Top 5 Stocks to Invest in For Beginner Investors

2. Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX)

Number of Hedge Fund Holders: 53

Vertex Pharmaceutical is one of the top stocks to invest in for beginner investors. The company makes treatment for various diseases including cystic fibrosis (CF), antitrypsin deficiency, kidney diseases, sickle cell disease and beta thalassemia. The company recently received positive recommendation from the European Medicines Agency’s Committee for Medicinal Products for Human Use for its treatment of cystic fibrosis. Citi recently added the stock to its Focus list, with a price target of $325.  The firm said that Vertex has many growth catalysts, including VX-864 Phase 2 proof-of-concept study in Alpha-1 Antitrypsin deficiency data expected in the first half of 2021.

A total of 53 hedge funds tracked by Insider Monkey were bullish VRTX at the end of the fourth quarter, down from 55 funds a quarter earlier.

Alger Spectra Fund, in their Q4 2020 investor letter, mentioned Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX). Here is what Alger Spectra Fund has to say about Vertex Pharmaceuticals Incorporated in their Q4 2020 investor letter:

“Vertex Pharmaceuticals has become the world’s leading cystic fibrosis company by introducing the first drugs that treat the underlying disease rather than just the symptoms. Cystic fibrosis is caused by genetic abnormalities. Vertex has been able to target the proteins made by defective genes and allow them to function more normally. The shares detracted from portfolio performance when Vertex announced a disappointment in its drug discovery efforts for VX-814, one of two treatments the company is developing for Alpha-1Antitrypsin Deficiency (AATD), a genetic disorder that causes lung and liver disorders. The very surprising results were released three months earlier than expected and are delaying the development of the AATD drug.”