Verastem Inc (VSTM) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target
Verastem Inc stock (VSTM) is currently trading at $5.09. Verastem Inc PS ratio (Price-to-Sales) is 14.01. Analyst consensus price target for VSTM is $16.88. WallStSmart rates VSTM as Sell.
- VSTM PE ratio analysis and historical PE chart
- VSTM PS ratio (Price-to-Sales) history and trend
- VSTM intrinsic value — DCF, Graham Number, EPV models
- VSTM stock price prediction 2025 2026 2027 2028 2029 2030
- VSTM fair value vs current price
- VSTM insider transactions and insider buying
- Is VSTM undervalued or overvalued?
- Verastem Inc financial analysis — revenue, earnings, cash flow
- VSTM Piotroski F-Score and Altman Z-Score
- VSTM analyst price target and Smart Rating
Verastem Inc
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Smart Analysis
Verastem Inc (VSTM) · 8 metrics scored
Smart Score
Category Performance
WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.
Investment Thesis
Strong fundamentals in institutional own.. Concerns around peg ratio and return on equity. Significant fundamental concerns warrant caution or avoidance.
Verastem Inc (VSTM) Key Strengths (1)
87.61% of shares held by major funds and institutions
Supporting Valuation Data
Verastem Inc (VSTM) Areas to Watch (7)
PEG ratio is negative or unavailable
Company is destroying shareholder value
Losing money on operations
Revenue declining -78.60%, a shrinking business
Very expensive at 14.0x annual revenue
Very expensive at 8.3x book value
Small-cap company with higher risk but more growth potential
Supporting Valuation Data
Verastem Inc (VSTM) Detailed Analysis Report
Overall Assessment
This company scores 16/100 in our Smart Analysis, earning a F grade. Out of 8 metrics analyzed, 1 register as strengths (avg 10.0/10) while 7 fall into concern territory (avg 1.3/10). The category breakdown reveals uneven performance, with some areas requiring attention.
The Bull Case
The strongest argument centers on Institutional Own..
The Bear Case
The primary concerns are PEG Ratio, Return on Equity, Operating Margin. Some valuation metrics including PEG Ratio (N/A), Price/Sales (14.01), Price/Book (8.28) suggest expensive pricing. Growth concerns include Revenue Growth at -78.60%, which may limit upside. Profitability pressure is visible in Return on Equity at -1480.00%, Operating Margin at -236.50%.
Key Dynamics to Monitor
Three factors to monitor going forward. First, whether PEG Ratio improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at -1480.00% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at -78.60% needing to reaccelerate.
Risk Considerations
Based on the metric profile, this is a higher risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.
Bottom Line
Fundamental challenges outweigh strengths at current levels. PEG Ratio and Return on Equity are the primary drags. Consider waiting for meaningful improvement before committing capital.
Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.
VSTM Price-to-Sales(PS) Ratio Chart
Historical valuation based on market cap ÷ trailing 12-month revenue
VSTM's Price-to-Sales ratio of 14.01x trades at a deep discount to its historical average of 58.83x (40th percentile). The current valuation is 96% below its historical high of 368.48x set in Feb 2024, and 744% above its historical low of 1.66x in Jan 2021. Over the past 12 months, the PS ratio has compressed from ~46.6x as trailing revenue scaled faster than the stock price.
WallStSmart Analysis Synopsis
Data-driven financial summary for Verastem Inc (VSTM) · HEALTHCARE › BIOTECHNOLOGY
The Big Picture
Verastem Inc operates as a stable business with moderate growth and solid fundamentals. Revenue reached 31M with 79% decline year-over-year. The company is currently unprofitable, posting a 0.0% profit margin.
Key Findings
Spending 102% of revenue (32M) on R&D, reinforcing its commitment to innovation and future growth.
Revenue contracted 79% YoY. Worth determining whether this is cyclical or structural.
Free cash flow is -31M, meaning the company is burning cash. This may be acceptable for high-growth companies investing heavily.
What to Watch Next
Sector dynamics: monitor BIOTECHNOLOGY industry trends, competitive moves, and regulatory changes that could impact Verastem Inc.
Bottom Line
Verastem Inc offers stability with moderate growth and solid fundamentals. The valuation may present an opportunity for patient investors, though limited growth means returns will likely come from dividends and modest capital appreciation rather than explosive gains.
This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.
Insider Transactions
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About Verastem Inc(VSTM)
NASDAQ
HEALTHCARE
BIOTECHNOLOGY
USA
Verastem, Inc., a developing-stage biopharmaceutical company focused on developing and commercializing life-enhancing drugs for cancer patients. The company is headquartered in Needham, Massachusetts.