Scotiabank analyst Sung Ji Nam maintains $Castle Biosciences (CSTL.US)$ with a buy rating, and adjusts the target price from $37 to $44.
According to TipRanks data, the analyst has a success rate of 49.0% and a total average return of -0.4% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Castle Biosciences (CSTL.US)$'s main analysts recently are as follows:
Castle Biosciences delivered robust financial performance with another quarter surpassing expectations and achieving GAAP profit for the second time in a row. The stock presents a favorable risk/reward scenario. There is a strong possibility that Medicare reimbursement for the company's squamous cell carcinoma test may be extended beyond the fourth quarter, as payment has been received for the test over the last two and a half years and the company has effectively gathered additional supporting evidence and data.
Castle Biosciences reported a solid third quarter, with revenues meeting expectations and encouraging operational expenditure leverage. The overall volume growth was noted, although dermatology volumes fell short of estimates due to seasonal factors. Additionally, TissueCypher continued to show impressive momentum.
The expectation for Castle Biosciences is that although the coverage determination for the SCC test will stay as a point of interest, the company is experiencing expansion in test volumes, notably in IDgenetix and TissueCypher. This expansion in test volumes has played a significant role in the company's robust quarterly performance and the subsequent elevation of its revenue forecast.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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