Verastem (NASDAQ:VSTM) Upgraded at Zacks Research

Key Points

• Verastem has been upgraded by Zacks Research from a "hold" rating to a "strong-buy" rating, reflecting increased confidence from investment analysts.
• The company's stock has a market capitalization of approximately $483.70 million and recently traded down 1.6%, closing at $7.86.
• Insider selling was reported as Director Paul A. Bunn sold 8,333 shares, indicating a 50% decrease in their position, raising potential concerns about insider sentiment.

Verastem (NASDAQ:VSTM - Get Free Report) was upgraded by investment analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a research note issued to investors on Monday,Zacks.com reports.

VSTM has been the subject of several other research reports. HC Wainwright reissued a "buy" rating and set a $14.00 price target on shares of Verastem in a research report on Tuesday. Wall Street Zen raised shares of Verastem from a "sell" rating to a "hold" rating in a research report on Sunday, September 21st. Mizuho set a $14.00 price target on shares of Verastem in a research report on Tuesday. Royal Bank Of Canada set a $13.00 price target on shares of Verastem and gave the company an "outperform" rating in a research report on Monday. Finally, Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Verastem in a research report on Wednesday, October 8th. Two equities research analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Buy" and a consensus target price of $14.14.

Verastem Stock Down 1.6%

VSTM stock traded down $0.13 during trading on Monday, hitting $7.86. 695,055 shares of the stock traded hands, compared to its average volume of 1,890,605. The stock has a market cap of $483.70 million, a price-to-earnings ratio of -2.40 and a beta of 0.89. The company has a debt-to-equity ratio of 2.06, a current ratio of 3.46 and a quick ratio of 3.44. Verastem has a 1 year low of $3.11 and a 1 year high of $11.24. The firm's 50 day moving average is $9.04 and its two-hundred day moving average is $7.07.

Verastem (NASDAQ:VSTM - Get Free Report) last issued its 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 firm had revenue of $2.14 million during the quarter, compared to analysts' expectations of $6.01 million. On average, sell-side analysts anticipate that Verastem will post -3.02 EPS for the current year.

Insider Buying and Selling at Verastem

In other news, Director Paul A. Bunn sold 8,333 shares of Verastem stock in a transaction on Thursday, October 9th. The shares were sold at an average price of $9.06, for a total transaction of $75,496.98. Following the transaction, the director owned 8,333 shares in the company, valued at $75,496.98. This trade represents a 50.00% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. In the last 90 days, insiders have sold 11,005 shares of company stock worth $96,552. Company insiders own 2.10% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. E Fund Management Co. Ltd. purchased a new position in shares of Verastem during the 2nd quarter worth $49,000. Nebula Research & Development LLC purchased a new position in shares of Verastem during the 2nd quarter valued at $53,000. The Manufacturers Life Insurance Company lifted its stake in shares of Verastem by 9.8% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 16,188 shares of the biopharmaceutical company's stock valued at $67,000 after buying an additional 1,440 shares in the last quarter. Profund Advisors LLC purchased a new position in shares of Verastem during the 2nd quarter valued at $90,000. Finally, Los Angeles Capital Management LLC purchased a new position in shares of Verastem during the 2nd quarter valued at $106,000. Hedge funds and other institutional investors own 88.37% of the company's stock.

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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