Company Overview - Phreesia, Inc. is a healthcare technology company focused on patient intake and engagement, aiming to enhance the patient experience and healthcare outcomes [1] Financial Performance - Phreesia's Return on Invested Capital (ROIC) is 0.52%, which is significantly lower than its Weighted Average Cost of Capital (WACC) of 7.01%, indicating inefficiency in capital utilization [2][6] - The ROIC to WACC ratio for Phreesia is 0.074, further highlighting its challenges in generating returns above its cost of capital [2][6] Peer Comparison - Health Catalyst has a negative ROIC of -16.99% against a WACC of 6.57%, resulting in a ROIC to WACC ratio of -2.59, indicating worse performance than Phreesia [3] - Veracyte has a ROIC of 0.99% and a WACC of 13.50%, with a ROIC to WACC ratio of 0.073, suggesting it also struggles to generate sufficient returns, but is noted for having the highest growth potential among peers [4][6] - Accolade, Castle Biosciences, and Personalis all report negative ROICs of -31.79%, -4.28%, and -30.51% respectively, with their WACCs at 10.94%, 8.83%, and 11.72%, indicating significant challenges in generating returns above their cost of capital [5]

Core Viewpoint - Castle Biosciences, Inc. (CSTL) is expected to report a year-over-year decline in earnings and revenues for the quarter ended September 2025, with a consensus outlook indicating a quarterly loss of $0.34 per share and revenues of $71.3 million, down 16.9% from the previous year [1][3]. Earnings Expectations - The upcoming earnings report is anticipated to be released on November 3, and the stock may experience price movement based on whether the actual results exceed or fall short of expectations [2]. - The consensus EPS estimate has remained unchanged over the last 30 days, indicating stability in analyst expectations [4]. Earnings Surprise Prediction - The Most Accurate Estimate for Castle Biosciences aligns with the Zacks Consensus Estimate, resulting in an Earnings ESP of 0%, suggesting no recent differing analyst views [12]. - Despite the Earnings ESP of 0%, the stock holds a Zacks Rank of 1 (Strong Buy), which typically indicates a higher likelihood of an earnings beat [12]. Historical Performance - In the last reported quarter, Castle Biosciences was expected to post a loss of $0.51 per share but instead reported earnings of $0.15, resulting in a surprise of +129.41% [14]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [15]. Industry Context - In the broader Zacks Medical - Biomedical and Genetics industry, Biogen Inc. (BIIB) is expected to report earnings of $3.89 per share for the same quarter, reflecting a year-over-year change of -4.7% and revenues of $2.34 billion, down 5.1% from the previous year [19][20].

Core Insights - Castle Biosciences announced new data showing that its TissueCypher® Barrett's Esophagus test provides risk insights beyond pathology, aiding in clinical management and supporting earlier interventions for patients at higher risk of progression to esophageal cancer [1][2] Group 1: Research Findings - The TissueCypher test identifies patients at higher risk of progression to esophageal cancer, which may be missed when relying solely on pathology [2] - New data from case studies indicate that TissueCypher returned high-risk results with five-year probabilities of progression to high-grade dysplasia (HGD) or esophageal adenocarcinoma (EAC) of 34% and 62%, respectively, which are higher than the published rates of progression from HGD to EAC (33% over five years) [6] - In a study involving patients with non-dysplastic Barrett's esophagus (NDBE), TissueCypher identified high-risk patients with five-year probabilities of progression to HGD/EAC of 43% and 45%, leading to earlier interventions [6][13] Group 2: Clinical Impact - The TissueCypher test influenced clinical management in 93% of cases in a rural Texas study, allowing for timely interventions for higher-risk patients while reducing unnecessary procedures for lower-risk patients [13] - The test's ability to provide individualized risk stratification supports more personalized decisions around surveillance and intervention, potentially reducing the risk of progression to esophageal cancer [2][6] Group 3: Recognition and Presentation - The research findings will be presented at the American College of Gastroenterology (ACG) 2025 Annual Scientific Meeting, with one abstract selected for a Presidential Poster Award, highlighting the quality and significance of the research [2][4] - A total of more than 6,400 scientific abstracts will be presented at the ACG 2025, with only a small percentage receiving the Presidential Poster Award [2] Group 4: About TissueCypher - The TissueCypher Barrett's Esophagus test is designed to predict future development of HGD and/or EAC in patients with Barrett's esophagus, and has been supported by 14 peer-reviewed publications [8] - The test received Advanced Diagnostic Laboratory Test (ADLT) status from the Centers for Medicare & Medicaid Services (CMS) in March 2022, indicating its clinical significance [8] Group 5: Company Overview - Castle Biosciences is a leading diagnostics company focused on improving health through innovative tests that guide patient care, with a portfolio that includes tests for skin cancers, Barrett's esophagus, and uveal melanoma [9][10] - The company is actively engaged in research and development for tests addressing high clinical needs, including a test for moderate-to-severe atopic dermatitis [10]

Core Insights - Castle Biosciences is presenting data on its DecisionDx®-Melanoma test and pipeline atopic dermatitis gene expression profile test at the 25th Annual Fall Clinical Dermatology Conference [1] - The DecisionDx-Melanoma test has shown clinically significant risk stratification across various histological subtypes of melanoma, confirming its clinical value [2][4] - The pipeline atopic dermatitis test aims to improve treatment decision-making by classifying patients based on their underlying disease biology [5] DecisionDx-Melanoma Insights - The DecisionDx-Melanoma test utilizes a 31-gene expression profile to stratify melanoma-specific survival across different tumor subtypes, demonstrating significant differences in five-year survival rates [4][6] - In a cohort of 13,560 patients, five-year melanoma-specific survival was 98.5% for Class 1A (lowest risk) and 82.3% for Class 2B (highest risk) patients with nodular melanoma [4] - The test can identify early-stage melanoma patients at higher risk of distant metastasis, with Class 2B patients showing significantly higher rates of metastasis compared to Class 1A patients [4] Atopic Dermatitis Pipeline Insights - The pipeline atopic dermatitis test classifies patients into Th2 Molecular Profile or JAKi Responder Profile, aiming to guide systemic therapy selection [5] - Data indicates that patients with a JAKi responder profile experience rapid and deep responses to JAK inhibitors, potentially improving treatment outcomes [5] - The test seeks to shift atopic dermatitis care from trial-and-error prescribing to more personalized treatment approaches, enhancing patient satisfaction and reducing healthcare costs [5] Company Overview - Castle Biosciences is a diagnostics company focused on innovative tests that guide patient care, with a portfolio that includes tests for skin cancers and other diseases [7][8] - The company has conducted over 210,000 orders for the DecisionDx-Melanoma test, indicating strong market adoption and clinical relevance [6]

Core Viewpoint - Castle Biosciences, Inc. (CSTL) shows potential for significant upside, with a mean price target of $35.63 indicating a 50.1% increase from the current price of $23.74 [1] Price Targets - The average price target consists of eight estimates ranging from $30.00 to $41.00, with a standard deviation of $3.54, suggesting a consensus among analysts [2] - The lowest estimate indicates a 26.4% increase, while the highest suggests a 72.7% upside [2] - A low standard deviation indicates a high degree of agreement among analysts regarding price movement [9] Analyst Sentiment - Analysts have shown increasing optimism about CSTL's earnings prospects, with a strong agreement in revising EPS estimates higher, which correlates with potential stock price increases [11] - Over the last 30 days, one estimate has increased, leading to a 1.5% rise in the Zacks Consensus Estimate [12] Zacks Rank - CSTL holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate factors, indicating strong potential for near-term upside [13] Conclusion on Price Movement - While the consensus price target may not reliably indicate the extent of potential gains, it does provide a useful guide for the direction of price movement [14]

Core Viewpoint - Castle Biosciences, Inc. (CSTL) has received a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [1][4]. Earnings Estimates and Ratings - The Zacks rating system is primarily based on a company's changing earnings picture, specifically the Zacks Consensus Estimate for EPS from sell-side analysts [2]. - The Zacks rating upgrade reflects optimism about Castle Biosciences' earnings outlook, which is expected to lead to increased buying pressure and a rise in stock price [4][6]. Impact of Earnings Revisions - Changes in a company's future earnings potential, as shown by earnings estimate revisions, are strongly correlated with near-term stock price movements, influenced by institutional investors [5]. - Rising earnings estimates for Castle Biosciences indicate an improvement in the company's underlying business, which should positively affect its stock price [6]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [8]. - Castle Biosciences' upgrade to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [11]. Recent Earnings Estimate Revisions - For the fiscal year ending December 2025, Castle Biosciences is expected to earn -$0.64 per share, unchanged from the previous year, but the Zacks Consensus Estimate has increased by 72.1% over the past three months [9].

Core Insights - Castle Biosciences, Inc. will release its financial results for Q3 and the nine months ended September 30, 2025, on November 3, 2025, after market close [1] - A conference call and webcast will be held on the same day at 4:30 p.m. Eastern time to discuss the financial results [1] Company Overview - Castle Biosciences is a leading diagnostics company focused on improving health through innovative tests that guide patient care [4] - The company aims to transform disease management by prioritizing patients, clinicians, employees, and investors [4] Product Portfolio - Castle's current portfolio includes tests for skin cancers, Barrett's esophagus, and uveal melanoma [5] - The company is also engaged in R&D for tests addressing high clinical needs, including a test for guiding systemic therapy selection for patients with moderate-to-severe atopic dermatitis [5] Conference Call Details - A live webcast of the conference call can be accessed through the company's Investor Relations page [2] - For phone access, dial 1 833 470 1428 from the U.S. with access code 735311, and international numbers are available [3] - A brief Q&A session will follow the management commentary during the call [3]

Core Insights - Derek Maetzold, founder and CEO of Castle Biosciences, has been awarded CEO of the Year by The CEO Magazine, recognizing his impactful leadership and innovation in the diagnostics field [3][5]. Company Overview - Castle Biosciences, Inc. is a leading diagnostics company focused on improving health through innovative tests that guide patient care, with a mission to prioritize patients, clinicians, employees, and investors [6]. - The company has developed a portfolio of proprietary tests addressing critical challenges in skin cancers, Barrett's esophagus, and uveal melanoma, and is actively engaged in R&D for additional tests in high clinical need areas [7]. Leadership Recognition - Maetzold was selected as one of 10 finalists from a pool of 586 applicants for the Executive of the Year Awards, highlighting his visionary leadership and the company's growth from a startup to a recognized innovator in diagnostics [5]. - Under Maetzold's leadership, Castle has fostered a people-first culture, earning recognition as a Top Workplace USA for four consecutive years based on employee feedback [4].

Core Insights - Castle Biosciences, Inc. has been recognized as a Greater Pittsburgh Top Workplace for 2025 based on anonymous employee feedback, reflecting high employee satisfaction and engagement [1][2] - The company has received a total of nine Top Workplaces accolades in 2025, highlighting its strong workplace culture [2][8] Company Overview - Castle Biosciences is a diagnostics company focused on improving health through innovative tests that guide patient care, with a mission to transform disease management [4] - The company's current portfolio includes tests for skin cancers, Barrett's esophagus, and uveal melanoma, along with ongoing research for additional tests in high clinical need areas [5] Awards and Recognition - Castle Biosciences has achieved multiple awards, including Top Workplaces USA for four consecutive years and third place in the Top Workplaces Healthcare Industry category for 2025 [8] - The company has also received five Top Workplaces Culture Excellence Awards in various categories such as Innovation and Work-Life Flexibility [8]

Core Insights - Castle Biosciences, Inc. has been recognized in Newsweek's inaugural 2025 America's Greatest Companies list, highlighting its strong performance in financial strength, workforce dedication, innovation, and commitment to environmental sustainability and corporate ethics [1][2] Company Overview - Castle Biosciences is a leading diagnostics company focused on improving health through innovative tests that guide patient care, with a mission to prioritize patients, clinicians, employees, and investors [3] Product Portfolio - The company's current portfolio includes tests for skin cancers, Barrett's esophagus, and uveal melanoma, along with ongoing research and development programs for additional tests addressing high clinical needs, such as a test for guiding systemic therapy selection in patients with moderate-to-severe atopic dermatitis [4]