Castle Biosciences Inc (CSTL)vsWaters Corporation (WAT)
CSTL
Castle Biosciences Inc
$35.81
+1.76%
HEALTHCARE · Cap: $1.06B
WAT
Waters Corporation
$433.54
+0.75%
HEALTHCARE · Cap: $41.62B
Smart Verdict
WallStSmart Research — data-driven comparison
Waters Corporation generates 1200% more annual revenue ($4.64B vs $357.28M). WAT leads profitability with a 3.6% profit margin vs -5.4%. WAT earns a higher WallStSmart Score of 45/100 (D+).
CSTL
Avoid34
out of 100
Grade: F
WAT
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+58.2%
Fair Value
$77.31
Current Price
$35.81
$41.50 discount
Margin of Safety
-45.9%
Fair Value
$225.66
Current Price
$433.54
$207.88 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Revenue surging 20.1% year-over-year
Revenue surging 113.4% year-over-year
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Areas to Watch
Smaller company, higher risk/reward
Weak financial health signals
ROE of -4.1% — below average capital efficiency
Earnings declined 51.6%
Expensive relative to growth rate
ROE of 1.1% — below average capital efficiency
3.6% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : CSTL
The strongest argument for CSTL centers on Debt/Equity, Altman Z-Score, Price/Book. Revenue growth of 20.1% demonstrates continued momentum.
Bull Case : WAT
The strongest argument for WAT centers on Revenue Growth, Altman Z-Score, Price/Book. Revenue growth of 113.4% 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, Return on Equity, Profit Margin. A P/E of 107.0x leaves little room for execution misses. Thin 3.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
CSTL profiles as a growth stock while WAT is a hypergrowth play — different risk/reward profiles.
WAT carries more volatility with a beta of 1.19 — expect wider price swings.
WAT is growing revenue faster at 113.4% — sustainability is the question.
WAT generates stronger free cash flow (153M), providing more financial flexibility.
Bottom Line
WAT scores higher overall (45/100 vs 34/100) and 113.4% revenue growth. CSTL offers better value entry with a 58.2% margin of safety. Both earn "Hold" 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 pioneering diagnostics firm that enhances patient care through advanced gene-expression profiling tests, particularly within the skin cancer sector, exemplified by its flagship product, DecisionDx®-Melanoma. This innovative test offers essential insights for risk stratification, enabling oncologists to make informed treatment decisions in managing melanoma. With a strong focus on precision medicine, coupled with an extensive research and development strategy, Castle Biosciences is poised for growth as it seeks to expand its offerings and meet critical clinical demands. By addressing the complexities inherent in oncology, the company not only aims to improve patient outcomes but also to generate substantial value for its investors.
Visit Website →Waters Corporation
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Waters Corporation is a publicly traded Analytical Laboratory instrument and software company headquartered in Milford, Massachusetts.
Compare with Other DIAGNOSTICS & RESEARCH Stocks
Want to dig deeper into these stocks?