioid pain treatment in patients following abdominoplasty or bunionectomy. The drug was not inferior to opioids in tummy tuck patients, but looked inferior in controlling the pain of bunionectomy patients.
What’s Next For Vertex’s Pipeline?
Beyond pain, Vertex is working on a next-generation cystic fibrosis treatment, vanzacaftor. The company has already asked the FDA and the European Medicines Agency to approve vanzacaftor for cystic fibrosis patients. Vertex has also resumed testing a type 1 diabetes treatment after two patients died, and a treatment for myotonic dystrophy following an earlier clinical hold.
Conclusion
Vertex Pharmaceuticals’ stock has risen as the company’s pain drug, VX-548, sparks debate among analysts. The drug could potentially generate up to $11.4 billion in sales. The company’s future relies on its pipeline as its cystic fibrosis franchise matures, with a next-generation cystic fibrosis treatment, vanzacaftor, in the works.
