Verastem(US:VSTM) ZACKSยท2025-07-31 15:06Core Viewpoint - Verastem (VSTM) is anticipated to report a year-over-year decline in earnings despite an increase in revenues, which could significantly influence its stock price in the near term [1][2]. Financial Expectations - The upcoming earnings report is scheduled for August 7, with expectations of a quarterly loss of $0.85 per share, reflecting a year-over-year change of -174.2% [3]. - Revenues are projected to be $15.67 million, representing a 56.7% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised down by 1.17% over the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Verastem is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -16.47% [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, with a strong predictive power for positive readings [9][10]. - Verastem currently holds a Zacks Rank of 5, which complicates the prediction of an earnings beat [12]. Historical Performance - In the last reported quarter, Verastem was expected to post a loss of $0.72 per share but actually reported a loss of -$0.96, resulting in a surprise of -33.33% [13]. - Over the past four quarters, Verastem has beaten consensus EPS estimates two times [14]. Industry Context - In the broader context of the Zacks Medical - Biomedical and Genetics industry, Ultragenyx (RARE) is expected to report a loss of $1.27 per share for the same quarter, with revenues projected at $161.74 million, up 10% year-over-year [18][19]. - The consensus EPS estimate for Ultragenyx has also been revised down by 1.8% over the last 30 days, leading to an Earnings ESP of -1.02% [19][20].