Verastem (LTS:0LOV) Cyclically Adjusted PB Ratio: (As of Sep. 20, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

LTS:0LOV Verastem Inc LTS:0LOV
39 GF Score
Price $7.56
GF Value $59.24
Valuation Possible Value Trap
! 6 Warning Signs
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What is Verastem Cyclically Adjusted PB Ratio?

Shiller PE for Stocks: The True Measure of Stock Valuation


Verastem  (LTS:0LOV) 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


Verastem Cyclically Adjusted PB Ratio Historical Data

* Premium members only.

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.

Verastem Cyclically Adjusted PB Ratio Chart

Verastem Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.86 0.18 0.44 0.36 0.77

Verastem Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 0.31 0.71 0.68 0.50 0.41

LTS:0LOV vs PRME, MDXG, SGMT: Cyclically Adjusted PB Ratio Comparison

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 Cyclically Adjusted PB Ratio vs 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.


LTS:0LOV
39GF Score
Verastem Inc LTS:0LOV
Cyclically Adjusted PB Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

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 Book per Share for the quarter that ended in Jun. 2026 is calculated as:

For example, Verastem's adjusted Book Value per Share data for the three months ended in Jun. 2026 was:

Adj_Book=Book Value per Share/CPI of Jun. 2026 (Change)*Current CPI (Jun. 2026)
=0.552/333.9520*333.9520
=0.552

Current CPI (Jun. 2026) = 333.9520.

Verastem Quarterly Data

Book Value per Share CPI Adj_Book
201609 26.742 241.428 36.991
201612 23.453 241.432 32.441
201703 19.617 243.801 26.871
201706 15.646 244.955 21.331
201709 12.312 246.819 16.658
201712 13.626 246.524 18.458
201803 9.077 249.554 12.147
201806 20.691 251.989 27.421
201809 17.521 252.439 23.179
201812 20.210 251.233 26.864
201903 14.369 254.202 18.877
201906 8.009 256.143 10.442
201909 3.475 256.759 4.520
201912 1.075 256.974 1.397
202003 9.090 258.115 11.761
202006 8.105 257.797 10.499
202009 9.185 260.280 11.785
202012 8.115 260.474 10.404
202103 7.170 264.877 9.040
202106 6.151 271.696 7.560
202109 6.302 274.310 7.672
202112 5.671 278.802 6.793
202203 4.687 287.504 5.444
202206 3.447 296.311 3.885
202209 3.591 296.808 4.040
202212 2.836 296.797 3.191
202303 1.976 301.836 2.186
202306 4.025 305.109 4.405
202309 3.292 307.789 3.572
202312 2.269 306.746 2.470
202403 0.990 312.332 1.059
202406 0.701 314.175 0.745
202409 0.275 315.301 0.291
202412 -0.645 315.605 -0.682
202503 -0.630 319.799 -0.658
202506 0.586 322.561 0.607
202509 -0.233 324.800 -0.240
202512 0.736 324.054 0.758
202603 0.931 330.213 0.942
202606 0.552 333.952 0.552

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.

Is Verastem (LTS:0LOV) Overvalued in 2026?

Based on GuruFocus' analysis, Verastem stock appears to be undervalued. The current stock price of $7.56 is trading 87.2% below its estimated GF Value™ of $59.24. GuruFocus considers Verastem to be Possible Value Trap.

Key valuation signals for LTS:0LOV:

  • Cyclically Adjusted PB Ratio:
  • GF Value™: $59.24 vs. price of $7.56 (87.2% below fair value)
  • GF Score™: 39/100 with 6 warning signs

No single metric tells the full story. See the LTS:0LOV stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Verastem Business Description

Other Exchanges VSTM:USA2VS:Germany
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.
39GF Score

Get the complete analysis for LTS:0LOV

Cyclically Adjusted PB Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$7.56
Price
$59.24
GF Value