Verastem Stock Current Valuation
| VSTM Stock | USD 9.31 0.30 3.12% |
Valuation analysis of Verastem helps investors to measure Verastem's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. As of the 25th of April 2024, Enterprise Value Over EBITDA is likely to drop to -1.62. In addition to that, Enterprise Value Multiple is likely to drop to -1.62. Fundamental drivers impacting Verastem's valuation include:
Price Book 4.9776 | Enterprise Value 172.9 M | Enterprise Value Ebitda (2.28) | Price Sales 30.9578 | Enterprise Value Revenue 8.6607 |
Undervalued
Today
Please note that Verastem's price fluctuation is somewhat reliable at this time. Calculation of the real value of Verastem is based on 3 months time horizon. Increasing Verastem's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Verastem is useful when determining the fair value of the Verastem stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Verastem. Since Verastem is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Verastem Stock. However, Verastem's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 9.31 | Real 14.24 | Target 30.5 | Hype 9.32 | Naive 8.16 |
The real value of Verastem Stock, also known as its intrinsic value, is the underlying worth of Verastem Company, which is reflected in its stock price. It is based on Verastem's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Verastem's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Verastem's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Verastem helps investors to forecast how Verastem stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Verastem more accurately as focusing exclusively on Verastem's fundamentals will not take into account other important factors: Verastem Company Current Valuation Analysis
Verastem's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Current Verastem Current Valuation | 172.87 M |
Most of Verastem's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Verastem is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Verastem Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for Verastem is extremely important. It helps to project a fair market value of Verastem Stock properly, considering its historical fundamentals such as Current Valuation. Since Verastem's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Verastem's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Verastem's interrelated accounts and indicators.
Click cells to compare fundamentals
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
| Competition |
In accordance with the recently published financial statements, Verastem has a Current Valuation of 172.87 M. This is 98.8% lower than that of the Biotechnology sector and 96.28% lower than that of the Health Care industry. The current valuation for all United States stocks is 98.96% higher than that of the company.
Verastem Current Valuation Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Verastem's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Verastem could also be used in its relative valuation, which is a method of valuing Verastem by comparing valuation metrics of similar companies.Verastem is currently under evaluation in current valuation category among related companies.
Verastem Current Valuation Drivers
We derive many important indicators used in calculating different scores of Verastem from analyzing Verastem's financial statements. These drivers represent accounts that assess Verastem's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Verastem's important valuation drivers and their relationship over time.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Market Cap | 99.9M | 326.6M | 357.5M | 77.5M | 69.7M | 66.2M | |
| Enterprise Value | 164.0M | 281.4M | 259.5M | 29.6M | 34.0M | 32.3M |
Verastem Fundamentals
| Return On Equity | -1.39 | ||||
| Return On Asset | -0.47 | ||||
| Current Valuation | 172.87 M | ||||
| Shares Outstanding | 25.31 M | ||||
| Shares Owned By Insiders | 0.57 % | ||||
| Shares Owned By Institutions | 66.78 % | ||||
| Number Of Shares Shorted | 634.47 K | ||||
| Price To Earning | (3.02) X | ||||
| Price To Book | 4.98 X | ||||
| Price To Sales | 30.96 X | ||||
| Gross Profit | 2.6 M | ||||
| EBITDA | (92.02 M) | ||||
| Net Income | (87.37 M) | ||||
| Cash And Equivalents | 94.31 M | ||||
| Cash Per Share | 0.50 X | ||||
| Total Debt | 41.56 M | ||||
| Debt To Equity | 0.50 % | ||||
| Current Ratio | 4.87 X | ||||
| Book Value Per Share | 2.27 X | ||||
| Cash Flow From Operations | (86.46 M) | ||||
| Short Ratio | 3.79 X | ||||
| Earnings Per Share | (3.96) X | ||||
| Price To Earnings To Growth | (1.89) X | ||||
| Target Price | 28.79 | ||||
| Number Of Employees | 73 | ||||
| Beta | 0.53 | ||||
| Market Capitalization | 243.21 M | ||||
| Total Asset | 149.72 M | ||||
| Retained Earnings | (824.89 M) | ||||
| Working Capital | 117.3 M | ||||
| Current Asset | 110.84 M | ||||
| Current Liabilities | 10.11 M | ||||
| Net Asset | 149.72 M |
About Verastem Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Verastem's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Verastem using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Verastem based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Verastem in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Verastem's short interest history, or implied volatility extrapolated from Verastem options trading.
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Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.When determining whether Verastem is a strong investment it is important to analyze Verastem's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Verastem's future performance. For an informed investment choice regarding Verastem Stock, refer to the following important reports:Check out Verastem Piotroski F Score and Verastem Altman Z Score analysis. To learn how to invest in Verastem Stock, please use our How to Invest in Verastem guide.You can also try the Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
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When running Verastem's price analysis, check to measure Verastem's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Verastem is operating at the current time. Most of Verastem's value examination focuses on studying past and present price action to predict the probability of Verastem's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Verastem's price. Additionally, you may evaluate how the addition of Verastem to your portfolios can decrease your overall portfolio volatility.
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Is Verastem's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Verastem. If investors know Verastem will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Verastem listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (3.96) | Quarterly Revenue Growth (1.00) | Return On Assets (0.47) | Return On Equity (1.39) |
The market value of Verastem is measured differently than its book value, which is the value of Verastem that is recorded on the company's balance sheet. Investors also form their own opinion of Verastem's value that differs from its market value or its book value, called intrinsic value, which is Verastem's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Verastem's market value can be influenced by many factors that don't directly affect Verastem's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Verastem's value and its price as these two are different measures arrived at by different means. Investors typically determine if Verastem is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Verastem's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.