CSL Limited (CSL.AX) stock analysis

In our weekly check, CSL Limited is graded C (A to F). Of 23 checks on debt, profit, cash flow and trend: 14 pass, warnings: 3, red flags: 6.

About CSL Limited

CSL Limited is a Healthcare company (Biotechnology) based in Australia, listed on ASX as CSL.AX.

What our checks show for CSL.AX

Red flags

• The net margin fell by 37.9 points over 5 years, to -16.4%: the company keeps less of each sale as profit.
• The gross margin fell by 6.3 points, to 47.7%: costs are rising faster than prices.
• Earnings per share grew only 6.3% a year over the last 3 years.
• The company is losing money: the net margin is -16.4%.
• CSL Limited pays a dividend while losing money: it is funded from reserves or debt.
• The stock has fallen as much as 73% from a peak. Would you have held through that?

Warning signs

• Analysts expect only about 1.4% a year of growth in revenue.
• The price swings a lot: 37.4% annual volatility. Expect large ups and downs.
• The stock is still below its previous peak.

Strengths

• Operating profit covers interest 9.3 times over.
• Operating cash flow is 1.36x net profit: the profit arrives as real cash.
• Analysts expect the net margin to improve by 36.6 points from today's -16.4%.
• Free cash flow is 18.3% of revenue: cash for dividends, buybacks or growth.
• A large company: market value $66.43 billion.
• Beta 0.08: the stock usually moves less than the market.

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Questions

What grade does CSL Limited (CSL.AX) have?

In our weekly check, CSL Limited is graded C (A to F). Of 23 checks on debt, profit, cash flow and trend: 14 pass, warnings: 3, red flags: 6. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of CSL.AX stock?

This week's biggest flags for CSL Limited: Margins falling, Gross margin falling, Weak EPS growth. In total 9 of 23 checks show a warning or a red flag.

What does CSL Limited do?

CSL Limited is a Healthcare company (Biotechnology) based in Australia, listed on ASX as CSL.AX.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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