Vertex Pharmaceuticals Earnings Preview: Analysts Expect Falling Revenue, Rising EPS Over Last Quarter

Vertex Pharmaceuticals VRTX releases its next round of earnings this Thursday, July 28, 2011. Here's Benzinga's essential guide to Vertex Pharmaceuticals' second quarter earnings report.

Earnings and Revenue:

Analysts are bracing for a loss of 92 cents per share and revenues of $52.6 million. Wall Street will be looking to see how this quarter's numbers compare to the year-ago quarter's loss of 83 cents per share on revenues of $31.6 million. We'll have to wait for Thursday to see if Vertex Pharmaceuticals reports a decline in EPS and a boost in revenue from the year-ago quarter, as analysts are predicting.

Here's how the company's reported EPS has stacked up against analyst estimates in the past:

Stock Performance:

Shares of Vertex Pharmaceuticals were trading at $50.98 as of July 22, 2011. Since January 1st, shares of Vertex Pharmaceuticals have given investors a return of 45.5%. For a full 12 months, the return has risen by 48.6%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.

• Long-term shareholders are already enjoying 12-month gains prior to the announcement

Average Stock Rating:

The average rating by analysts for Vertex Pharmaceuticals is a Hold. This rating has strengthened slightly over the past ninety days.

Competitors:

Wondering how some of the other healthcare companies are doing? Here are a few of Vertex Pharmaceuticals' peers in that sector.

• Abbott Laboratories ABT: Hold with a $1.12 recent quarter EPS
• Bristol-Myers Squibb BMY: Hold with a $0.58 recent quarter EPS
• Gilead Sciences GILD: Moderate Buy with a $0.82 recent quarter EPS
• GlaxoSmithKline plc (ADR GSK: Hold with a $1.01 recent quarter EPS

Vertex Pharmaceuticals is in the medical-bioengineering industry, which has experienced price/earnings contraction of 9.6%.

Finally, a description of the company's main areas of operation: Vertex Pharmaceuticals is engaged in the business of discovering, developing and commercializing small molecule drugs for the treatment of serious diseases.

Take Action:

That's your advanced look at Vertex Pharmaceuticals' upcoming earnings numbers -- be ready to take quick action if the company's report contains any surprises. Also, check back in with us after the announcement for a full recap and what-to-do-next guide.

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