The stock of Castle Biosciences, Inc. (NASDAQ:CSTL) is now priced at $41.75 and the shares are -2.09 points down or -4.77% lower compared to its previous closing price of $43.84. The stock had 106957 contracts set over the past session. CSTL shares’ daily volume is compared to its average trading volume at 228703 shares. However, it has a float of 13.22 million and although its performance was 8.53% over the week, it’s one to watch. Analysts have given the CSTL stock a yearly average price target of $44.25 per share. It means the stock’s upside potential is 5.99% with the CSTL share price recently placing at $41.145 to $44.23. However, some brokerage firms have priced the stock below the average, including one that has called $41.
The shorts are running away from the Castle Biosciences, Inc. stock, with the latest data on short interest released on June 30, 2020, showing that short interest numbers in the CSTL shares have declined. Short interest in the stock represents just 9.62% of its float, but the volume has dropped by -163810. The volume of shorted shares dropped to 1.108 million from 1.272 million shares over the last two weeks. The average intraday trading volume has been 441891 shares, which means that days to cover moved to roughly 2.507062.
Looking at current readings, Castle Biosciences, Inc.’s two-week RSI is 56.76. This suggests that the stock is neutral at the moment and that CSTL shares’ price movement remains stable. The stochastic readings are equally revealing at 79.7% meaning the CSTL share price is currently in oversold territory.
The technical chart shows that the CSTL stock will likely settle at between $43.6 and $45.46 per share. However, if the stock dips below $40.52, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $39.29.
Currently, the stock is trading in the green of MACD, with a reading of 2.56. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.
Analysts at Canaccord Genuity though raised target price of CSTL stock from $34 to $35 but maintained Buy recommendation in their December 27 review. SVB Leerink analysts see the stock as a Outperform with a target price of $28 in a flash note released to investors on August 19 initiating covering the stock. Robert W. Baird analysts see the stock as Outperform when the analysts initiated the share price coverage on August 19, placing it at $27.
The average rating for the CSTL equity is 1 and is currently gathering a bullish momentum. Of 4 analysts tracking Castle Biosciences, Inc. polled by Reuters, 0 rated CSTL as a hold. The remaining 4 analysts were split evenly. However, the split wasn’t equal as a majority (4) rated it as a buy or strong buy. 0 analyst advised investors against buying the stock or to sell if they own any of the stock.
Elsewhere, the CSTL stocks P/S ratio currently stands at 647.1 above the group’s average of 57.5. Castle Biosciences, Inc. has its P/E ratio at 9.2, which means that the stock is currently trading at a premium relative to the 5.6 industry average.
Zacks Consensus Estimate forecasts that the current-quarter revenues for Castle Biosciences, Inc. (NASDAQ:CSTL) will decrease by about -99.95%, which will see them reach $9.05 million. The company’s full-year revenues are, however, expected to increase by about 20.8%, up from $51.87 million to $62.66 million. CSTL’s expected adjusted earnings should drop almost -63.81% to end up at -$0.38 per share, while for the fiscal year, analysts project the company’s earnings to grow by about 157.14% to record -$0.54/share.