BioNexus Gene Lab (NASDAQ:BGLC) and Quest Diagnostics (NYSE:DGX) Critical Comparison

Quest Diagnostics (NYSE:DGX) and BioNexus Gene Lab (NASDAQ:BGLC) are both medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, profitability, analyst recommendations, dividends, institutional ownership, valuation and risk.

Earnings & Valuation

This table compares Quest Diagnostics and BioNexus Gene Lab’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Quest Diagnostics	$9.25 billion	1.59	$854.00 million	$7.49	17.73
BioNexus Gene Lab	$10.93 million	1.01	-$360,000.00	($0.02)	-31.17

Quest Diagnostics has higher revenue and earnings than BioNexus Gene Lab. BioNexus Gene Lab is trading at a lower price-to-earnings ratio than Quest Diagnostics, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

88.1% of Quest Diagnostics shares are owned by institutional investors. Comparatively, 18.9% of BioNexus Gene Lab shares are owned by institutional investors. 0.7% of Quest Diagnostics shares are owned by company insiders. Comparatively, 6.8% of BioNexus Gene Lab shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent recommendations for Quest Diagnostics and BioNexus Gene Lab, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Quest Diagnostics	0	9	2	0	2.18
BioNexus Gene Lab	0	0	0	0	N/A

Quest Diagnostics presently has a consensus price target of $144.18, suggesting a potential upside of 8.59%. Given Quest Diagnostics’ higher possible upside, equities analysts clearly believe Quest Diagnostics is more favorable than BioNexus Gene Lab.

Profitability

This table compares Quest Diagnostics and BioNexus Gene Lab’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Quest Diagnostics	9.23%	15.79%	7.40%
BioNexus Gene Lab	-29.92%	-42.85%	-34.09%

Summary

Quest Diagnostics beats BioNexus Gene Lab on 11 of the 12 factors compared between the two stocks.

About Quest Diagnostics

Quest Diagnostics Incorporated provides diagnostic testing and services in the United States and internationally. The company develops and delivers diagnostic information services, such as routine, non-routine and advanced clinical testing, anatomic pathology testing, and other diagnostic information services. It offers diagnostic information services primarily under the Quest Diagnostics brand, as well as under the AmeriPath, Dermpath Diagnostics, ExamOne, and Quanum brands to physicians, hospitals, patients and consumers, health plans, government agencies, employers, retailers, pharmaceutical companies and insurers, and accountable care organizations through a network of laboratories, patient service centers, phlebotomists in physician offices, call centers and mobile phlebotomists, nurses, and other health and wellness professionals. The company also provides risk assessment services for the life insurance industry; and healthcare organizations and clinicians information technology solutions. Quest Diagnostics Incorporated was founded in 1967 and is headquartered in Secaucus, New Jersey.

About BioNexus Gene Lab

BioNexus Gene Lab Corp., through its subsidiary, Chemrex Corporation Sdn. Bhd., engages in the wholesale of chemical raw material products in Malaysia, Indonesia, Vietnam, and other countries in Southeast Asia. Its chemical raw material products used to produce handrails, bench tops, automotive and aero parts, cleanroom panels, and instruments. The company, through its subsidiary, BioNexus Gene Lab Sdn. Bhd, is also involved in developing and providing non-invasive liquid biopsy tests for the early detection of biomarkers. The company was incorporated in 2017 and is based in Kuala Lumpur, Malaysia.