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VSTMVerastem, Inc.Sell5.5·$5.09+4.95%
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Verastem, Inc. (VSTM) Stock Analysis

Recovery setup · Catalyst-Driven edge

SellShortModerate Confidence

Healthcare · Biotechnology

Sell if holding. Engine safety override at $5.09: Risk below floor (2.8 < 3.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.5/10 and A.R:R 10.5:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 25%; Elevated put/call ratio: 20.60; Below-average business quality.

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, which is an orally administered, small molecule dual RAF/MEK inhibitor... Read more

$5.09+156.9% A.UpsideScore 5.5/10#101 of 255 Biotechnology
QualityF-score4 / 9FCF yield-21.75%
Stop $4.72Target $13.05(analyst − 13%)A.R:R 10.5:1
Analyst target$15.00+194.7%8 analysts
$13.05our TP
$5.09price
$15.00mean
$18

Sell if holding. Engine safety override at $5.09: Risk below floor (2.8 < 3.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.5/10 and A.R:R 10.5:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 25%; Elevated put/call ratio: 20.60; Below-average business quality. Chart setup: Death cross but MACD improving, RSI 69. Score 5.5/10, moderate confidence.

Passes 8/9 gates (positive momentum, favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 29d clear, semi cycle peak clear, materials cycle peak clear). Suitability: speculative.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-07-08

Recent Developments — Verastem, Inc.

Latest news

Generated 2026-07-08T21:03:53Z.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Thu, Aug 6, 202629d to earnings· next earnings call

Thesis

Rewards
No bull case signals
Risks
Risk below floor (2.8 < 3.0)

Key Metrics

P/E (TTM)
P/E (Fwd)-4.2
Mkt Cap$426M
EV/EBITDA-1.7
Profit Mgn0.0%
ROE-786.2%
Rev Growth
Beta0.29
DividendNone
Rating analysts15

Quality Signals

Piotroski F4/9

Options Flow

P/C20.60bearish

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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Methodology · Editorial policy & full disclaimer

Rating Breakdown

3 floor-breakers

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

Bollinger
0.0
52w Position
0.0
Support Resistance
0.4
Gap
6.0

Volatile — 7.6% daily ATR makes tight stops impractical. Position-size conservatively.static

Volatility
0.0
Put Call
0.0
Days To Cover
0.6
Short Interest
1.0
Debt Equity
4.9
Beta
10.0
High short interest justified: 25%Elevated put/call: 20.60

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Quality Rank
0.0
Growth Rank
5.0
Value Rank
5.5
GatesDeath cross (50MA < 200MA)Momentum 7.0>=5.5A.R:R 10.5 ≥ 1.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 29d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRecoverySuitability: Speculative
RSI
69 · Neutral
20D MA 50D MA 200D MADEATH CROSSSupport $3.43Resistance $5.14

Price Targets

$5
$13
A.Upside+156.4%
A.R:R10.5:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Risk below floor (2.8 < 3.0)

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-08-06 (29d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is VSTM stock a buy right now?

Sell if holding. Engine safety override at $5.09: Risk below floor (2.8 < 3.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.5/10 and A.R:R 10.5:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 25%; Elevated put/call ratio: 20.60; Below-average business quality. Chart setup: Death cross but MACD improving, RSI 69. Prior stop was $4.72. Score 5.5/10, moderate confidence.

What is the VSTM stock price target?

Take-profit target: $13.05 (+156.9% upside). Prior stop was $4.72. Stop-loss: $4.72.

What are the risks of investing in VSTM?

Risk below floor (2.8 < 3.0).

Is VSTM overvalued or undervalued?

Verastem, Inc. trades at a P/E of N/A (forward -4.2). TrendMatrix value score: 7.2/10. Verdict: Sell.

What do analysts say about VSTM?

15 analysts cover VSTM with a consensus score of 4.3/5. Average price target: $15.

What does Verastem, Inc. do?Verastem, Inc., a development-stage biopharmaceutical company, focuses on developing and commercializing drugs for the...

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, which is an orally administered, small molecule dual RAF/MEK inhibitor developed to block MEK kinase activity and the compensatory reactivation of MEK by upstream RAF, thereby targeting the RAS/MAPK signaling pathway that is commonly activated in various cancers; and Defactinib, an oral small molecule inhibitor of FAK and proline-rich tyrosine kinase for various solid tumors. The company is involved in clinical studies, including RAMP 301, a randomized global confirmatory trial to evaluate the combination of Avutometinib and Defactinib for the treatment of patients with recurrent low-grade serous ovarian cancer; RAMP 201, an adaptive two-part multicenter, parallel cohort, randomized open label trial to evaluate the efficacy and safety of Avutometinib and in combination with Defactinib; and FRAME, an investigation of Avutometinib and Defactinib in patients with KRAS mutant cancers and subsequent analyses; and RAMP 205. It has license agreements with Chugai Pharmaceutical Co., Ltd. for the development, commercialization, and manufacture of products containing Avutometinib; and Pfizer Inc. to research, develop, manufacture, and commercialize products containing Pfizer's inhibitors of FAK for therapeutic, diagnostic, and prophylactic uses in humans. In addition, it has a clinical collaboration agreement with Amgen, Inc. to evaluate the combination of Avutometinib with Amgen's KRAS-G12C inhibitor LUMAKRAS, which in Phase 1/2 trial entitled RAMP 203; VS-7375, and VS-7375-101 is a discovery and development collaboration with GenFleet Therapeutics to advance new programs targeting RAS pathway-driven cancers; and AVMAPKI, FAKZYNJA, CO-PACK, is an avutometinib capsules, and defactinib tablets. The company was incorporated in 2010 and is headquartered in Needham, Massachusetts.

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