VERASTEM INC (VSTM)
US92337C2035 - Common Stock
Taking everything into account, VSTM scores 1 out of 10 in our fundamental rating. VSTM was compared to 565 industry peers in the Biotechnology industry. Both the profitability and financial health of VSTM have multiple concerns. VSTM is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
VSTM had negative earnings in the past year.
VSTM had a negative operating cash flow in the past year.
VSTM had negative earnings in each of the past 5 years.
VSTM had a negative operating cash flow in each of the past 5 years.
1.2 Ratios
VSTM has a worse Return On Assets (-69.13%) than 65.30% of its industry peers.
VSTM has a Return On Equity of -271.17%. This is in the lower half of the industry: VSTM underperforms 72.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -69.13% | ||
| ROE | -271.17% | ||
| ROIC | N/A |
ROA(3y)-67.16%
ROA(5y)-69.65%
ROE(3y)-116.08%
ROE(5y)-495.87%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
VSTM does not have Profit Margin and Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
VSTM does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, VSTM has more shares outstanding
The number of shares outstanding for VSTM has been increased compared to 5 years ago.
VSTM has a worse debt/assets ratio than last year.
2.2 Solvency
VSTM has an Altman-Z score of -10.38. This is a bad value and indicates that VSTM is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of -10.38, VSTM is not doing good in the industry: 74.73% of the companies in the same industry are doing better.
A Debt/Equity ratio of 0.96 indicates that VSTM is somewhat dependend on debt financing.
VSTM's Debt to Equity ratio of 0.96 is on the low side compared to the rest of the industry. VSTM is outperformed by 77.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.96 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -10.38 |
ROIC/WACCN/A
WACC11.19%
2.3 Liquidity
A Current Ratio of 3.23 indicates that VSTM has no problem at all paying its short term obligations.
VSTM's Current ratio of 3.23 is on the low side compared to the rest of the industry. VSTM is outperformed by 61.21% of its industry peers.
VSTM has a Quick Ratio of 3.23. This indicates that VSTM is financially healthy and has no problem in meeting its short term obligations.
VSTM has a Quick ratio of 3.23. This is comparable to the rest of the industry: VSTM outperforms 40.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.23 | ||
| Quick Ratio | 3.23 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 21.04% over the past year.
VSTM shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -100.00%.
EPS 1Y (TTM)21.04%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%20%
Revenue 1Y (TTM)-100%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%N/A
3.2 Future
VSTM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.70% yearly.
VSTM is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 109.72% yearly.
EPS Next Y25.09%
EPS Next 2Y16.23%
EPS Next 3Y16.14%
EPS Next 5Y16.7%
Revenue Next Year78.29%
Revenue Next 2Y65.65%
Revenue Next 3Y127.08%
Revenue Next 5Y109.72%
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
VSTM reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year VSTM is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A more expensive valuation may be justified as VSTM's earnings are expected to grow with 16.14% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y16.23%
EPS Next 3Y16.14%
5. Dividend
5.1 Amount
No dividends for VSTM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
VERASTEM INC
NASDAQ:VSTM (12/24/2024, 7:44:50 PM)
After market: 3.9397 +0.04 (+1.02%)3.9
-0.06 (-1.52%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners36.01%
Inst Owner Change79.96%
Ins Owners0.69%
Ins Owner Change-0.04%
Market Cap173.59M
Analysts84
Price Target11.35 (191.03%)
Short Float %4.86%
Short Ratio1.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)44.19%
Min EPS beat(2)20.27%
Max EPS beat(2)68.1%
EPS beat(4)2
Avg EPS beat(4)0.79%
Min EPS beat(4)-61.29%
Max EPS beat(4)68.1%
EPS beat(8)5
Avg EPS beat(8)1.69%
EPS beat(12)7
Avg EPS beat(12)2.59%
EPS beat(16)8
Avg EPS beat(16)-4.56%
Revenue beat(2)1
Avg Revenue beat(2)9703.92%
Min Revenue beat(2)-100%
Max Revenue beat(2)19507.8%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-6.32%
PT rev (3m)-8.38%
EPS NQ rev (1m)-2.76%
EPS NQ rev (3m)9.85%
EPS NY rev (1m)5.64%
EPS NY rev (3m)5.83%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)33.33%
Revenue NY rev (1m)32.47%
Revenue NY rev (3m)40.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | N/A | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 5.39 | ||
| P/tB | 5.39 | ||
| EV/EBITDA | N/A |
EPS(TTM)-3.19
EYN/A
EPS(NY)-2.66
Fwd EYN/A
FCF(TTM)-2.46
FCFYN/A
OCF(TTM)-2.46
OCFYN/A
SpS0
BVpS0.72
TBVpS0.72
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -69.13% | ||
| ROE | -271.17% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)-67.16%
ROA(5y)-69.65%
ROE(3y)-116.08%
ROE(5y)-495.87%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score2
Asset Turnover0
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.96 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.23 | ||
| Quick Ratio | 3.23 | ||
| Altman-Z | -10.38 |
F-Score2
WACC11.19%
ROIC/WACCN/A
Cap/Depr(3y)31.75%
Cap/Depr(5y)19.6%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.04%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%20%
EPS Next Y25.09%
EPS Next 2Y16.23%
EPS Next 3Y16.14%
EPS Next 5Y16.7%
Revenue 1Y (TTM)-100%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%N/A
Revenue Next Year78.29%
Revenue Next 2Y65.65%
Revenue Next 3Y127.08%
Revenue Next 5Y109.72%
EBIT growth 1Y-26.25%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-91.93%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-91.88%
OCF growth 3YN/A
OCF growth 5YN/A