Quest Diagnostics (NYSE:DGX) Hits New 52-Week High After Better-Than-Expected Earnings

Quest Diagnostics Incorporated (NYSE:DGX) shares hit a new 52-week high during trading on Thursday following a stronger than expected earnings report. The company traded as high as $237.78 and last traded at $233.1380, with a volume of 522023 shares changing hands. The stock had previously closed at $209.83.

The medical research company reported $3.12 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.82 by $0.30. The firm had revenue of $3.04 billion for the quarter, compared to the consensus estimate of $2.97 billion. Quest Diagnostics had a net margin of 9.07% and a return on equity of 15.60%. The company’s quarterly revenue was up 10.2% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $2.62 EPS. Quest Diagnostics has set its FY 2026 guidance at 11.050-11.250 EPS.

Quest Diagnostics Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, July 22nd. Stockholders of record on Wednesday, July 8th were given a dividend of $0.86 per share. The ex-dividend date of this dividend was Wednesday, July 8th. This represents a $3.44 dividend on an annualized basis and a dividend yield of 1.5%. Quest Diagnostics’s dividend payout ratio is presently 38.01%.

Key Quest Diagnostics News

Here are the key news stories impacting Quest Diagnostics this week:

• Positive Sentiment: Quest Diagnostics beat Q2 expectations, reporting adjusted EPS of $3.12 versus estimates around $2.82-$2.81 and revenue of $3.04 billion versus about $2.97 billion expected, helped by stronger routine and preventive testing demand. Reuters article
• Positive Sentiment: The company raised its 2026 guidance, now expecting adjusted EPS of $11.05-$11.25 and revenue of $11.95 billion-$12.05 billion, both above prior expectations, which signals management sees the current demand strength continuing. Press release
• Positive Sentiment: Management and third-party coverage highlighted growing consumer interest in preventive health tests, suggesting Quest Diagnostics is benefiting from a favorable secular trend beyond one quarter’s results. Benzinga article
• Neutral Sentiment: Investors also focused on the Q2 earnings call transcript and presentation for details on margins, testing volumes, and the updated outlook, but the main takeaway remains the earnings beat and guidance raise. Earnings call transcript

Analyst Upgrades and Downgrades

A number of research firms have recently weighed in on DGX. Truist Financial raised their price objective on Quest Diagnostics from $220.00 to $225.00 and gave the stock a “hold” rating in a research report on Wednesday, April 22nd. Jefferies Financial Group reaffirmed a “buy” rating and set a $245.00 target price on shares of Quest Diagnostics in a research report on Thursday. Weiss Ratings upgraded Quest Diagnostics from a “buy (b)” rating to a “buy (b+)” rating in a research note on Thursday, July 9th. Evercore set a $225.00 price target on Quest Diagnostics in a report on Tuesday, April 21st. Finally, Robert W. Baird boosted their price target on Quest Diagnostics from $232.00 to $236.00 and gave the stock a “neutral” rating in a research note on Monday, July 13th. Six equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $224.36.

Insiders Place Their Bets

In related news, SVP Karthik Kuppusamy sold 8,147 shares of the firm’s stock in a transaction on Thursday, June 4th. The stock was sold at an average price of $200.00, for a total value of $1,629,400.00. Following the completion of the transaction, the senior vice president owned 13,510 shares in the company, valued at $2,702,000. This trade represents a 37.62% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO J. E. Davis sold 10,000 shares of Quest Diagnostics stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $194.14, for a total value of $1,941,400.00. Following the sale, the chief executive officer directly owned 132,423 shares of the company’s stock, valued at approximately $25,708,601.22. This represents a 7.02% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.88% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the company. Key Financial Inc boosted its position in Quest Diagnostics by 1,728.6% in the first quarter. Key Financial Inc now owns 128 shares of the medical research company’s stock valued at $25,000 after buying an additional 121 shares during the last quarter. Quattro Advisors LLC purchased a new stake in shares of Quest Diagnostics in the 4th quarter valued at $25,000. JFS Wealth Advisors LLC boosted its holdings in shares of Quest Diagnostics by 114.3% in the 4th quarter. JFS Wealth Advisors LLC now owns 150 shares of the medical research company’s stock valued at $26,000 after acquiring an additional 80 shares during the last quarter. DV Equities LLC acquired a new stake in shares of Quest Diagnostics in the fourth quarter worth $27,000. Finally, Sittner & Nelson LLC acquired a new stake in shares of Quest Diagnostics in the fourth quarter worth $29,000. 88.06% of the stock is currently owned by hedge funds and other institutional investors.

Quest Diagnostics Trading Up 8.4%

The company has a debt-to-equity ratio of 0.67, a current ratio of 1.18 and a quick ratio of 1.08. The company’s fifty day moving average is $202.40 and its 200-day moving average is $197.37. The stock has a market cap of $25.19 billion, a PE ratio of 25.14, a PEG ratio of 2.50 and a beta of 0.58.

Quest Diagnostics Company Profile

Quest Diagnostics (NYSE: DGX) is a leading provider of diagnostic information services that supports clinical decision-making for patients, physicians and healthcare organizations. The company operates a network of clinical laboratories and patient service centers that perform a broad range of laboratory tests and diagnostic assays used in routine care, disease diagnosis, monitoring and screening.

Its services span core clinical laboratory testing, anatomic pathology, molecular and genomic diagnostics, infectious disease testing and toxicology.