California Water Service Group (CWT)vsVertex Pharmaceuticals Inc (VRTX)
CWT
California Water Service Group
$43.03
-0.02%
UTILITIES · Cap: $2.54B
VRTX
Vertex Pharmaceuticals Inc
$427.65
+0.78%
HEALTHCARE · Cap: $108.71B
Smart Verdict
WallStSmart Research — data-driven comparison
Vertex Pharmaceuticals Inc generates 1087% more annual revenue ($12.00B vs $1.01B). VRTX leads profitability with a 32.9% profit margin vs 11.8%. CWT appears more attractively valued with a PEG of 1.93. VRTX earns a higher WallStSmart Score of 66/100 (B-).
CWT
Buy53
out of 100
Grade: C-
VRTX
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+30.3%
Fair Value
$63.31
Current Price
$43.03
$20.28 discount
Margin of Safety
+56.0%
Fair Value
$973.13
Current Price
$427.65
$545.48 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
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
Expensive relative to growth rate
ROE of 7.2% — below average capital efficiency
Weak financial health signals
Earnings declined 69.3%
Expensive relative to growth rate
Moderate valuation
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : CWT
The strongest argument for CWT centers on Price/Book.
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 : CWT
The primary concerns for CWT are PEG Ratio, Return on Equity, Piotroski F-Score.
Bear Case : VRTX
The primary concerns for VRTX are PEG Ratio, P/E Ratio, Piotroski F-Score.
Key Dynamics to Monitor
CWT profiles as a value stock while VRTX is a mature play — different risk/reward profiles.
CWT carries more volatility with a beta of 0.61 — expect wider price swings.
VRTX is growing revenue faster at 9.5% — sustainability is the question.
VRTX generates stronger free cash flow (349M), providing more financial flexibility.
Bottom Line
VRTX scores higher overall (66/100 vs 53/100), backed by strong 32.9% margins. CWT offers better value entry with a 30.3% margin of safety. Both earn "Strong Buy" and "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.
California Water Service Group
UTILITIES · UTILITIES - REGULATED WATER · USA
California Water Service Group provides public water and related services in California, Washington, New Mexico and Hawaii. The company is headquartered in San Jose, California.
Visit Website →Vertex Pharmaceuticals Inc
HEALTHCARE · BIOTECHNOLOGY · USA
Vertex Pharmaceuticals, Inc. is an American biopharmaceutical company based in Boston, Massachusetts.
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