Vertex Pharmaceuticals (VRTX) saw its stock price plummet 5.04% to $475 in pre-market trading on Tuesday following disappointing first-quarter results and a downgrade from a major investment firm. The biotechnology company, known for its cystic fibrosis treatments, faced headwinds that have raised concerns among investors.

The company reported Q1 revenue of $2.77 billion, falling short of analyst expectations of $2.85 billion according to data compiled by LSEG. Additionally, Vertex's quarterly adjusted profit of $4.06 per share came in below the estimated $4.32. The revenue decline was particularly noticeable in Russia, where Vertex's intellectual property rights are being violated due to an unauthorized copy of its cystic fibrosis drug Trikafta.

Adding to the pressure, Leerink Partners downgraded Vertex Pharmaceuticals from Outperform to Market Perform, reducing their price target from $550 to $503. This move reflects growing caution among analysts about the company's near-term prospects. Despite these challenges, Vertex slightly raised the low end of its full-year 2025 revenue forecast range to $11.85 billion from $11.75 billion, while maintaining the higher end at $12 billion. The stock's performance has been lackluster year-to-date, down approximately 24% prior to this latest decline.