KLP Kapitalforvaltning AS Invests $35 Million in Vertex Pharmaceuticals

KLP Kapitalforvaltning AS has made headlines after investing approximately $35.01 million in Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX) during the fourth quarter, based on their latest 13F filing with the SEC. This acquisition included 86,941 shares of the biotechnology company’s stock.

Vertex Pharmaceuticals is well-known for its innovative treatments for cystic fibrosis (CF) and continues to attract significant investments from various institutional investors.

Institutional Investments

In addition to KLP Kapitalforvaltning, several other institutional investors have recently adjusted their stakes in Vertex Pharmaceuticals. For instance, State Street Corp increased its holdings by 0.8% during the third quarter, now owning 11,816,249 shares valued at approximately $5.49 billion after acquiring an additional 90,173 shares. Similarly, Wellington Management Group LP raised its stakes by 17.2%, now holding 4,798,870 shares worth around $2.23 billion, following an increase of 704,421 shares.

Janus Henderson Group PLC added 100,114 shares, enhancing its total to 2,516,831 shares, valued at about $1.17 billion. Meanwhile, Parnassus Investments LLC established a new position valued at around $731 million. Furthermore, Charles Schwab Investment Management Inc. raised its holdings by 2.3%, owning 1,663,849 shares worth roughly $670 million after an increase of 37,502 shares. Currently, about 90.96% of Vertex's stock is owned by institutional investors.

Analyst Ratings

Investors and analysts are keeping a close eye on Vertex Pharmaceuticals as recent reports from several equities analysts reflect a range of opinions. Scotiabank recently raised its target price for Vertex from $433.00 to $450.00, maintaining a "sector perform" rating. In contrast, Wells Fargo & Company downgraded the stock from "overweight" to "equal weight," setting a target of $460.00.

Canaccord Genuity upgraded its rating from “sell” to “hold,” adjusting their target price to $424.00. Notably, Oppenheimer changed its stance from "outperform" to "market perform" during a report issued in December. Currently, analysts have issued ten hold ratings, sixteen buy ratings, and one strong buy recommendation for Vertex, leading to an average rating of "Moderate Buy" with a consensus price target of $506.70.

Insider Transactions

In other news, insiders have been active in trading Vertex Pharmaceuticals stock. For example, EVP David Altshuler sold 3,231 shares on March 10th for an average price of $500.00, amounting to a total transaction of $1,615,500. This transaction represents a decrease of 10.86% in Altshuler’s holdings, which now stand at 26,512 shares worth approximately $13.26 million. Furthermore, EVP Ourania Tatsis sold 244 shares on February 18th at an average price of $455.06, bringing her total ownership to 67,695 shares valued at about $30.81 million. Insiders collectively sold a total of 4,315 shares worth $2.12 million in the last quarter, with company insiders holding about 0.20% of the stock.

Current Stock Performance

As of the last update, Vertex Pharmaceuticals’ shares opened at $503.20. The stock’s fifty-day moving average is noted at $467.89, while the two-hundred day moving average is at $462.60. Over the past year, the stock has fluctuated with a low of $377.85 and a high of $519.88. Presently, the company boasts a market cap of $129.22 billion and a P/E ratio of -228.73.

Vertex Pharmaceuticals recently announced its quarterly earnings, reporting $3.54 earnings per share, which was below analysts’ expectations of $3.99 by $0.45. Current forecasts predict that Vertex will report approximately 15.63 EPS for the coming fiscal year.

About Vertex Pharmaceuticals

Vertex Pharmaceuticals is a biotechnology firm focused on developing and commercializing treatments for cystic fibrosis. The company is known for its therapies like TRIKAFTA/KAFTRIO for patients aged two and older with at least one F508del mutation, along with SYMDEKO/SYMKEVI, ORKAMBI, and KALYDECO, each directed at specific patient groups with CF.

investment, stocks, biotechnology