WallStSmart

Insmed Inc (INSM)vsVertex Pharmaceuticals Inc (VRTX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Vertex Pharmaceuticals Inc generates 1879% more annual revenue ($12.00B vs $606.42M). VRTX leads profitability with a 32.9% profit margin vs -210.5%. INSM appears more attractively valued with a PEG of 1.09. VRTX earns a higher WallStSmart Score of 66/100 (B-).

INSM

Hold

39

out of 100

Grade: F

Growth: 8.0Profit: 2.0Value: 6.7Quality: 6.3
Piotroski: 6/9Altman Z: -3.77

VRTX

Strong Buy

66

out of 100

Grade: B-

Growth: 8.0Profit: 9.0Value: 10.0Quality: 8.0
Piotroski: 3/9Altman Z: 3.62
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for INSM.

VRTXUndervalued (+36.7%)

Margin of Safety

+36.7%

Fair Value

$717.44

Current Price

$454.00

$263.44 discount

UndervaluedFair: $717.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

INSM1 strengths · Avg: 10.0/10
Revenue GrowthGrowth
152.6%10/10

Revenue surging 152.6% year-over-year

VRTX6 strengths · Avg: 9.5/10
Profit MarginProfitability
32.9%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
39.6%10/10

Strong operational efficiency at 39.6%

Altman Z-ScoreHealth
3.6210/10

Safe zone — low bankruptcy risk

Market CapQuality
$118.39B9/10

Large-cap with strong market position

Return on EquityProfitability
22.5%9/10

Every $100 of equity generates 23 in profit

Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

Areas to Watch

INSM4 concerns · Avg: 2.5/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Price/BookValuation
39.4x2/10

Trading at 39.4x book value

Return on EquityProfitability
-249.3%2/10

ROE of -249.3% — below average capital efficiency

Free Cash FlowQuality
$-294.19M2/10

Negative free cash flow — burning cash

VRTX3 concerns · Avg: 3.7/10
PEG RatioValuation
2.294/10

Expensive relative to growth rate

P/E RatioValuation
30.4x4/10

Premium valuation, high expectations priced in

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : INSM

The strongest argument for INSM centers on Revenue Growth. Revenue growth of 152.6% demonstrates continued momentum. PEG of 1.09 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 : INSM

The primary concerns for INSM are EPS Growth, Price/Book, Return on Equity.

Bear Case : VRTX

The primary concerns for VRTX are PEG Ratio, P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

INSM profiles as a hypergrowth stock while VRTX is a mature play — different risk/reward profiles.

INSM carries more volatility with a beta of 1.17 — expect wider price swings.

INSM is growing revenue faster at 152.6% — sustainability is the question.

VRTX generates stronger free cash flow (349M), providing more financial flexibility.

Bottom Line

VRTX scores higher overall (66/100 vs 39/100), backed by strong 32.9% margins. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Insmed Inc

HEALTHCARE · BIOTECHNOLOGY · USA

Insmed Incorporated, a biopharmaceutical company, develops and markets therapies for patients with rare and serious diseases. The company is headquartered in Bridgewater, New Jersey.

Vertex Pharmaceuticals Inc

HEALTHCARE · BIOTECHNOLOGY · USA

Vertex Pharmaceuticals, Inc. is an American biopharmaceutical company based in Boston, Massachusetts.

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