Castle Biosciences Inc (CSTL)vsWaters Corporation (WAT)
CSTL
Castle Biosciences Inc
$21.38
-2.73%
HEALTHCARE · Cap: $627.83M
WAT
Waters Corporation
$365.36
-2.95%
HEALTHCARE · Cap: $34.91B
Smart Verdict
WallStSmart Research — data-driven comparison
Waters Corporation generates 1009% more annual revenue ($3.77B vs $339.92M). WAT leads profitability with a 11.9% profit margin vs -3.8%. WAT earns a higher WallStSmart Score of 50/100 (C-).
CSTL
Avoid31
out of 100
Grade: F
WAT
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+58.2%
Fair Value
$77.42
Current Price
$21.38
$56.04 discount
Margin of Safety
-84.0%
Fair Value
$178.93
Current Price
$365.36
$186.43 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Revenue surging 91.4% year-over-year
Safe zone — low bankruptcy risk
Areas to Watch
Smaller company, higher risk/reward
Weak financial health signals
ROE of -2.8% — below average capital efficiency
Revenue declined 4.9%
Expensive relative to growth rate
Trading at 8.5x book value
ROE of 2.9% — below average capital efficiency
Operating margin of 2.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : CSTL
The strongest argument for CSTL centers on Price/Book, Debt/Equity, Altman Z-Score.
Bull Case : WAT
The strongest argument for WAT centers on Revenue Growth, Altman Z-Score. Revenue growth of 91.4% demonstrates continued momentum.
Bear Case : CSTL
The primary concerns for CSTL are Market Cap, Piotroski F-Score, Return on Equity.
Bear Case : WAT
The primary concerns for WAT are PEG Ratio, Price/Book, Return on Equity. A P/E of 45.2x leaves little room for execution misses.
Key Dynamics to Monitor
CSTL profiles as a turnaround stock while WAT is a growth play — different risk/reward profiles.
WAT carries more volatility with a beta of 1.20 — expect wider price swings.
WAT is growing revenue faster at 91.4% — sustainability is the question.
CSTL generates stronger free cash flow (-35M), providing more financial flexibility.
Bottom Line
WAT scores higher overall (50/100 vs 31/100) and 91.4% revenue growth. CSTL offers better value entry with a 58.2% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Castle Biosciences Inc
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Castle Biosciences Inc. is a leading diagnostics company dedicated to improving patient care through cutting-edge gene-expression profiling tests, specifically in the realm of skin cancer, with its flagship product, DecisionDx®-Melanoma. This innovative solution provides crucial insights into patient risk stratification, thus facilitating informed treatment decisions in melanoma management. With a steadfast commitment to precision medicine and a robust research and development framework, Castle Biosciences is strategically positioned to expand its portfolio and address pivotal clinical needs. By focusing on the complexities of oncology, the company aims to enhance clinical outcomes while driving significant value for shareholders.
Visit Website →Waters Corporation
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Waters Corporation is a publicly traded Analytical Laboratory instrument and software company headquartered in Milford, Massachusetts.
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