VRTX vs. AJG
VRTX (Vertex Pharmaceuticals Incorporated) and AJG (Arthur J. Gallagher & Co.) are both stocks. VRTX operates in Biotechnology (Healthcare), while AJG operates in Insurance Brokers (Financial Services). Over the past 10 years, VRTX returned 17.15%/yr vs 18.56%/yr for AJG. At a 0.23 correlation, their price movements are largely independent.
Performance
VRTX vs. AJG - Performance Comparison
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Returns By Period
In the year-to-date period, VRTX achieves a -1.86% return, which is significantly higher than AJG's -14.95% return. Over the past 10 years, VRTX has underperformed AJG with an annualized return of 17.15%, while AJG has yielded a comparatively higher 18.56% annualized return.
VRTX
- 1D
- -0.03%
- 1M
- -1.80%
- YTD
- -1.86%
- 6M
- -1.57%
- 1Y
- -3.29%
- 3Y*
- 9.16%
- 5Y*
- 18.18%
- 10Y*
- 17.15%
AJG
- 1D
- -1.00%
- 1M
- 14.28%
- YTD
- -14.95%
- 6M
- -13.82%
- 1Y
- -30.92%
- 3Y*
- 2.53%
- 5Y*
- 9.77%
- 10Y*
- 18.56%
VRTX vs. AJG - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
VRTX Vertex Pharmaceuticals Incorporated | -1.86% | 12.58% | -1.03% | 40.90% | 31.50% | -7.08% | 7.94% | 32.13% | 10.58% | 103.42% |
AJG Arthur J. Gallagher & Co. | -14.95% | -8.03% | 27.34% | 20.51% | 12.44% | 39.02% | 32.12% | 31.79% | 19.19% | 25.04% |
Correlation
The correlation between VRTX and AJG is 0.07, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.07 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.18 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.25 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.28 |
Correlation (All Time) Calculated using the full available price history since Jul 24, 1991 | 0.23 |
The correlation between VRTX and AJG shifts across timeframes, from 0.07 (1 year) to 0.28 (10 years), reflecting how their relationship changes across market environments.
Fundamentals
VRTX:
$16.87
AJG:
$5.74
VRTX:
26.38
AJG:
38.12
VRTX:
2.19
AJG:
3.95
VRTX:
9.34
AJG:
4.08
VRTX:
$12.26B
AJG:
$13.94B
VRTX:
$10.57B
AJG:
$7.63B
VRTX:
$5.19B
AJG:
$3.66B
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Return for Risk
VRTX vs. AJG — Risk / Return Rank
VRTX
AJG
VRTX vs. AJG - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vertex Pharmaceuticals Incorporated (VRTX) and Arthur J. Gallagher & Co. (AJG). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| VRTX | AJG | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +1.02 | ||
| Sortino ratioReturn per unit of downside risk | +1.60 | ||
| Omega ratioGain probability vs. loss probability | 1.02 | 0.81 | +0.21 |
| Calmar ratioReturn relative to maximum drawdown | -0.14 | -0.76 | +0.62 |
| Martin ratioReturn relative to average drawdown | -0.29 | -1.30 | +1.01 |
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Drawdowns
VRTX vs. AJG - Drawdown Comparison
The maximum VRTX drawdown since its inception was -91.77%, which is greater than AJG's maximum drawdown of -57.49%. Use the drawdown chart below to compare losses from any high point for VRTX and AJG.
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Drawdown Indicators
| VRTX | AJG | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -91.77% | -57.49% | -34.28% |
Max Drawdown (1Y)Largest decline over 1 year | -23.56% | -40.64% | +17.08% |
Max Drawdown (3Y)Largest decline over 3 years | -29.07% | -44.40% | +15.33% |
Max Drawdown (5Y)Largest decline over 5 years | -29.07% | -44.40% | +15.33% |
Max Drawdown (10Y)Largest decline over 10 years | -41.60% | -44.40% | +2.80% |
Current DrawdownCurrent decline from peak | -13.90% | -36.46% | +22.56% |
Average DrawdownAverage peak-to-trough decline | -37.73% | -12.83% | -24.90% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 11.30% | 23.87% | -12.57% |
Volatility
VRTX vs. AJG - Volatility Comparison
The current volatility for Vertex Pharmaceuticals Incorporated (VRTX) is 7.47%, while Arthur J. Gallagher & Co. (AJG) has a volatility of 8.37%. This indicates that VRTX experiences smaller price fluctuations and is considered to be less risky than AJG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| VRTX | AJG | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 7.47% | 8.37% | -0.90% |
Volatility (6M)Calculated over the trailing 6-month period | 20.71% | 22.48% | -1.77% |
Volatility (1Y)Calculated over the trailing 1-year period | 34.13% | 27.85% | +6.28% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 28.53% | 22.98% | +5.55% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 32.82% | 23.08% | +9.74% |
Dividends
VRTX vs. AJG - Dividend Comparison
VRTX has not paid dividends to shareholders, while AJG's dividend yield for the trailing twelve months is around 1.23%.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
AJG Arthur J. Gallagher & Co. | 1.23% | 1.00% | 0.85% | 0.98% | 1.08% | 1.13% | 1.46% | 1.81% | 2.23% | 2.47% | 2.93% | 3.62% |
VRTX Vertex Pharmaceuticals Incorporated | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
Financials
VRTX vs. AJG - Financials Comparison
This section allows you to compare key financial metrics between Vertex Pharmaceuticals Incorporated and Arthur J. Gallagher & Co.. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
VRTX vs. AJG - Profitability Comparison
VRTX - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Vertex Pharmaceuticals Incorporated reported a gross profit of 2.59B and revenue of 2.99B. Therefore, the gross margin over that period was 86.9%.
AJG - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Arthur J. Gallagher & Co. reported a gross profit of 1.42B and revenue of 3.63B. Therefore, the gross margin over that period was 39.1%.
VRTX - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Vertex Pharmaceuticals Incorporated reported an operating income of 1.14B and revenue of 2.99B, resulting in an operating margin of 38.1%.
AJG - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Arthur J. Gallagher & Co. reported an operating income of 341.00M and revenue of 3.63B, resulting in an operating margin of 9.4%.
VRTX - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Vertex Pharmaceuticals Incorporated reported a net income of 1.03B and revenue of 2.99B, resulting in a net margin of 34.5%.
AJG - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Arthur J. Gallagher & Co. reported a net income of 151.00M and revenue of 3.63B, resulting in a net margin of 4.2%.
Frequently Asked Questions
VRTX and AJG have a correlation of 0.07, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
AJG has higher volatility (8.37%) compared to VRTX (7.47%). In terms of maximum drawdown, VRTX dropped -91.77% vs AJG's -57.49%.
VRTX currently has the higher Sharpe Ratio (-0.10 vs -1.12), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
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