Verastem Gains FDA Approval for New Cancer Treatment

The latest announcement is out from Verastem ( (VSTM) ).

On May 8, 2025, Verastem, Inc. announced that the FDA approved AVMAPKI™ FAKZYNJA™ CO-PACK for treating adult patients with recurrent KRAS-mutated low-grade serous ovarian cancer (LGSOC) who have received prior systemic therapy. This approval marks the first-ever FDA-approved treatment specifically for this rare cancer, based on the Phase 2 RAMP 201 study showing a 44% overall response rate. The approval is under accelerated conditions, with continued approval contingent on confirmatory trials. This milestone offers new hope for patients with this rare cancer and positions Verastem as a pioneer in this therapeutic area.

Spark’s Take on VSTM Stock

According to Spark, TipRanks’ AI Analyst, VSTM is a Neutral.

Verastem’s overall stock score is primarily impacted by its weak financial performance, characterized by ongoing losses and negative equity. However, positive technical indicators and recent corporate events, such as the $75M private placement, provide some optimism for future growth. Valuation remains constrained by negative earnings, but strategic initiatives and product development efforts could drive improvements. The stock represents a speculative opportunity, with potential upside if financial health and operational efficiencies improve.

To see Spark’s full report on VSTM stock, click here.

More about Verastem

Verastem Oncology is a biopharmaceutical company focused on developing new medicines for patients with RAS/MAPK pathway-driven cancers.

Average Trading Volume: 938,181

Technical Sentiment Signal: Sell

Current Market Cap: $336.2M

For a thorough assessment of VSTM stock, go to TipRanks’ Stock Analysis page.