Verastem (NASDAQ:VSTM) Posts Quarterly Earnings Results, Hits Estimates

Verastem (NASDAQ:VSTM) posted its quarterly earnings data on Thursday. The biopharmaceutical company reported ($0.46) earnings per share (EPS) for the quarter, hitting the consensus estimate of ($0.46), Zacks reports. The company had revenue of $18.67 million for the quarter, compared to the consensus estimate of $21.43 million.

Here are the key takeaways from Verastem’s conference call:

• Verastem reported $18.7 million in Q1 net product revenue (nearly $50 million since launch) and expects the LGSOC CO-PACK franchise to be self-sustaining in H2 2026, driven by steady new-patient starts and expanding prescribers.
• Management has retooled commercial execution—appointing a new CCO, adding sales/headcount, launching the “Reimagine Recurrent LGSOC” campaign and improved patient follow-up—to drive earlier use at first recurrence and improve on-therapy retention.
• VS-7375 (TARGET-D) is advancing rapidly: phase I/II dose escalation is evaluating up to 1,200 mg with 900 mg as the likely go-forward dose, and three phase II registration-directed trials (PDAC, NSCLC, CRC) are initiated with mid-year enrollment and a planned first-half 101 safety/PK update.
• Early U.S. data show better tolerability and PK at higher doses than reported in China and no drug-related pneumonitis so far, supporting combination strategies (EGFR, PD-1) but efficacy/durability readouts and safety in larger cohorts remain pending.
• Cash and investments totaled $181.7 million at quarter-end, providing runway into the first half of 2027; given high R&D (Q1 $38.2M) and SG&A spend, the company may need non-dilutive financing or strict execution to avoid dilution if revenues or cost trends underperform.

Verastem Price Performance

NASDAQ:VSTM opened at $5.66 on Friday. Verastem has a 12 month low of $4.01 and a 12 month high of $11.24. The company’s 50-day moving average price is $5.74 and its two-hundred day moving average price is $7.14. The firm has a market cap of $497.17 million, a PE ratio of -1.77 and a beta of 0.34. The company has a quick ratio of 3.07, a current ratio of 3.09 and a debt-to-equity ratio of 1.33.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on VSTM shares. BTIG Research lowered their target price on shares of Verastem from $19.00 to $18.00 and set a “buy” rating on the stock in a research note on Friday. HC Wainwright reissued a “buy” rating and issued a $18.00 target price on shares of Verastem in a research note on Friday, April 10th. Weiss Ratings cut shares of Verastem from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Monday. Wall Street Zen cut shares of Verastem from a “hold” rating to a “sell” rating in a research note on Saturday, April 11th. Finally, Jefferies Financial Group restated a “buy” rating and issued a $15.00 price target (down from $19.00) on shares of Verastem in a research report on Monday, March 30th. Two analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating, one has given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $16.40.

Hedge Funds Weigh In On Verastem

A number of large investors have recently modified their holdings of the stock. The Manufacturers Life Insurance Company lifted its position in shares of Verastem by 9.8% during the second quarter. The Manufacturers Life Insurance Company now owns 16,188 shares of the biopharmaceutical company’s stock worth $67,000 after purchasing an additional 1,440 shares in the last quarter. MetLife Investment Management LLC lifted its position in shares of Verastem by 10.6% during the fourth quarter. MetLife Investment Management LLC now owns 28,929 shares of the biopharmaceutical company’s stock worth $223,000 after purchasing an additional 2,784 shares in the last quarter. Russell Investments Group Ltd. lifted its position in shares of Verastem by 182.9% during the third quarter. Russell Investments Group Ltd. now owns 4,578 shares of the biopharmaceutical company’s stock worth $40,000 after purchasing an additional 2,960 shares in the last quarter. Osaic Holdings Inc. lifted its position in shares of Verastem by 27.1% during the fourth quarter. Osaic Holdings Inc. now owns 20,476 shares of the biopharmaceutical company’s stock worth $158,000 after purchasing an additional 4,366 shares in the last quarter. Finally, BNP Paribas Financial Markets lifted its position in shares of Verastem by 110.9% during the third quarter. BNP Paribas Financial Markets now owns 8,550 shares of the biopharmaceutical company’s stock worth $75,000 after purchasing an additional 4,496 shares in the last quarter. 88.37% of the stock is currently owned by institutional investors and hedge funds.

About Verastem

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.