Verastem (NASDAQ:VSTM) Stock Price Passes Above 200 Day Moving Average – Should You Sell?

Verastem, Inc. (NASDAQ:VSTM) shares crossed above its 200-day moving average during trading on Monday . The stock has a 200-day moving average of $4.19 and traded as high as $5.74. Verastem shares last traded at $5.54, with a volume of 550,383 shares traded.

Wall Street Analyst Weigh In

VSTM has been the topic of a number of recent analyst reports. StockNews.com cut Verastem from a “hold” rating to a “sell” rating in a report on Tuesday, November 19th. BTIG Research raised their target price on Verastem from $13.00 to $20.00 and gave the stock a “buy” rating in a report on Tuesday, December 31st. B. Riley raised their target price on Verastem from $7.00 to $9.00 and gave the stock a “buy” rating in a report on Friday, January 31st. Mizuho raised their target price on Verastem from $7.00 to $9.00 and gave the stock an “outperform” rating in a report on Thursday, December 19th. Finally, Royal Bank of Canada raised their target price on Verastem from $13.00 to $16.00 and gave the stock an “outperform” rating in a report on Tuesday, January 7th. One investment analyst has rated the stock with a sell rating and nine have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, Verastem currently has an average rating of “Moderate Buy” and a consensus target price of $13.63.

Verastem Stock Performance

The company has a market cap of $246.57 million, a price-to-earnings ratio of -1.74 and a beta of 0.28. The company has a debt-to-equity ratio of 2.77, a current ratio of 3.23 and a quick ratio of 3.23. The stock has a 50-day moving average price of $5.53 and a 200 day moving average price of $4.19.

Insider Activity at Verastem

In related news, CEO Dan Paterson sold 8,568 shares of Verastem stock in a transaction that occurred on Monday, January 13th. The stock was sold at an average price of $5.24, for a total value of $44,896.32. Following the sale, the chief executive officer now owns 347,581 shares of the company’s stock, valued at approximately $1,821,324.44. This trade represents a 2.41 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In the last quarter, insiders have sold 10,367 shares of company stock valued at $53,990. 2.20% of the stock is owned by insiders.

Institutional Investors Weigh In On Verastem

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Woodline Partners LP acquired a new stake in Verastem in the 4th quarter valued at approximately $3,742,000. Squarepoint Ops LLC acquired a new position in shares of Verastem during the 4th quarter worth approximately $92,000. Two Sigma Advisers LP increased its position in shares of Verastem by 41.2% during the 4th quarter. Two Sigma Advisers LP now owns 60,017 shares of the biopharmaceutical company’s stock worth $310,000 after purchasing an additional 17,500 shares during the last quarter. Sherbrooke Park Advisers LLC acquired a new position in shares of Verastem during the 4th quarter worth approximately $61,000. Finally, ProShare Advisors LLC acquired a new position in shares of Verastem during the 4th quarter worth approximately $56,000. Institutional investors and hedge funds own 88.37% of the company’s stock.

Verastem Company Profile

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, an orally available small molecule RAF/MEK clamp that inhibits the ras sarcoma RAF/MEK, ERK mitogen activated pathway kinase pathway which is involved in cell proliferation, migration, transformation, and survival of tumor cells; and Defactinib, an oral small molecule inhibitor of FAK and proline-rich tyrosine kinase for various solid tumors.