Here’s Why You Should Consider Acquiring Vertex Pharmaceuticals (VRTX) Shares

Baron Funds, an asset management firm, published its “Baron Health Care Fund” second quarter 2022 investor letter – a copy of which can be downloaded here. In the quarter ended June 30, 2022, Baron Health Care Fund (the “Fund”) declined 10.00% (Institutional Shares), compared with the 7.43% decline for the Russell 3000 Health Care Index (the “Benchmark”) and the 16.10% decline for the S&P 500 Index. Since its inception (April 30, 2018), the Fund increased 15.00% on an annualized basis compared with the 11.96% gain for the Benchmark and the 10.91% gain for the S&P 500 Index. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.

In its Q2 2022 investor letter, Baron Health Care Fund mentioned Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) and explained its insights for the company. Founded in 1989, Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) is a Boston, Massachusetts-based biopharmaceutical company with a $75.5 billion market capitalization. Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) delivered a 34.12% return since the beginning of the year, while its 12-month returns are up by 51.53%. The stock closed at $294.52 per share on August 12, 2022.

Here is what Baron Health Care Fund has to say about Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) in its Q2 2022 investor letter:

“Vertex Pharmaceuticals Incorporated is a leader in the treatment of cystic fibrosis, a fatal lifelong disease that Vertex has made major steps towards curing. Shares increased mostly due to underlying business fundamentals that include strong free cash flow generation and a pipeline that is finally starting to add value. We expect Vertex’s kidney disease program and updates to treat Type 1 diabetes to drive future upside.”

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Our calculations show that Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) was in 49 hedge fund portfolios at the end of the second quarter of 2022, compared to 61 funds in the previous quarter. Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) delivered a 19.37% return in the past 3 months.

In March 2022, we also shared another hedge fund’s views on Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.

Disclosure: None. This article is originally published at Insider Monkey.