Verastem, Inc. (NASDAQ:VSTM) Given Consensus Rating of "Buy" by Analysts

Key Points

• Analysts have given Verastem, Inc. (NASDAQ: VSTM) a consensus rating of "Buy," with an average twelve-month target price of $13.29 among the firms covering the company.
• CEO Dan Paterson recently sold 17,808 shares of the company at an average price of $5.13, decreasing his ownership by 3.86% but still retaining over $2.2 million in shares.
• Verastem reported a quarterly loss of ($0.39) EPS, which was better than the consensus estimate of ($0.64) EPS, but revenue fell short at $2.14 million compared to the expected $6.01 million.

Verastem, Inc. (NASDAQ:VSTM - Get Free Report) has earned a consensus rating of "Buy" from the nine brokerages that are covering the company, MarketBeat.com reports. One research analyst has rated the stock with a hold rating, seven have issued a buy rating and one has issued a strong buy rating on the company. The average twelve-month target price among analysts that have covered the stock in the last year is $13.2857.

Several research firms recently weighed in on VSTM. Royal Bank Of Canada lifted their price target on shares of Verastem from $12.00 to $13.00 and gave the company an "outperform" rating in a report on Friday, August 8th. Zacks Research raised shares of Verastem to a "hold" rating in a research report on Tuesday, August 12th. BTIG Research reiterated a "buy" rating and set a $20.00 price target on shares of Verastem in a research report on Tuesday. B. Riley raised shares of Verastem to a "strong-buy" rating in a research note on Monday, August 25th. Finally, Wall Street Zen raised Verastem from a "sell" rating to a "hold" rating in a research report on Sunday, August 10th.

Insider Buying and Selling at Verastem

In related news, CEO Dan Paterson sold 17,808 shares of Verastem stock in a transaction that occurred on Friday, June 20th. The stock was sold at an average price of $5.13, for a total transaction of $91,355.04. Following the sale, the chief executive officer directly owned 443,839 shares in the company, valued at $2,276,894.07. The trade was a 3.86% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders sold 24,488 shares of company stock worth $127,149 in the last 90 days. Insiders own 2.10% of the company's stock.

Hedge Funds Weigh In On Verastem

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. The Manufacturers Life Insurance Company grew its position in shares of Verastem by 9.8% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 16,188 shares of the biopharmaceutical company's stock worth $67,000 after buying an additional 1,440 shares during the period. Tower Research Capital LLC TRC boosted its stake in Verastem by 51.5% during the fourth quarter. Tower Research Capital LLC TRC now owns 4,997 shares of the biopharmaceutical company's stock worth $26,000 after acquiring an additional 1,698 shares in the last quarter. Charles Schwab Investment Management Inc. grew its holdings in Verastem by 3.7% in the first quarter. Charles Schwab Investment Management Inc. now owns 117,784 shares of the biopharmaceutical company's stock worth $710,000 after purchasing an additional 4,183 shares during the period. Jane Street Group LLC increased its stake in shares of Verastem by 31.2% during the fourth quarter. Jane Street Group LLC now owns 19,932 shares of the biopharmaceutical company's stock valued at $103,000 after purchasing an additional 4,740 shares in the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Verastem by 28.8% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 29,945 shares of the biopharmaceutical company's stock valued at $124,000 after purchasing an additional 6,691 shares during the last quarter. Hedge funds and other institutional investors own 88.37% of the company's stock.

Verastem Stock Performance

Verastem stock opened at $9.88 on Thursday. The company has a quick ratio of 3.44, a current ratio of 3.46 and a debt-to-equity ratio of 2.06. The company has a market capitalization of $608.02 million, a PE ratio of -3.01 and a beta of 0.93. The firm has a fifty day simple moving average of $7.06 and a two-hundred day simple moving average of $6.54. Verastem has a twelve month low of $2.54 and a twelve month high of $11.24.

Verastem (NASDAQ:VSTM - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The biopharmaceutical company reported ($0.39) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.64) by $0.25. The company had revenue of $2.14 million for the quarter, compared to the consensus estimate of $6.01 million. Research analysts expect that Verastem will post -3.02 EPS for the current year.

Verastem Company Profile

Verastem, Inc, a development-stage biopharmaceutical company, focuses on developing and commercializing drugs for the treatment of cancer in the United States. Its product candidates are Avutometinib, an orally available small molecule RAF/MEK clamp that inhibits the ras sarcoma RAF/MEK, ERK mitogen activated pathway kinase pathway which is involved in cell proliferation, migration, transformation, and survival of tumor cells; and Defactinib, an oral small molecule inhibitor of FAK and proline-rich tyrosine kinase for various solid tumors.

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