Is Castle Biosciences Stock a Good Investment?
Castle Biosciences Investment Advice | CSTL |
- Examine Castle Biosciences' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Castle Biosciences' leadership team and their track record. Good management can help Castle Biosciences navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Biotechnology space and any emerging trends that could impact Castle Biosciences' business and its evolving consumer preferences.
- Compare Castle Biosciences' performance and market position to its competitors. Analyze how Castle Biosciences is positioned in terms of product offerings, innovation, and market share.
- Check if Castle Biosciences pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Castle Biosciences' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Castle Biosciences stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Castle Biosciences is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Poor | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Castle Biosciences Stock
Researching Castle Biosciences' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 95.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.92. Some equities with similar Price to Book (P/B) outperform the market in the long run. Castle Biosciences had not issued any dividends in recent years.
To determine if Castle Biosciences is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Castle Biosciences' research are outlined below:
| Castle Biosciences had very high historical volatility over the last 90 days | |
| The company reported the previous year's revenue of 219.79 M. Net Loss for the year was (57.47 M) with profit before overhead, payroll, taxes, and interest of 105.03 M. | |
| Castle Biosciences currently holds about 273.17 M in cash with (5.63 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 10.39. | |
| Castle Biosciences has a poor financial position based on the latest SEC disclosures | |
| Over 95.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from gurufocus.com: Castle Biosciences Inc Shares Up 3.52 percent on Nov 26 |
Castle Biosciences uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Castle Biosciences. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Castle Biosciences' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 27th of February 2024 Upcoming Quarterly Report | View | |
| 1st of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 27th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Castle Biosciences' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Castle Biosciences' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2021-03-08 | 2020-12-31 | -0.12 | -0.17 | -0.05 | 41 | ||
2021-05-10 | 2021-03-31 | -0.23 | -0.17 | 0.06 | 26 | ||
2021-11-08 | 2021-09-30 | -0.4 | -0.47 | -0.07 | 17 | ||
2022-11-02 | 2022-09-30 | -0.88 | -0.77 | 0.11 | 12 | ||
2020-11-09 | 2020-09-30 | -0.11 | -0.23 | -0.12 | 109 | ||
2024-11-04 | 2024-09-30 | -0.06 | 0.08 | 0.14 | 233 | ||
2020-05-11 | 2020-03-31 | -0.15 | 0.03 | 0.18 | 120 | ||
2023-08-02 | 2023-06-30 | -0.91 | -0.7 | 0.21 | 23 |
Know Castle Biosciences' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Castle Biosciences is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Castle Biosciences backward and forwards among themselves. Castle Biosciences' institutional investor refers to the entity that pools money to purchase Castle Biosciences' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Palisade Capital Management Llc | 2024-09-30 | 502.3 K | Point72 Asset Management, L.p. | 2024-09-30 | 499.2 K | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 498.8 K | Jacobs Levy Equity Management, Inc. | 2024-09-30 | 496.5 K | Renaissance Technologies Corp | 2024-09-30 | 489.6 K | Granahan Investment Management Inc.. | 2024-09-30 | 425.2 K | Kornitzer Capital Management Inc | 2024-09-30 | 407.2 K | Braidwell Lp | 2024-09-30 | 332 K | Deutsche Bank Ag | 2024-06-30 | 309.5 K | Blackrock Inc | 2024-06-30 | 3 M | Wasatch Advisors Lp | 2024-09-30 | 1.8 M |
Castle Biosciences' market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 852.54 M.Market Cap |
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Castle Biosciences' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.17) | (0.18) | |
| Return On Capital Employed | (0.17) | (0.18) | |
| Return On Assets | (0.13) | (0.13) | |
| Return On Equity | (0.15) | (0.14) |
Determining Castle Biosciences' profitability involves analyzing its financial statements and using various financial metrics to determine if Castle Biosciences is a good buy. For example, gross profit margin measures Castle Biosciences' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Castle Biosciences' profitability and make more informed investment decisions.
Evaluate Castle Biosciences' management efficiency
The value of Return On Tangible Assets is estimated to slide to -0.18. The value of Return On Capital Employed is expected to slide to -0.18. At this time, Castle Biosciences' Non Current Assets Total are quite stable compared to the past year. Non Currrent Assets Other is expected to rise to about 2.8 M this year, although the value of Net Tangible Assets will most likely fall to about 181.4 M. Castle Biosciences' management efficiency ratios could be used to measure how well Castle Biosciences manages its routine affairs as well as how well it operates its assets and liabilities.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 14.60 | 8.66 | |
| Tangible Book Value Per Share | 10.22 | 7.20 | |
| Enterprise Value Over EBITDA | (10.99) | (11.54) | |
| Price Book Value Ratio | 1.48 | 1.55 | |
| Enterprise Value Multiple | (10.99) | (11.54) | |
| Price Fair Value | 1.48 | 1.55 | |
| Enterprise Value | 223.1 M | 198.4 M |
Understanding the operational decisions made by Castle Biosciences management offers insights into its financial robustness. This evaluation is crucial for assessing the stock's investment potential.
Beta 0.985 |
Basic technical analysis of Castle Stock
As of the 1st of December, Castle Biosciences shows the Downside Deviation of 2.82, risk adjusted performance of 0.0398, and Mean Deviation of 2.35. Castle Biosciences technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Please confirm Castle Biosciences variance, value at risk, as well as the relationship between the Value At Risk and skewness to decide if Castle Biosciences is priced correctly, providing market reflects its regular price of 30.28 per share. Given that Castle Biosciences has jensen alpha of (0.02), we suggest you to validate Castle Biosciences's prevailing market performance to make sure the company can sustain itself at a future point.Castle Biosciences' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Castle Biosciences insiders, such as employees or executives, is commonly permitted as long as it does not rely on Castle Biosciences' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Castle Biosciences insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Castle Biosciences' Outstanding Corporate Bonds
Castle Biosciences issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Castle Biosciences uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Castle bonds can be classified according to their maturity, which is the date when Castle Biosciences has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Morgan Stanley 3591 Corp BondUS61744YAK47 | View |
Understand Castle Biosciences' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Castle Biosciences' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0398 | |||
| Market Risk Adjusted Performance | 0.1171 | |||
| Mean Deviation | 2.35 | |||
| Semi Deviation | 2.71 | |||
| Downside Deviation | 2.82 | |||
| Coefficient Of Variation | 2375.51 | |||
| Standard Deviation | 3.22 | |||
| Variance | 10.37 | |||
| Information Ratio | (0.0006) | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.41) | |||
| Sortino Ratio | (0.0007) | |||
| Treynor Ratio | 0.1071 | |||
| Maximum Drawdown | 19.49 | |||
| Value At Risk | (4.38) | |||
| Potential Upside | 4.85 | |||
| Downside Variance | 7.94 | |||
| Semi Variance | 7.37 | |||
| Expected Short fall | (2.80) | |||
| Skewness | 0.4519 | |||
| Kurtosis | 2.22 |
| Risk Adjusted Performance | 0.0398 | |||
| Market Risk Adjusted Performance | 0.1171 | |||
| Mean Deviation | 2.35 | |||
| Semi Deviation | 2.71 | |||
| Downside Deviation | 2.82 | |||
| Coefficient Of Variation | 2375.51 | |||
| Standard Deviation | 3.22 | |||
| Variance | 10.37 | |||
| Information Ratio | (0.0006) | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.41) | |||
| Sortino Ratio | (0.0007) | |||
| Treynor Ratio | 0.1071 | |||
| Maximum Drawdown | 19.49 | |||
| Value At Risk | (4.38) | |||
| Potential Upside | 4.85 | |||
| Downside Variance | 7.94 | |||
| Semi Variance | 7.37 | |||
| Expected Short fall | (2.80) | |||
| Skewness | 0.4519 | |||
| Kurtosis | 2.22 |
Consider Castle Biosciences' intraday indicators
Castle Biosciences intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Castle Biosciences stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Castle Biosciences Corporate Filings
F4 | 19th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
13A | 14th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
8K | 4th of November 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
Castle Stock media impact
Far too much social signal, news, headlines, and media speculation about Castle Biosciences that are available to investors today. That information is available publicly through Castle media outlets and privately through word of mouth or via Castle internal channels. However, regardless of the origin, that massive amount of Castle data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Castle Biosciences news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Castle Biosciences relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Castle Biosciences' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Castle Biosciences alpha.
Castle Biosciences Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Castle Biosciences can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Castle Biosciences Corporate Management
| Camilla Zuckero | Exec Communications | Profile | |
| John Abbott | VP Controller | Profile | |
| RN RN | Chief Officer | Profile | |
| Kristen RN | Chief Officer | Profile | |
| Tobin Juvenal | Chief Officer | Profile |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Castle Biosciences. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in estimate. For more information on how to buy Castle Stock please use our How to buy in Castle Stock guide.You can also try the Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Is Biotechnology space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Castle Biosciences. If investors know Castle will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Castle Biosciences listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.93) | Earnings Share 0.21 | Revenue Per Share 11.34 | Quarterly Revenue Growth 0.395 | Return On Assets (0) |
The market value of Castle Biosciences is measured differently than its book value, which is the value of Castle that is recorded on the company's balance sheet. Investors also form their own opinion of Castle Biosciences' value that differs from its market value or its book value, called intrinsic value, which is Castle Biosciences' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Castle Biosciences' market value can be influenced by many factors that don't directly affect Castle Biosciences' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Castle Biosciences' value and its price, as these two are different measures arrived at by various means. Investors typically determine if Castle Biosciences is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Castle Biosciences' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.