CASTLE BIOSCIENCES INC (CSTL) Stock Fundamental Analysis
NASDAQ:CSTL - Nasdaq - US14843C1053 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to CSTL. CSTL was compared to 103 industry peers in the Health Care Providers & Services industry. CSTL has a great financial health rating, but its profitability evaluates not so good. CSTL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CSTL had positive earnings in the past year.
CSTL had a positive operating cash flow in the past year.
CSTL had negative earnings in 4 of the past 5 years.
In multiple years CSTL reported negative operating cash flow during the last 5 years.
1.2 Ratios
CSTL has a Return On Assets of -1.01%. This is comparable to the rest of the industry: CSTL outperforms 44.66% of its industry peers.
With a Return On Equity value of -1.15%, CSTL perfoms like the industry average, outperforming 51.46% of the companies in the same industry.
| 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
In the last couple of years the Profit Margin of CSTL has remained more or less at the same level.
In the last couple of years the Operating Margin of CSTL has declined.
The Gross Margin of CSTL (81.94%) is better than 94.17% of its industry peers.
CSTL's Gross Margin has been stable in the last couple of years.
The Profit Margin and Operating Margin are not available for CSTL so they could not be analyzed.
| 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
CSTL has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CSTL is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.46 indicates that CSTL is not in any danger for bankruptcy at the moment.
CSTL's Altman-Z score of 6.46 is amongst the best of the industry. CSTL outperforms 88.35% of its industry peers.
The Debt to FCF ratio of CSTL is 0.25, which is an excellent value as it means it would take CSTL, only 0.25 years of fcf income to pay off all of its debts.
CSTL has a better Debt to FCF ratio (0.25) than 91.26% 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.
With an excellent Debt to Equity ratio value of 0.02, CSTL belongs to the best of the industry, outperforming 81.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.25 | ||
| Altman-Z | 6.46 |
ROIC/WACCN/A
WACC8.84%
2.3 Liquidity
A Current Ratio of 9.37 indicates that CSTL has no problem at all paying its short term obligations.
The Current ratio of CSTL (9.37) is better than 99.03% of its industry peers.
A Quick Ratio of 9.19 indicates that CSTL has no problem at all paying its short term obligations.
CSTL has a Quick ratio of 9.19. This is amongst the best in the industry. CSTL outperforms 99.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.37 | ||
| Quick Ratio | 9.19 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 357.14% over the past year.
CSTL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 29.69% yearly.
Looking at the last year, CSTL shows a very strong growth in Revenue. The Revenue has grown by 51.09%.
CSTL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 44.95% yearly.
EPS 1Y (TTM)357.14%
EPS 3YN/A
EPS 5Y29.69%
EPS Q2Q%-51.61%
Revenue 1Y (TTM)51.09%
Revenue growth 3Y52.25%
Revenue growth 5Y44.95%
Sales Q2Q%-0.93%
3.2 Future
CSTL is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -35.97% yearly.
CSTL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.11% yearly.
EPS Next Y-485.74%
EPS Next 2Y-118.74%
EPS Next 3Y-68.32%
EPS Next 5Y-35.97%
Revenue Next Year-10.26%
Revenue Next 2Y-4.5%
Revenue Next 3Y-0.26%
Revenue Next 5Y3.11%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 54.89 indicates a quite expensive valuation of CSTL.
CSTL's Price/Earnings is on the same level as the industry average.
CSTL's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.03.
CSTL is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.89 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CSTL is valued cheaply inside the industry as 91.26% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, CSTL is valued a bit cheaper than 74.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.66 | ||
| EV/EBITDA | 4.79 |
4.3 Compensation for Growth
CSTL's earnings are expected to decrease with -68.32% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.85
EPS Next 2Y-118.74%
EPS Next 3Y-68.32%
5. Dividend
5.1 Amount
No dividends for CSTL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
19.76
-0.59 (-2.9%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners92.68%
Inst Owner Change0.3%
Ins Owners2.78%
Ins Owner Change3.32%
Market Cap570.47M
Analysts88
Price Target36.83 (86.39%)
Short Float %5.04%
Short Ratio3.48
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)0%
PT rev (3m)-7.71%
EPS NQ rev (1m)-7.43%
EPS NQ rev (3m)-26.27%
EPS NY rev (1m)0%
EPS NY rev (3m)-50.69%
Revenue NQ rev (1m)-0.17%
Revenue NQ rev (3m)-0.38%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)1.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.89 | ||
| Fwd PE | N/A | ||
| P/S | 1.64 | ||
| P/FCF | 13.66 | ||
| P/OCF | 8.69 | ||
| P/B | 1.3 | ||
| P/tB | 1.57 | ||
| EV/EBITDA | 4.79 |
EPS(TTM)0.36
EY1.82%
EPS(NY)-1.75
Fwd EYN/A
FCF(TTM)1.45
FCFY7.32%
OCF(TTM)2.27
OCFY11.51%
SpS12.02
BVpS15.25
TBVpS12.55
PEG (NY)N/A
PEG (5Y)1.85
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 | 6.46 |
F-Score7
WACC8.84%
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)357.14%
EPS 3YN/A
EPS 5Y29.69%
EPS Q2Q%-51.61%
EPS Next Y-485.74%
EPS Next 2Y-118.74%
EPS Next 3Y-68.32%
EPS Next 5Y-35.97%
Revenue 1Y (TTM)51.09%
Revenue growth 3Y52.25%
Revenue growth 5Y44.95%
Sales Q2Q%-0.93%
Revenue Next Year-10.26%
Revenue Next 2Y-4.5%
Revenue Next 3Y-0.26%
Revenue Next 5Y3.11%
EBIT growth 1Y67.12%
EBIT growth 3YN/A
EBIT growth 5Y3.5%
EBIT Next Year-26.07%
EBIT Next 3Y-123.63%
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%