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GRAIL

GRAL
25
Biotechnology · Healthcare
Price
$72.62
+0.66 (+0.92%)
Market Cap
$3.12B
Exchange
NASDAQ
Winston Score
25
Winston is worried
Below-average fundamentals — multiple weak pillars.

Share count rising — dilution

+18.4% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 31.1M (2021) → 36.8M (2025)

GRAIL, Inc., a biotechnology company, focuses on developing technologies for early cancer detection. The company develops Galleri, a screening test for asymptomatic individuals over 50 years of age; and DAC, a diagnostic aid for cancer tests to accelerate diagnostic resolution for patients for whom there is a clinical suspicion of cancer. It is also developing minimal residual disease and other post-diagnostic tests. The company was incorporated in 2015 and is based in Menlo Park, California. GR

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+28.1% YoY

YoY Growth Rate

Revenue accelerating

EPS Growth

+26.1% YoY

YoY Growth Rate

EPS growth accelerating

R&D Spend

$196M/ year

Declining (-39% vs prior year)

133.0% of revenue

7.4x the sector average (18%)

R&D spend declining — could signal cost-cutting or efficiency

Insider Activity

8.4%ownership

Declining

Insider ownership declining — could be dilution or selling

Cash Runway

~2 months

$69M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Short runway — potential dilution ahead through share issuance

Revenue accelerating

GRAIL grew revenue 28% year-over-year and the growth rate is speeding up. That's the kind of momentum growth investors look for — the question is whether margins can follow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Gross Margin
47.9%
Healthy — 47.9% gross margin
Operating Margin
-332.9%
Losing money on operations — -332.9%
ROCE
-5.3%
Weak — -5.3% return on capital

Negative ROIC means the business is losing money on every dollar invested in it.

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Growth

Sales YoY
+19.4%
Fast-growing sales (19.4% YoY)
EPS YoY
N/A
Data not available
EPS Consistency
0/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Cash Conversion
N/A
Data not available
FCF Margin
-187.7%
Burning cash (-187.7%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

Debt / Equity
0.02
Conservative — low debt load (0.02)
Interest Cover
N/A
Data not available

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Valuation

P/E Ratio (TTM)
N/M
Negative earnings — P/E not meaningful
P/E vs Forward
N/A
not available
Data not available

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Dividends

Not applicable for this business.
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