WallStSmart

Insmed Inc (INSM)vsVertex Pharmaceuticals Inc (VRTX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Vertex Pharmaceuticals Inc generates 1391% more annual revenue ($12.22B vs $819.56M). VRTX leads profitability with a 35.5% profit margin vs -144.4%. INSM appears more attractively valued with a PEG of 1.09. VRTX earns a higher WallStSmart Score of 68/100 (B-).

INSM

Hold

39

out of 100

Grade: F

Growth: 8.0Profit: 2.0Value: 4.3Quality: 5.5
Piotroski: 4/9Altman Z: -3.96

VRTX

Strong Buy

68

out of 100

Grade: B-

Growth: 8.0Profit: 9.0Value: 6.7Quality: 8.5
Piotroski: 3/9Altman Z: 3.62
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

INSMSignificantly Overvalued (-16.6%)

Margin of Safety

-16.6%

Fair Value

$83.92

Current Price

$104.92

$21.00 premium

UndervaluedFair: $83.92Overvalued
VRTXUndervalued (+53.1%)

Margin of Safety

+53.1%

Fair Value

$952.53

Current Price

$446.83

$505.70 discount

UndervaluedFair: $952.53Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

INSM1 strengths · Avg: 10.0/10
Revenue GrowthGrowth
229.6%10/10

Revenue surging 229.6% year-over-year

VRTX6 strengths · Avg: 9.7/10
Profit MarginProfitability
35.5%10/10

Keeps 36 of every $100 in revenue as profit

Operating MarginProfitability
38.1%10/10

Strong operational efficiency at 38.1%

EPS GrowthGrowth
61.4%10/10

Earnings expanding 61.4% YoY

Altman Z-ScoreHealth
3.6210/10

Safe zone — low bankruptcy risk

Market CapQuality
$107.89B9/10

Large-cap with strong market position

Return on EquityProfitability
22.4%9/10

Every $100 of equity generates 22 in profit

Areas to Watch

INSM4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Debt/EquityHealth
1.063/10

Elevated debt levels

Price/BookValuation
32.2x2/10

Trading at 32.2x book value

Return on EquityProfitability
-167.9%2/10

ROE of -167.9% — below average capital efficiency

VRTX3 concerns · Avg: 3.7/10
PEG RatioValuation
1.654/10

Expensive relative to growth rate

P/E RatioValuation
25.3x4/10

Moderate valuation

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 229.6% 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, EPS Growth. Profitability is solid with margins at 35.5% and operating margin at 38.1%.

Bear Case : INSM

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

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 0.77 — expect wider price swings.

INSM is growing revenue faster at 229.6% — sustainability is the question.

VRTX generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

VRTX scores higher overall (68/100 vs 39/100), backed by strong 35.5% 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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