Is Verastem, Inc. (VSTM) Halal?

NASDAQ Healthcare United States $443M
✗ NOT HALAL
Confidence: 90/100
Verastem, Inc. (VSTM) is Not Halal under AAOIFI Standard 21. The company's impermissible income ratio of 41.49% exceeds the 5% threshold allowed under AAOIFI. Verastem, Inc. operates in the Healthcare sector.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 8.8%
/ 30%
18.5%
/ 30%
0.0%
/ 30%
41.49%
/ 5%
✗ NOT HALAL
DJIM 8.8%
/ 33%
18.5%
/ 33%
0.0%
/ 33%
41.49%
/ 5%
✗ NOT HALAL
MSCI 41.6%
/ 33%
87.5%
/ 33%
0.2%
/ 33%
41.49%
/ 5%
✗ NOT HALAL
S&P 8.8%
/ 33%
18.5%
/ 33%
0.0%
/ 33%
41.49%
/ 5%
✗ NOT HALAL
FTSE 41.6%
/ 33%
87.5%
/ 33%
0.2%
/ 50%
41.49%
/ 5%
✗ NOT HALAL

Financial Highlights

EPS
$-3.02
P/B Ratio
6.8
EV/EBITDA
-1.9
EV: $325M
Revenue
$31M
Beta
0.4
Low volatility
Current Ratio
3.1

Profitability

Gross Margin 85.1%
Operating Margin -236.5%
Net Margin 0.0%
Return on Equity (ROE) -1480.2%
Return on Assets (ROA) -61.1%

Cash Flow & Balance Sheet

Operating Cash Flow-$138M
Free Cash Flow-$147M
Total Debt$87M
Debt-to-Equity152.4
Current Ratio3.1
Total Assets$246M

Price & Trading

Last Close$5.29
50-Day MA$6.01
200-Day MA$7.39
Avg Volume1.8M
Beta0.4
52-Week Range
$4.01
$11.25

About Verastem, Inc. (VSTM)

CEO
Mr. Daniel W. Paterson
Employees
102
Sector
Healthcare
Industry
Biotechnology
Country
United States
Exchange
NASDAQ
Market Cap
$443M
Currency
USD

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, which is an orally administered, small molecule dual RAF/MEK inhibitor developed to block MEK kinase activity and the compensatory reactivation of MEK by upstream RAF, thereby targeting the RAS/MAPK signaling pathway that is commonly activated in various cancers; and Defactinib, an oral small molecule inhibitor of FAK and proline-rich tyrosine kinase for various solid tumors. The company is involved in clinical studies, including RAMP 301, a randomized global confirmatory trial to evaluate the combination of Avutometinib and Defactinib for the treatment of patients with recurrent low-grade serous ovarian cancer; RAMP 201, an adaptive two-part multicenter, parallel cohort, randomized open label trial to evaluate the efficacy and safety of Avutometinib and in combination with Defactinib; and FRAME, an investigation of Avutometinib and Defactinib in patients with KRAS mutant cancers and subsequent analyses; and RAMP 205. It has license agreements with Chugai Pharmaceutical Co., Ltd. for the development, commercialization, and manufacture of products containing Avutometinib; and Pfizer Inc. to research, develop, manufacture, and commercialize products containing Pfizer's inhibitors of FAK for therapeutic, diagnostic, and prophylactic uses in humans. In addition, it has a clinical collaboration agreement with Amgen, Inc. to evaluate the combination of Avutometinib with Amgen's KRAS-G12C inhibitor LUMAKRAS, which in Phase 1/2 trial entitled RAMP 203; VS-7375, and VS-7375-101 is a discovery and development collaboration with GenFleet Therapeutics to advance new programs targeting RAS pathway-driven cancers; and AVMAPKI, FAKZYNJA, CO-PACK, is an avutometinib capsules, and defactinib tablets. The company was incorporated in 2010 and is headquartered in Needham, Massachusetts.

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Frequently Asked Questions

Is Verastem, Inc. (VSTM) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Verastem, Inc. is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is Verastem, Inc.'s debt ratio?

Verastem, Inc.'s debt ratio is 8.8% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 41.6%.

What are Verastem, Inc.'s key financial metrics?

Verastem, Inc. has a market capitalization of $443M, and revenue of $31M. Return on equity stands at -1480.2%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.