CASTLE BIOSCIENCES INC (CSTL) Stock Fundamental Analysis
NASDAQ:CSTL - Nasdaq - US14843C1053 - Common Stock - Currency: USD
Overall CSTL gets a fundamental rating of 5 out of 10. We evaluated CSTL against 102 industry peers in the Health Care Providers & Services industry. CSTL has a great financial health rating, but its profitability evaluates not so good. While showing a medium growth rate, CSTL is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year CSTL was profitable.
CSTL had a positive operating cash flow in the past year.
In the past 5 years CSTL reported 4 times negative net income.
The reported operating cash flow has been mixed in the past 5 years: CSTL reported negative operating cash flow in multiple years.
1.2 Ratios
CSTL has a Return On Assets (-1.01%) which is in line with its industry peers.
CSTL has a Return On Equity (-1.15%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.01% | ||
| ROE | -1.15% | ||
| ROIC | N/A |
ROA(3y)-8.08%
ROA(5y)-6.67%
ROE(3y)-9.16%
ROE(5y)-7.51%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CSTL's Profit Margin has been stable in the last couple of years.
In the last couple of years the Operating Margin of CSTL has declined.
CSTL's Gross Margin of 81.94% is amongst the best of the industry. CSTL outperforms 94.12% of its industry peers.
CSTL's Gross Margin has been stable in the last couple of years.
CSTL does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 81.94% |
OM growth 3YN/A
OM growth 5Y-28.6%
PM growth 3YN/A
PM growth 5Y-1.01%
GM growth 3Y-0.54%
GM growth 5Y-0.96%
2. Health
2.1 Basic Checks
CSTL does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, CSTL has more shares outstanding
The number of shares outstanding for CSTL has been increased compared to 5 years ago.
The debt/assets ratio for CSTL is higher compared to a year ago.
2.2 Solvency
CSTL has an Altman-Z score of 5.17. This indicates that CSTL is financially healthy and has little risk of bankruptcy at the moment.
CSTL has a better Altman-Z score (5.17) than 86.27% of its industry peers.
CSTL has a debt to FCF ratio of 0.25. This is a very positive value and a sign of high solvency as it would only need 0.25 years to pay back of all of its debts.
The Debt to FCF ratio of CSTL (0.25) is better than 91.18% of its industry peers.
CSTL has a Debt/Equity ratio of 0.02. This is a healthy value indicating a solid balance between debt and equity.
CSTL has a better Debt to Equity ratio (0.02) than 82.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.25 | ||
| Altman-Z | 5.17 |
ROIC/WACCN/A
WACC9.13%
2.3 Liquidity
CSTL has a Current Ratio of 9.37. This indicates that CSTL is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of CSTL (9.37) is better than 98.04% of its industry peers.
CSTL has a Quick Ratio of 9.19. This indicates that CSTL is financially healthy and has no problem in meeting its short term obligations.
CSTL's Quick ratio of 9.19 is amongst the best of the industry. CSTL outperforms 98.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.37 | ||
| Quick Ratio | 9.19 |
3. Growth
3.1 Past
CSTL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 145.22%, which is quite impressive.
CSTL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 29.69% yearly.
The Revenue has grown by 38.43% in the past year. This is a very strong growth!
CSTL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 44.95% yearly.
EPS 1Y (TTM)145.22%
EPS 3YN/A
EPS 5Y29.69%
EPS Q2Q%-122.22%
Revenue 1Y (TTM)38.43%
Revenue growth 3Y52.25%
Revenue growth 5Y44.95%
Sales Q2Q%20.57%
3.2 Future
The Earnings Per Share is expected to decrease by -20.44% on average over the next years. This is quite bad
Based on estimates for the next years, CSTL will show a small growth in Revenue. The Revenue will grow by 3.86% on average per year.
EPS Next Y-341.51%
EPS Next 2Y-119.11%
EPS Next 3Y-69.92%
EPS Next 5Y-20.44%
Revenue Next Year-10.49%
Revenue Next 2Y-4.54%
Revenue Next 3Y0.07%
Revenue Next 5Y3.86%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 30.38, which means the current valuation is very expensive for CSTL.
CSTL's Price/Earnings ratio is in line with the industry average.
CSTL's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.35.
CSTL is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.38 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CSTL is valued cheaper than 100.00% of the companies in the same industry.
83.33% of the companies in the same industry are more expensive than CSTL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.93 | ||
| EV/EBITDA | 0.21 |
4.3 Compensation for Growth
A cheap valuation may be justified as CSTL's earnings are expected to decrease with -69.92% in the coming years.
PEG (NY)N/A
PEG (5Y)1.02
EPS Next 2Y-119.11%
EPS Next 3Y-69.92%
5. Dividend
5.1 Amount
CSTL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
15.8
-0.3 (-1.86%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners95.85%
Inst Owner Change-2.01%
Ins Owners2.84%
Ins Owner Change5.33%
Market Cap456.15M
Analysts88
Price Target39.1 (147.47%)
Short Float %5.39%
Short Ratio3.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)191.52%
Min EPS beat(2)-175.74%
Max EPS beat(2)558.79%
EPS beat(4)3
Avg EPS beat(4)204.82%
Min EPS beat(4)-175.74%
Max EPS beat(4)558.79%
EPS beat(8)7
Avg EPS beat(8)133.25%
EPS beat(12)10
Avg EPS beat(12)96.68%
EPS beat(16)12
Avg EPS beat(16)73.04%
Revenue beat(2)2
Avg Revenue beat(2)5.34%
Min Revenue beat(2)3.31%
Max Revenue beat(2)7.37%
Revenue beat(4)4
Avg Revenue beat(4)9.76%
Min Revenue beat(4)3.31%
Max Revenue beat(4)23.01%
Revenue beat(8)8
Avg Revenue beat(8)12.22%
Revenue beat(12)12
Avg Revenue beat(12)11.16%
Revenue beat(16)16
Avg Revenue beat(16)10%
PT rev (1m)-3.36%
PT rev (3m)-5.74%
EPS NQ rev (1m)-0.31%
EPS NQ rev (3m)23.7%
EPS NY rev (1m)5.66%
EPS NY rev (3m)17.03%
Revenue NQ rev (1m)-0.48%
Revenue NQ rev (3m)7.1%
Revenue NY rev (1m)1.38%
Revenue NY rev (3m)6.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.38 | ||
| Fwd PE | N/A | ||
| P/S | 1.31 | ||
| P/FCF | 10.93 | ||
| P/OCF | 6.95 | ||
| P/B | 1.04 | ||
| P/tB | 1.26 | ||
| EV/EBITDA | 0.21 |
EPS(TTM)0.52
EY3.29%
EPS(NY)-1.76
Fwd EYN/A
FCF(TTM)1.45
FCFY9.15%
OCF(TTM)2.27
OCFY14.4%
SpS12.02
BVpS15.25
TBVpS12.55
PEG (NY)N/A
PEG (5Y)1.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.01% | ||
| ROE | -1.15% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 81.94% | ||
| FCFM | 12.03% |
ROA(3y)-8.08%
ROA(5y)-6.67%
ROE(3y)-9.16%
ROE(5y)-7.51%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y-28.6%
PM growth 3YN/A
PM growth 5Y-1.01%
GM growth 3Y-0.54%
GM growth 5Y-0.96%
F-Score7
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.25 | ||
| Debt/EBITDA | 0.32 | ||
| Cap/Depr | 56.37% | ||
| Cap/Sales | 6.89% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 229.33% | ||
| Profit Quality | N/A | ||
| Current Ratio | 9.37 | ||
| Quick Ratio | 9.19 | ||
| Altman-Z | 5.17 |
F-Score7
WACC9.13%
ROIC/WACCN/A
Cap/Depr(3y)113.65%
Cap/Depr(5y)290.73%
Cap/Sales(3y)6.28%
Cap/Sales(5y)6.02%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)145.22%
EPS 3YN/A
EPS 5Y29.69%
EPS Q2Q%-122.22%
EPS Next Y-341.51%
EPS Next 2Y-119.11%
EPS Next 3Y-69.92%
EPS Next 5Y-20.44%
Revenue 1Y (TTM)38.43%
Revenue growth 3Y52.25%
Revenue growth 5Y44.95%
Sales Q2Q%20.57%
Revenue Next Year-10.49%
Revenue Next 2Y-4.54%
Revenue Next 3Y0.07%
Revenue Next 5Y3.86%
EBIT growth 1Y67.12%
EBIT growth 3YN/A
EBIT growth 5Y3.5%
EBIT Next Year-124.79%
EBIT Next 3Y-124.92%
EBIT Next 5Y-26.67%
FCF growth 1Y176.98%
FCF growth 3YN/A
FCF growth 5Y43.14%
OCF growth 1Y243.78%
OCF growth 3YN/A
OCF growth 5Y56%