Centene Corp (CNC)vsVertex Pharmaceuticals Inc (VRTX)
CNC
Centene Corp
$32.73
-0.76%
HEALTHCARE · Cap: $16.10B
VRTX
Vertex Pharmaceuticals Inc
$454.97
+1.42%
HEALTHCARE · Cap: $113.95B
Smart Verdict
WallStSmart Research — data-driven comparison
Centene Corp generates 1368% more annual revenue ($176.15B vs $12.00B). VRTX leads profitability with a 32.9% profit margin vs -3.8%. CNC appears more attractively valued with a PEG of 0.74. VRTX earns a higher WallStSmart Score of 66/100 (B-).
CNC
Strong Buy65
out of 100
Grade: B-
VRTX
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CNC.
Margin of Safety
+36.5%
Fair Value
$716.04
Current Price
$454.97
$261.07 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Revenue surging 23.2% year-over-year
Earnings expanding 21.8% YoY
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 39.6%
Safe zone — low bankruptcy risk
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Conservative balance sheet, low leverage
Areas to Watch
ROE of -28.7% — below average capital efficiency
Currently unprofitable
Operating margin of -1.9%
Expensive relative to growth rate
Moderate valuation
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : CNC
The strongest argument for CNC centers on Price/Book, PEG Ratio, Revenue Growth. Revenue growth of 23.2% demonstrates continued momentum. PEG of 0.74 suggests the stock is reasonably priced for its growth.
Bull Case : VRTX
The strongest argument for VRTX centers on Profit Margin, Operating Margin, Altman Z-Score. Profitability is solid with margins at 32.9% and operating margin at 39.6%.
Bear Case : CNC
The primary concerns for CNC are Return on Equity, Profit Margin, Operating Margin.
Bear Case : VRTX
The primary concerns for VRTX are PEG Ratio, P/E Ratio, Piotroski F-Score.
Key Dynamics to Monitor
CNC profiles as a growth stock while VRTX is a mature play — different risk/reward profiles.
CNC carries more volatility with a beta of 0.46 — expect wider price swings.
CNC is growing revenue faster at 23.2% — sustainability is the question.
VRTX generates stronger free cash flow (349M), providing more financial flexibility.
Bottom Line
VRTX scores higher overall (66/100 vs 65/100), backed by strong 32.9% margins. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Centene Corp
HEALTHCARE · HEALTHCARE PLANS · USA
Centene Corporation is a large publicly traded company and a multi-line managed care enterprise that serves as a major intermediary for both government-sponsored and privately insured health care programs. It is a healthcare insurer that focuses on managed care for uninsured, underinsured, and low-income individuals.
Vertex Pharmaceuticals Inc
HEALTHCARE · BIOTECHNOLOGY · USA
Vertex Pharmaceuticals, Inc. is an American biopharmaceutical company based in Boston, Massachusetts.
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