Verastem (NASDAQ:VSTM) Upgraded by Wall Street Zen to "Hold" Rating

Key Points

• Wall Street Zen upgraded Verastem (NASDAQ:VSTM) from a "sell" rating to a "hold" rating, indicating improved sentiment toward the company's stock.
• HC Wainwright raised their price target for Verastem from $10.00 to $14.00 with a "buy" rating, while Royal Bank of Canada increased their target from $12.00 to $13.00, supporting a consensus rating of "Moderate Buy" with an average price target of $13.50.
• Insider trading activities include CEO Dan Paterson and CFO Daniel Calkins selling shares recently, reflecting a decrease in their ownership by 3.86% and 8.90%, respectively.

Wall Street Zen upgraded shares of Verastem (NASDAQ:VSTM - Free Report) from a sell rating to a hold rating in a report issued on Sunday.

A number of other research analysts have also recently commented on VSTM. HC Wainwright boosted their price target on Verastem from $10.00 to $14.00 and gave the stock a "buy" rating in a report on Friday, May 9th. Royal Bank Of Canada raised their target price on shares of Verastem from $12.00 to $13.00 and gave the company an "outperform" rating in a research note on Friday, August 8th. One analyst has rated the stock with a hold rating and nine have issued a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $13.50.

Verastem Stock Down 1.0%

Shares of NASDAQ VSTM traded down $0.08 during midday trading on Friday, hitting $8.13. The stock had a trading volume of 3,148,320 shares, compared to its average volume of 1,750,462. The business's 50 day moving average is $5.44 and its 200-day moving average is $6.07. The company has a market cap of $500.14 million, a P/E ratio of -2.49 and a beta of 0.83. Verastem has a 52 week low of $2.24 and a 52 week high of $9.10. The company has a quick ratio of 3.50, a current ratio of 3.46 and a debt-to-equity ratio of 2.06.

Verastem (NASDAQ:VSTM - Get Free Report) last announced its earnings results on Thursday, August 7th. The biopharmaceutical company reported ($0.39) EPS for the quarter, beating analysts' consensus estimates of ($0.64) by $0.25. The business had revenue of $2.14 million for the quarter, compared to analysts' expectations of $6.01 million. As a group, analysts predict that Verastem will post -3.02 EPS for the current year.

Insiders Place Their Bets

In other Verastem news, CEO Dan Paterson sold 58,677 shares of Verastem stock in a transaction on Tuesday, May 20th. The shares were sold at an average price of $8.13, for a total value of $477,044.01. Following the completion of the transaction, the chief executive officer directly owned 461,982 shares of the company's stock, valued at $3,755,913.66. This trade represents a 11.27% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CFO Daniel Calkins sold 11,143 shares of the firm's stock in a transaction dated Tuesday, May 20th. The stock was sold at an average price of $8.13, for a total transaction of $90,592.59. Following the completion of the sale, the chief financial officer owned 114,055 shares of the company's stock, valued at $927,267.15. This trade represents a 8.90% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 94,308 shares of company stock valued at $694,786 over the last three months. Corporate insiders own 2.10% of the company's stock.

Institutional Investors Weigh In On Verastem

Several large investors have recently modified their holdings of VSTM. Tower Research Capital LLC TRC raised its holdings in shares of Verastem by 51.5% in the 4th quarter. Tower Research Capital LLC TRC now owns 4,997 shares of the biopharmaceutical company's stock valued at $26,000 after purchasing an additional 1,698 shares in the last quarter. ProShare Advisors LLC purchased a new position in shares of Verastem in the 4th quarter worth approximately $56,000. Voya Investment Management LLC purchased a new position in shares of Verastem in the 4th quarter worth approximately $59,000. Sherbrooke Park Advisers LLC purchased a new position in shares of Verastem in the 4th quarter worth approximately $61,000. Finally, The Manufacturers Life Insurance Company purchased a new stake in Verastem during the 4th quarter worth approximately $74,000. Institutional investors own 88.37% of the company's stock.

About Verastem

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.