Verastem (NASDAQ:VSTM) Given New $18.00 Price Target at BTIG Research

Key Points

• BTIG Research lowered its price target on Verastem from $19 to $18 while keeping a "buy" rating, with that target implying roughly a 218% upside from the current share price.
• Analyst views are mixed: the consensus rating is "Moderate Buy" with a consensus target of $16.40, but several firms (Weiss, Wall Street Zen, Jefferies) have cut ratings or trimmed targets recently.
• Shares opened at $5.66 (down ~5.8%), market cap about $497M; Verastem reported Q EPS of ($0.46) in line with estimates but missed revenue ($18.67M vs. $21.43M), and remains unprofitable.

Verastem (NASDAQ:VSTM - Get Free Report) had its price target decreased by research analysts at BTIG Research from $19.00 to $18.00 in a note issued to investors on Friday,Benzinga reports. The firm presently has a "buy" rating on the biopharmaceutical company's stock. BTIG Research's target price indicates a potential upside of 218.02% from the stock's current price.

Other research analysts have also recently issued reports about the stock. Mizuho set a $18.00 price objective on shares of Verastem in a research report on Thursday, February 19th. Weiss Ratings cut shares of Verastem from a "sell (d-)" rating to a "sell (e+)" rating in a research report on Monday. Jefferies Financial Group restated a "buy" rating and issued a $15.00 price objective (down from $19.00) on shares of Verastem in a research report on Monday, March 30th. Wall Street Zen cut shares of Verastem from a "hold" rating to a "sell" rating in a research report on Saturday, April 11th. Finally, HC Wainwright restated a "buy" rating and issued a $18.00 price objective on shares of Verastem in a research report on Friday, April 10th. Two research analysts have rated the stock with a Strong Buy rating, five have given a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $16.40.

Verastem Trading Down 5.8%

Shares of Verastem stock opened at $5.66 on Friday. Verastem has a 12-month low of $4.01 and a 12-month high of $11.24. The company has a market cap of $497.17 million, a price-to-earnings ratio of -1.77 and a beta of 0.34. The company has a current ratio of 3.09, a quick ratio of 3.07 and a debt-to-equity ratio of 1.33. The company's 50-day moving average price is $5.74 and its 200-day moving average price is $7.14.

Verastem (NASDAQ:VSTM - Get Free Report) last announced its quarterly earnings results on Thursday, May 7th. The biopharmaceutical company reported ($0.46) earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of ($0.46). The firm had revenue of $18.67 million during the quarter, compared to analysts' expectations of $21.43 million. On average, equities analysts expect that Verastem will post -1.71 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. Torray Investment Partners LLC bought a new position in Verastem during the fourth quarter valued at approximately $1,671,000. Foresite Capital Management VI LLC lifted its position in Verastem by 104.9% in the third quarter. Foresite Capital Management VI LLC now owns 2,615,120 shares of the biopharmaceutical company's stock valued at $23,092,000 after purchasing an additional 1,338,600 shares during the last quarter. Jefferies Financial Group Inc. increased its stake in shares of Verastem by 48.4% during the third quarter. Jefferies Financial Group Inc. now owns 590,184 shares of the biopharmaceutical company's stock valued at $5,211,000 after buying an additional 192,429 shares during the period. SG Americas Securities LLC increased its stake in shares of Verastem by 3,333.8% during the fourth quarter. SG Americas Securities LLC now owns 390,325 shares of the biopharmaceutical company's stock valued at $3,013,000 after buying an additional 378,958 shares during the period. Finally, Hennion & Walsh Asset Management Inc. purchased a new position in shares of Verastem during the fourth quarter valued at approximately $1,346,000. 88.37% of the stock is currently owned by institutional investors.

Verastem Company Profile

Verastem Oncology, Inc is a clinical-stage biopharmaceutical company focused on the discovery and development of small molecule therapies that target cancer stemness and resistance pathways. Established in 2010 and headquartered in Needham, Massachusetts, Verastem Oncology applies a precision-medicine approach to identify key signaling nodes responsible for tumor growth and relapse, with an emphasis on hematologic malignancies and solid tumors. The company’s research platform integrates insights into complex signaling networks to advance novel compounds from early discovery through clinical proof of concept.

The company’s lead marketed product is COPIKTRA (duvelisib), an oral inhibitor of PI3K-delta and PI3K-gamma, which received U.S.

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