Does This Acquisition Make Vertex Pharmaceuticals Stock a Buy?
Biotech giant Vertex Pharmaceuticals (NASDAQ: VRTX) continues to grab headlines. Over the past six months, the drugmaker has earned important regulatory approvals and made excellent clinical progress. But the company isn't stopping. Vertex just announced a move that will help it expand its pipeline. The company will be acquiring a smaller clinical-stage biotech called Alpine Immune Sciences (NASDAQ: ALPN) for $4.9 billion.
Let's look more closely into this transaction and what it could mean for investors.
Alpine Immune Sciences focuses on developing therapies for inflammatory and autoimmune diseases. The company doesn't have any products in late-stage clinical trials yet, so why is Vertex spending nearly $5 billion to buy it out? The answer is that Alpine's lead candidate, povetacicept, has looked highly promising so far. Povetacicept is a potential treatment for IgA nephropathy (IgAN). This rare disease is caused by a buildup of IgA proteins in the kidney, potentially leading to inflammation, damage, and kidney failure.
Source Fool.com
Vertex Pharmaceuticals Inc. Stock
The stock is one of the favorites of our community with 40 Buy predictions and 2 Sell predictions.
With a target price of 382 € there is a slightly positive potential of 2.44% for Vertex Pharmaceuticals Inc. compared to the current price of 372.9 €.
