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.
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.
VerastemVSTM -5.05%15 EV-to-OCF is -2.71 as of Jul. 20, 2026. GuruFocus rates VSTM with a GF Score™ of 15/100. The stock has 7 warning signs investors should review. Among 1,411 Biotechnology companies, Verastem ranks worse than 52.73% on this metric.
EV-to-OCF is calculated as enterprise value divided by its cash flow from operations. As of today, Verastem's Enterprise Value is $409.07 Mil.
Verastem's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 was $-150.95 Mil. Therefore, Verastem's EV-to-OCF for today is -2.71.
The historical rank and industry rank for Verastem's EV-to-OCF or its related term are showing as below:
VSTM'
s EV-to-OCF Range Over the Past 10 Years
Min: -60.8 Med: -2.16 Max: 0.27
Current: -2.71
During the past 13 years, the highest EV-to-OCF of Verastem was 0.27. The lowest was -60.80. And the median was -2.16.
VSTM's EV-to-OCF is ranked worse than 52.73% of 1411
companies
in the Biotechnology industry
Industry Median: -3.33
vs VSTM: -2.71
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Verastem's share price for today is $5.75.
Verastem's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $-2.720.
* 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.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Cash Flow from Operations is an important financial metric because it represents the cash generated from operating activities at a company's disposal. Companies with a low EV-to-OCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Verastem EV-to-OCF Related Terms
Verastem EV-to-OCF Historical Data
* Premium members only.
The historical data trend for Verastem's EV-to-OCF 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.
For the Biotechnology subindustry, Verastem's EV-to-OCF, along with its competitors' market caps and EV-to-OCF 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 EV-to-OCF vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Verastem's EV-to-OCF distribution charts can be found below:
* The bar in red indicates where Verastem's EV-to-OCF falls into.
Verastem's current Enterprise Value is $409.07 Mil.
Verastem's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $-150.95 Mil.
* 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 (VSTM) has a EV-to-OCF of -2.71 as of Jul. 20, 2026. According to the industry distribution chart, Verastem ranks #744 out of 1411 companies in the Biotechnology industry, placing it in the top 52.7%.
Is Verastem's EV-to-OCF too high?
Verastem's current EV-to-OCF is -2.71. Based on the distribution chart, Verastem ranks #744 out of 1411 companies in the Biotechnology industry, which is below the industry midpoint. Overall, Verastem has a GF Score™ of 15/100, reflecting its overall financial health beyond just this single metric.
How does Verastem's EV-to-OCF compare to IRD and PALI?
According to the Biotechnology industry distribution chart, Verastem ranks #744 out of 1411 companies for EV-to-OCF. This places Verastem in the lower half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-OCF for a Biotechnology company?
A good EV-to-OCF depends on the Biotechnology industry context. However, EV-to-OCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-OCF mean?
A high EV-to-OCF can signal that a stock is expensive relative to its fundamentals. Verastem's current EV-to-OCF is -2.71. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Verastem stock overvalued right now?
Verastem (VSTM) has a current EV-to-OCF of -2.71. The current EV-to-OCF is -2.71. Verastem's overall GF Score™ is 15/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-OCF calculated?
EV-to-OCF is calculated from a company's financial statements. For Verastem (VSTM), the current EV-to-OCF is -2.71 as of Jul. 20, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
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.
15GF Score
Get the complete analysis for VSTM
EV-to-OCF is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
VSTM has been successfully added to your 
