Vertex Pharma: Still Milking Its Monopoly, Now With a Painkiller Approved
Biotech isn’t the first sector most investors think of. The space is notorious for high R&D costs, regulatory delays, and volatile stocks. But there’s a huge difference between speculative biotechs with no approved drugs — and cash-rich giants that dominate a niche with patent-protected treatments.
Vertex Pharmaceuticals (VRTX) is firmly in the second camp. It has a stranglehold on the market for treating cystic fibrosis (CF), a life-threatening genetic disease. Its blockbuster drug Trikafta costs US$311,000 a year, faces no competition, and is protected by patents until 2037 in the U.S.
So when Vertex stock dropped 12% after its Q1 2025 results, the question is: buying opportunity or red flag?