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Verastem (FRA:2VSA) Cyclically Adjusted PB Ratio : 0.48 (As of Jun. 03, 2025)


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What is Verastem Cyclically Adjusted PB Ratio?

As of today (2025-06-03), Verastem's current share price is €6.50. Verastem's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2025 was €13.58. Verastem's Cyclically Adjusted PB Ratio for today is 0.48.

The historical rank and industry rank for Verastem's Cyclically Adjusted PB Ratio or its related term are showing as below:

FRA:2VSA' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 0.11   Med: 0.41   Max: 1.81
Current: 0.5

During the past years, Verastem's highest Cyclically Adjusted PB Ratio was 1.81. The lowest was 0.11. And the median was 0.41.

FRA:2VSA's Cyclically Adjusted PB Ratio is ranked better than
70.54% of 672 companies
in the Biotechnology industry
Industry Median: 1.475 vs FRA:2VSA: 0.50

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Verastem's adjusted book value per share data for the three months ended in Mar. 2025 was €-0.583. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is €13.58 for the trailing ten years ended in Mar. 2025.

Shiller PE for Stocks: The True Measure of Stock Valuation


Verastem Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Verastem's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Verastem Cyclically Adjusted PB Ratio Chart

Verastem Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.80 0.77 0.18 0.38 0.32

Verastem Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.59 0.16 0.17 0.32 0.40

Competitive Comparison of Verastem's Cyclically Adjusted PB Ratio

For the Biotechnology subindustry, Verastem's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Verastem's Cyclically Adjusted PB Ratio Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Verastem's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Verastem's Cyclically Adjusted PB Ratio falls into.


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Verastem Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Verastem's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=6.50/13.58
=0.48

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Verastem's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2025 is calculated as:

For example, Verastem's adjusted Book Value per Share data for the three months ended in Mar. 2025 was:

Adj_Book=Book Value per Share/CPI of Mar. 2025 (Change)*Current CPI (Mar. 2025)
=-0.583/134.9266*134.9266
=-0.583

Current CPI (Mar. 2025) = 134.9266.

Verastem Quarterly Data

Book Value per Share CPI Adj_Book
201506 36.343 100.684 48.703
201509 32.492 100.392 43.669
201512 30.561 99.792 41.321
201603 27.953 100.470 37.539
201606 25.712 101.688 34.116
201609 23.824 101.861 31.558
201612 22.231 101.863 29.447
201703 18.340 102.862 24.057
201706 13.923 103.349 18.177
201709 10.329 104.136 13.383
201712 11.515 104.011 14.938
201803 7.362 105.290 9.434
201806 17.710 106.317 22.476
201809 15.015 106.507 19.022
201812 17.766 105.998 22.615
201903 12.717 107.251 15.999
201906 7.089 108.070 8.851
201909 3.155 108.329 3.930
201912 0.967 108.420 1.203
202003 8.226 108.902 10.192
202006 7.197 108.767 8.928
202009 7.798 109.815 9.581
202012 6.671 109.897 8.190
202103 6.023 111.754 7.272
202106 5.105 114.631 6.009
202109 5.356 115.734 6.244
202112 5.019 117.630 5.757
202203 4.256 121.301 4.734
202206 3.261 125.017 3.519
202209 3.627 125.227 3.908
202212 2.677 125.222 2.884
202303 1.843 127.348 1.953
202306 3.715 128.729 3.894
202309 3.085 129.860 3.205
202312 2.081 129.419 2.170
202403 0.911 131.776 0.933
202406 0.652 132.554 0.664
202409 0.248 133.029 0.252
202412 -0.616 133.157 -0.624
202503 -0.583 134.927 -0.583

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Verastem  (FRA:2VSA) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Verastem Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Verastem's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Verastem Business Description

Industry
Traded in Other Exchanges
Address
117 Kendrick Street, Suite 500, Needham, MA, USA, 02494
Verastem Inc is late-stage development biopharmaceutical company, committed to advancing new medicines for patients battling cancer. Its pipeline is focused on novel anticancer agents that inhibit critical signaling pathways in cancer that promote cancer cell survival and tumor growth, particularly RAF/MEK inhibition and FAK inhibition.

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