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The latest announcement is out from Castle Biosciences ( (CSTL) ).
Castle Biosciences reported first-quarter 2026 results on May 6, 2026, posting revenue of $83.7 million and a 36% year-over-year increase in test volumes for its core DecisionDx-Melanoma and TissueCypher assays, despite lower overall revenue than the prior-year period due to Medicare coverage changes and product discontinuation. The company highlighted stronger non-dermatologic test revenue, a 73% gross margin, a narrower net loss of $14.5 million, robust cash of $261.7 million, and raised its 2026 revenue guidance to $345-355 million, underpinned by new clinical data across melanoma, Barrett’s esophagus and atopic dermatitis that bolsters the clinical utility and adoption potential of its testing portfolio.
During the quarter ended March 31, 2026, Castle expanded evidence for DecisionDx-Melanoma’s ability to refine mortality risk and guide sentinel lymph node biopsy decisions, while new Mayo Clinic data showed TissueCypher improved risk stratification and real-world management in Barrett’s esophagus. The company also reported validation of its AdvanceAD-Tx test for predicting better responses to Janus kinase inhibitors in moderate-to-severe atopic dermatitis and undertook skin cancer awareness initiatives, moves that collectively strengthen its scientific credentials and market positioning in precision dermatology and gastroenterology.
The most recent analyst rating on (CSTL) stock is a Buy with a $40.00 price target. To see the full list of analyst forecasts on Castle Biosciences stock, see the CSTL Stock Forecast page.
Spark’s Take on CSTL Stock
According to Spark, TipRanks’ AI Analyst, CSTL is a Neutral.
The score is supported most by solid underlying financial strength (low leverage, improving cash generation, strong multi-year revenue growth) and a constructive earnings outlook for continued core-franchise growth. It is held back by inconsistent profitability/margin pressure and reimbursement-related uncertainty, alongside bearish technical momentum and limited valuation support due to losses and no dividend.
To see Spark’s full report on CSTL stock, click here.
More about Castle Biosciences
Castle Biosciences, Inc., based in Friendswood, Texas, is a diagnostics company focused on improving health through innovative genomic and molecular tests that guide patient care. Its core products include the DecisionDx-Melanoma skin cancer test and the TissueCypher Barrett’s Esophagus test, with a growing portfolio in dermatology, gastroenterology and atopic dermatitis, targeting personalized, risk-aligned clinical management.
Average Trading Volume: 355,872
Technical Sentiment Signal: Sell
Current Market Cap: $773.2M
See more data about CSTL stock on TipRanks’ Stock Analysis page.