Jim Cramer Says Vertex Doing 'Lord's Work': Can Q3 Earnings Outshine Bearish Charts?

Vertex Pharmaceuticals Inc VRTX will be reporting its third-quarter earnings on Monday. Wall Street expects $4.14 in EPS and $2.72 billion in revenues as the company reports after market hours.

Jim Cramer isn't holding back on Vertex stock calling it a buy and lauding its work as "doing the lord’s work" on CNBC's Mad Money Lightning Round. Cramer's endorsement adds to investor intrigue as Vertex prepares to release its third-quarter earnings. The stock is up 22.13% over the past year and 14.65% YTD.

Let’s look at what the charts indicate for Vertex stock and how the stock currently maps against Wall Street estimates.

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Vertex Chart Faces A Strongly Bearish Trend Ahead Of Q3 Earnings…

Vertex stock currently faces a strongly bearish trend, with its $471.12 share price trailing its five, 20 and 50-day Exponential Moving Averages (EMA).

Chart created using Benzinga Pro

This bearish momentum is reinforced as VRTX trades below key short-term Simple Moving Averages (SMA): the eight-day SMA at $473.57, the 20-day SMA at $475.65, and the 50-day SMA at $474.24—all signaling bearish pressure.

However, a longer-term bullish undertone is evident, with the 200-day SMA at $450.72 suggesting support.

The Moving Average Convergence Divergence (MACD) indicator sits at 0.39, providing a bullish signal, while the Relative Strength Index (RSI) at 47.44 hints at balanced momentum. Despite the short-term bearish setup, these mixed signals indicate slight buying pressure that could support VRTX in the long run.

Yet Vertex Analysts See 22% Upside

Ratings & Consensus Estimates: The consensus analyst rating on Vertex stock stands at a Buy with a price target of $502.08. The latest analyst ratings from Oppenheimer, HC Wainwright & Co. and UBS in October, set an average price target of $567.33 for Vertex stock, suggesting a 22.33% upside.

With mixed technical indicators, Vertex's third quarter results could be the deciding factor in this tug-of-war between Cramer's confidence and the bearish charts. As Cramer's bullish call sets the tone, all eyes are on Vertex to see if its earnings report can deliver the performance investors—and the charts—are waiting for.

VRTX Price Action: Vertex stock closed the trading day Friday at $472.12, down 1.02%.

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