Verastem (NASDAQ:VSTM) Releases Quarterly Earnings Results, Beats Estimates By $0.01 EPS

Verastem (NASDAQ:VSTM) released its quarterly earnings results on Wednesday. The biopharmaceutical company reported ($0.48) earnings per share for the quarter, beating the consensus estimate of ($0.49) by $0.01, FiscalAI reports. The company had revenue of $17.54 million during the quarter, compared to analyst estimates of $16.85 million.

Verastem Stock Performance

Shares of VSTM stock traded up $0.13 during midday trading on Wednesday, hitting $5.81. 2,377,978 shares of the company were exchanged, compared to its average volume of 1,790,621. The firm has a market capitalization of $387.99 million, a P/E ratio of -1.44 and a beta of 0.40. The company has a debt-to-equity ratio of 2.06, a quick ratio of 2.55 and a current ratio of 2.58. The firm’s 50 day moving average price is $6.61 and its two-hundred day moving average price is $8.22. Verastem has a 52 week low of $4.01 and a 52 week high of $11.24.

Analysts Set New Price Targets

VSTM has been the topic of several research reports. HC Wainwright began coverage on Verastem in a research note on Wednesday, February 4th. They issued a “buy” rating and a $18.00 target price on the stock. Zacks Research lowered shares of Verastem from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, November 18th. Mizuho set a $18.00 target price on shares of Verastem in a research report on Thursday, February 19th. Guggenheim reiterated a “buy” rating on shares of Verastem in a research note on Tuesday, December 30th. Finally, Wall Street Zen downgraded shares of Verastem from a “hold” rating to a “sell” rating in a research note on Saturday, November 8th. Two equities research analysts have rated the stock with a Strong Buy rating, six have given a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Verastem presently has a consensus rating of “Moderate Buy” and a consensus price target of $16.33.

Insider Buying and Selling

In related news, CEO Dan Paterson sold 10,321 shares of Verastem stock in a transaction that occurred on Monday, January 12th. The stock was sold at an average price of $7.16, for a total transaction of $73,898.36. Following the completion of the sale, the chief executive officer directly owned 400,104 shares of the company’s stock, valued at approximately $2,864,744.64. This trade represents a 2.51% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CFO Daniel Calkins sold 5,039 shares of the business’s stock in a transaction on Monday, January 12th. The shares were sold at an average price of $7.16, for a total value of $36,079.24. Following the completion of the sale, the chief financial officer owned 104,719 shares of the company’s stock, valued at $749,788.04. This trade represents a 4.59% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 23,678 shares of company stock valued at $191,045. Corporate insiders own 2.10% of the company’s stock.

Institutional Investors Weigh In On Verastem

A number of hedge funds and other institutional investors have recently modified their holdings of VSTM. AQR Capital Management LLC raised its position in shares of Verastem by 78.2% in the 1st quarter. AQR Capital Management LLC now owns 62,603 shares of the biopharmaceutical company’s stock valued at $377,000 after buying an additional 27,477 shares in the last quarter. Goldman Sachs Group Inc. boosted its position in shares of Verastem by 236.9% during the 1st quarter. Goldman Sachs Group Inc. now owns 756,402 shares of the biopharmaceutical company’s stock worth $4,561,000 after acquiring an additional 531,873 shares in the last quarter. Geode Capital Management LLC increased its stake in Verastem by 24.9% in the second quarter. Geode Capital Management LLC now owns 1,199,259 shares of the biopharmaceutical company’s stock valued at $4,978,000 after acquiring an additional 238,995 shares during the last quarter. Rhumbline Advisers raised its position in Verastem by 19.2% during the second quarter. Rhumbline Advisers now owns 59,553 shares of the biopharmaceutical company’s stock valued at $247,000 after purchasing an additional 9,594 shares in the last quarter. Finally, Invesco Ltd. lifted its stake in Verastem by 40.0% during the second quarter. Invesco Ltd. now owns 52,063 shares of the biopharmaceutical company’s stock worth $216,000 after purchasing an additional 14,879 shares during the last quarter. Institutional investors and hedge funds own 88.37% of the company’s stock.

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.