Vertex Pharmaceuticals Stock Is Soaring: Here's Why It's Still Not Too Late to Buy

Vertex Pharmaceuticals Stock Is Soaring: Here's Why It's Still Not Too Late to Buy

Just last week, I wrote why you'd be smart to buy Vertex Pharmaceuticals (NASDAQ: VRTX) stock. At that time, Vertex was up around 70% for the year. My argument then was that the stock was still undervalued even with a forward earnings multiple of 41 because of its growth prospects, particularly with its three-drug combination treatments for cystic fibrosis (CF). 

Vertex announced results from phase 1 and phase 2 studies of three different triple-combination CF therapies on Tuesday. To call those results positive would be an understatement. The biotech's share price soared more than 20% on the news of just how successful the triple-combo regimens were. 

With Vertex stock at all-time highs, is it too late to buy shares of this hot biotech? Here's why I still think the answer to that question is a resounding "no."

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Source: Fool.com