Castle Biosciences (NASDAQ:CSTL) Shares Up 4.8% – Should You Buy?

Castle Biosciences, Inc. (NASDAQ:CSTL)’s stock price was up 4.8% during trading on Tuesday . The stock traded as high as $30.95 and last traded at $30.92. Approximately 75,663 shares traded hands during mid-day trading, a decline of 77% from the average daily volume of 326,544 shares. The stock had previously closed at $29.51.

Analyst Ratings Changes

A number of research firms recently commented on CSTL. BTIG Research raised their price objective on shares of Castle Biosciences from $35.00 to $40.00 and gave the stock a “buy” rating in a research note on Monday, October 14th. Stephens reiterated an “overweight” rating and set a $37.00 price target on shares of Castle Biosciences in a report on Tuesday, August 6th. Scotiabank upped their price target on Castle Biosciences from $37.00 to $44.00 and gave the company a “sector outperform” rating in a research report on Wednesday, November 6th. Robert W. Baird raised their price objective on Castle Biosciences from $37.00 to $39.00 and gave the stock an “outperform” rating in a research report on Tuesday, November 5th. Finally, Canaccord Genuity Group upped their target price on Castle Biosciences from $35.00 to $42.00 and gave the company a “buy” rating in a report on Tuesday, October 29th. Eight research analysts have rated the stock with a buy rating, According to MarketBeat, the company presently has an average rating of “Buy” and an average price target of $37.88.

Castle Biosciences Stock Performance

The firm has a 50-day simple moving average of $30.94 and a two-hundred day simple moving average of $26.60. The company has a current ratio of 7.78, a quick ratio of 7.64 and a debt-to-equity ratio of 0.02. The company has a market capitalization of $852.53 million, a price-to-earnings ratio of 152.20 and a beta of 0.99.

Castle Biosciences (NASDAQ:CSTL) last released its quarterly earnings data on Monday, November 4th. The company reported $0.08 EPS for the quarter, topping analysts’ consensus estimates of ($0.06) by $0.14. The firm had revenue of $85.78 million for the quarter, compared to the consensus estimate of $78.55 million. Castle Biosciences had a return on equity of 1.47% and a net margin of 1.95%. During the same quarter in the prior year, the company posted ($0.26) earnings per share. As a group, sell-side analysts forecast that Castle Biosciences, Inc. will post -0.08 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Frank Stokes sold 6,923 shares of the company’s stock in a transaction dated Friday, November 15th. The stock was sold at an average price of $29.93, for a total transaction of $207,205.39. Following the completion of the sale, the chief financial officer now owns 30,823 shares in the company, valued at approximately $922,532.39. This represents a 18.34 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Daniel Bradbury sold 7,867 shares of the firm’s stock in a transaction that occurred on Monday, October 7th. The shares were sold at an average price of $29.44, for a total value of $231,604.48. Following the completion of the transaction, the director now directly owns 5,700 shares in the company, valued at $167,808. The trade was a 57.99 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 24,213 shares of company stock worth $752,673. 7.20% of the stock is owned by corporate insiders.

Institutional Trading of Castle Biosciences

Several large investors have recently modified their holdings of the company. Point72 Asset Management L.P. lifted its position in Castle Biosciences by 828.3% during the 3rd quarter. Point72 Asset Management L.P. now owns 499,192 shares of the company’s stock worth $14,237,000 after acquiring an additional 445,415 shares during the last quarter. Marshall Wace LLP lifted its position in shares of Castle Biosciences by 116.5% during the 2nd quarter. Marshall Wace LLP now owns 212,036 shares of the company’s stock worth $4,616,000 after purchasing an additional 114,104 shares during the last quarter. Harbor Capital Advisors Inc. lifted its position in shares of Castle Biosciences by 249.3% during the 2nd quarter. Harbor Capital Advisors Inc. now owns 138,707 shares of the company’s stock worth $3,020,000 after purchasing an additional 99,001 shares during the last quarter. Connor Clark & Lunn Investment Management Ltd. boosted its stake in Castle Biosciences by 147.4% during the 3rd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 165,458 shares of the company’s stock valued at $4,719,000 after purchasing an additional 98,571 shares during the period. Finally, Renaissance Technologies LLC grew its holdings in Castle Biosciences by 47.3% in the 2nd quarter. Renaissance Technologies LLC now owns 301,500 shares of the company’s stock valued at $6,564,000 after buying an additional 96,800 shares during the last quarter. 92.60% of the stock is owned by institutional investors.

About Castle Biosciences

Castle Biosciences, Inc, a molecular diagnostics company, provides testing solutions for the diagnosis and treatment of dermatologic cancers, Barrett's esophagus, uveal melanoma, and mental health conditions. It offers DecisionDx-Melanoma, a risk stratification gene expression profile (GEP) test to identify the risk of metastasis for patients diagnosed with invasive cutaneous melanoma; DecisionDx-SCC, a proprietary risk stratification GEP test for patients with cutaneous squamous cell carcinoma; MyPath Melanoma, a test used for patients with difficult-to-diagnose melanocytic lesions; and TissueCypher, a spatial omics test to predict future development of high-grade dysplasia and/or esophageal cancer in patients with non-dysplastic, indefinite dysplasia, or low-grade dysplasia Barrett's esophagus.