Core Insights - ClearBridge Investments reported strong equity performance in Q3 2025, with the S&P 500 Index rising 8.1% and the Nasdaq Composite increasing by 11.2% to record highs, driven by favorable economic conditions and strong corporate earnings, particularly in technology [1] - The ClearBridge Large Cap Growth Strategy underperformed the benchmark due to underexposure to perceived AI winners and holding stocks considered AI losers [1] Company-Specific Insights - Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) is highlighted as a key investment, focusing on therapies for cystic fibrosis, with a one-month return of 1.81% and a 52-week loss of 11.42% [2] - As of October 3, 2025, Vertex Pharmaceuticals had a market capitalization of $103.402 billion, with shares closing at $403.30 [2] - ClearBridge upgraded its biopharmaceutical exposure by purchasing Vertex Pharmaceuticals, viewing it as a high-quality biotech with significant opportunities in pain treatments [3] Hedge Fund Interest - Vertex Pharmaceuticals was held by 53 hedge fund portfolios at the end of Q2 2025, a decrease from 60 in the previous quarter [4] - The company reported $2.96 billion in revenue for Q2 2025, reflecting a 12% growth compared to Q2 2024 [4] - Despite the potential of Vertex Pharmaceuticals, some analysts believe that certain AI stocks present greater upside potential and lower downside risk [4]