Quest Diagnostics Incorporated (NYSE:DGX) shares reached a 52-week high, touching $161.1 amid a year that has seen the company's stock value climb significantly. The diagnostic information services provider has experienced a notable 21.39% increase in stock price over the past year, reflecting investor confidence and a strong performance in the healthcare sector. This recent peak represents a key milestone for Quest Diagnostics as it continues to expand its services and capitalize on the growing demand for diagnostic testing and health data analytics.
In other recent news, Quest Diagnostics reported a robust third quarter with revenues reaching $2.49 billion, an 8.5% increase year-over-year, fueled by both organic growth and strategic acquisitions, including LifeLabs. The company provided upbeat full-year 2024 guidance with projected revenues between $9.8 billion and $9.85 billion and adjusted earnings per share (EPS) of $8.85 to $8.95. In the realm of analyst updates, Baird upgraded Quest Diagnostics stock from Neutral to Outperform, while Leerink Partners increased their price target to $165 from $160.
Quest Diagnostics has been awarded contracts by the U.S. Centers for Disease Control and Prevention (CDC) to enhance preparedness for avian influenza and Oropouche viruses. The company is set to introduce a molecular laboratory test to detect the avian influenza A H5 virus in people suspected of infection. Additionally, Quest is developing diagnostics for the Oropouche virus, an emerging virus in the Americas.
These are among the recent developments surrounding Quest Diagnostics. The company continues to make strides in its market presence, notably through the acquisition of LifeLabs which expanded its footprint in the Canadian market. Management's preliminary commentary for fiscal year 2025 sets a solid baseline against multi-year targets, with the company's pace of deal-making and high single-digit EPS growth seen as reasonable expectations for the future.
InvestingPro Insights
Quest Diagnostics' recent 52-week high aligns with several positive indicators from InvestingPro data. The company's stock has shown impressive momentum, with a 22.57% total return over the past year and an 18.07% return year-to-date. This performance is supported by solid fundamentals, including a revenue of $9.54 billion in the last twelve months and an EBITDA growth of 6.05% over the same period.
InvestingPro Tips highlight Quest Diagnostics' financial stability and shareholder-friendly policies. The company has maintained dividend payments for 21 consecutive years and has raised its dividend for 13 consecutive years, demonstrating a commitment to returning value to shareholders. Additionally, management has been aggressively buying back shares, which often signals confidence in the company's future prospects.
For investors seeking more comprehensive analysis, InvestingPro offers 10 additional tips for Quest Diagnostics, providing deeper insights into the company's financial health and market position.
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