Castle Biosciences Q2 Earnings Preview: Analysts Expect $-0.50 EPS

Castle Biosciences is set to announce its quarterly earnings on Monday, August 4, 2025. Analysts predict an EPS of $-0.50. The company's EPS missed by $0.13 in the last quarter, leading to an 11.36% drop in share price. Shares are currently trading at $15.15, down 32.04% over the last 52-week period.

Castle Biosciences, Inc. (CSTL) is scheduled to release its quarterly earnings on Monday, August 4, 2025. Analysts are forecasting an earnings per share (EPS) of $-0.50 for the company, which specializes in developing and commercializing diagnostic and prognostic tests for dermatologic cancers.

The company's EPS missed by $0.13 in the last quarter, resulting in an 11.36% drop in share price. As of July 31, 2025, shares of Castle Biosciences were trading at $15.15, down 32.04% over the last 52-week period [2].

Wall Street expects a year-over-year decline in earnings on lower revenues when Castle Biosciences reports results for the quarter ended June 2025. The consensus estimate is for a quarterly loss of $0.51 per share, representing a year-over-year change of -264.5%. Revenues are expected to be $73.89 million, down 15.1% from the year-ago quarter [3].

The upcoming earnings report is critical for assessing Castle Biosciences' future prospects. Despite the anticipated decline in earnings, the company's financial stability is indicated by a low debt-to-equity ratio of 0.06 and a strong current ratio of 9.37. Investors are also paying attention to the company's price-to-sales ratio of 1.26, which suggests some level of confidence in its revenue-generating potential [4].

The earnings report, which is expected to be released on August 4, might help the stock move higher if the actual results are better than expectations. However, if they miss, the stock may move lower. Management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations [3].

Investors should keep in mind that an aggregate change in estimate revisions may not always reflect the direction of estimate revisions by each of the covering analysts. The Zacks Earnings ESP (Expected Surprise Prediction) model suggests that a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only [3].

Castle Biosciences doesn't appear to be a compelling earnings-beat candidate based on the Earnings ESP and Zacks Rank. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Expected Results of an Industry Player Moderna (MRNA), another stock in the Zacks Medical - Biomedical and Genetics industry, is expected to report a loss per share of $2.99 for the quarter ended June 2025. This estimate points to a year-over-year change of +10.2%. Revenues for the quarter are expected to be $127.17 million, down 47.2% from the year-ago quarter. The consensus EPS estimate for Moderna has been revised 1.4% lower over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +7.22%. This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that Moderna will most likely beat the consensus EPS estimate [3].

References:
[1] https://cbonds.com/news/3522267/
[2] https://www.benzinga.com/insights/earnings/25/08/46807501/examining-the-future-castle-biosciencess-earnings-outlook
[3] https://finance.yahoo.com/news/earnings-preview-castle-biosciences-inc-140010875.html
[4] https://site.financialmodelingprep.com/market-news/castle-biosciences-earnings-preview-financial-outlook