WallStSmart

Vertex Pharmaceuticals Inc (VRTX)vsWestinghouse Air Brake Technologies Corp (WAB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Vertex Pharmaceuticals Inc generates 7% more annual revenue ($12.00B vs $11.17B). VRTX leads profitability with a 32.9% profit margin vs 10.5%. WAB appears more attractively valued with a PEG of 1.37. VRTX earns a higher WallStSmart Score of 66/100 (B-).

VRTX

Strong Buy

66

out of 100

Grade: B-

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

WAB

Buy

58

out of 100

Grade: C

Growth: 5.3Profit: 6.5Value: 7.3Quality: 6.0
Piotroski: 2/9Altman Z: 1.68
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

VRTXUndervalued (+36.5%)

Margin of Safety

+36.5%

Fair Value

$716.04

Current Price

$454.97

$261.07 discount

UndervaluedFair: $716.04Overvalued
WABSignificantly Overvalued (-447.9%)

Margin of Safety

-447.9%

Fair Value

$46.44

Current Price

$248.32

$201.88 premium

UndervaluedFair: $46.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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
$113.95B9/10

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

WAB0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

VRTX3 concerns · Avg: 3.7/10
PEG RatioValuation
2.194/10

Expensive relative to growth rate

P/E RatioValuation
29.3x4/10

Moderate valuation

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

WAB4 concerns · Avg: 3.3/10
P/E RatioValuation
36.0x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.684/10

Distress zone — elevated risk

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-3.8%2/10

Earnings declined 3.8%

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : WAB

Revenue growth of 14.8% demonstrates continued momentum. PEG of 1.37 suggests the stock is reasonably priced for its growth.

Bear Case : VRTX

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

Bear Case : WAB

The primary concerns for WAB are P/E Ratio, Altman Z-Score, Piotroski F-Score.

Key Dynamics to Monitor

VRTX profiles as a mature stock while WAB is a value play — different risk/reward profiles.

WAB carries more volatility with a beta of 0.98 — expect wider price swings.

WAB is growing revenue faster at 14.8% — sustainability is the question.

WAB generates stronger free cash flow (870M), providing more financial flexibility.

Bottom Line

VRTX scores higher overall (66/100 vs 58/100), backed by strong 32.9% margins. 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.

Vertex Pharmaceuticals Inc

HEALTHCARE · BIOTECHNOLOGY · USA

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

Westinghouse Air Brake Technologies Corp

INDUSTRIALS · RAILROADS · USA

Wabtec Corporation (derived from Westinghouse Air Brake Technologies Corporation) is an American company formed by the merger of the Westinghouse Air Brake Company (WABCO) and MotivePower Industries Corporation in 1999. It is headquartered in Pittsburgh, Pennsylvania.

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