Labcorp (NYSE:LH) Releases FY 2026 Earnings Guidance

Labcorp (NYSE:LH) updated its FY 2026 earnings guidance on Thursday morning. The company provided earnings per share guidance of 18.100-18.550 for the period, compared to the consensus estimate of 17.990. The company issued revenue guidance of $14.7 billion-$14.8 billion, compared to the consensus revenue estimate of $14.7 billion.

Labcorp Stock Down 1.2%

NYSE LH traded down $3.91 during trading hours on Friday, reaching $311.62. 472,958 shares of the company’s stock were exchanged, compared to its average volume of 688,623. The company has a debt-to-equity ratio of 0.68, a quick ratio of 1.54 and a current ratio of 1.73. The company has a market capitalization of $25.55 billion, a price-to-earnings ratio of 27.59, a price-to-earnings-growth ratio of 2.04 and a beta of 0.89. The company’s 50-day moving average is $273.73 and its two-hundred day moving average is $270.74. Labcorp has a one year low of $244.52 and a one year high of $316.11.

Labcorp (NYSE:LH) last issued its quarterly earnings data on Thursday, July 30th. The medical research company reported $4.99 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.78 by $0.21. The company had revenue of $3.73 billion during the quarter, compared to the consensus estimate of $3.71 billion. Labcorp had a net margin of 6.66% and a return on equity of 16.29%. The firm’s revenue was up 5.8% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $4.35 earnings per share. Labcorp has set its FY 2026 guidance at 18.100-18.550 EPS. On average, analysts forecast that Labcorp will post 18 EPS for the current fiscal year.

Labcorp Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, September 11th. Investors of record on Friday, August 28th will be given a $0.72 dividend. The ex-dividend date of this dividend is Friday, August 28th. This represents a $2.88 dividend on an annualized basis and a yield of 0.9%. Labcorp’s dividend payout ratio (DPR) is 25.51%.

Analysts Set New Price Targets

Several brokerages have recently weighed in on LH. Bank of America raised their price objective on Labcorp from $300.00 to $320.00 and gave the company a “buy” rating in a report on Monday, July 13th. Wall Street Zen upgraded Labcorp from a “hold” rating to a “buy” rating in a report on Sunday, July 12th. Barclays increased their price target on Labcorp from $290.00 to $320.00 and gave the company an “equal weight” rating in a research report on Thursday. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $306.00 price target on shares of Labcorp in a research report on Friday. Finally, Truist Financial upped their price objective on Labcorp from $320.00 to $350.00 and gave the stock a “buy” rating in a research note on Friday. Nine research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $323.27.

Insider Transactions at Labcorp

In other news, EVP Bryan T. Vaughn sold 234 shares of the company’s stock in a transaction dated Thursday, July 2nd. The shares were sold at an average price of $286.19, for a total value of $66,968.46. Following the sale, the executive vice president directly owned 6,746 shares of the company’s stock, valued at approximately $1,930,637.74. This represents a 3.35% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Adam H. Schechter sold 5,903 shares of Labcorp stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $254.50, for a total value of $1,502,313.50. Following the transaction, the chief executive officer owned 107,234 shares of the company’s stock, valued at $27,291,053. The trade was a 5.22% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 6,991 shares of company stock worth $1,796,696 in the last ninety days. Insiders own 0.84% of the company’s stock.

Key Headlines Impacting Labcorp

Here are the key news stories impacting Labcorp this week:

• Positive Sentiment: Quarterly results exceeded estimates. Labcorp reported adjusted earnings of $4.99 per share, above the $4.78 consensus, while revenue rose 5.8% year over year to $3.73 billion, topping expectations of approximately $3.71 billion. Diagnostics revenue increased 5.5%, and Biopharma Laboratory Services revenue grew 6.5%. Reuters article
• Positive Sentiment: Full-year guidance was raised. Labcorp now expects fiscal 2026 adjusted EPS of $18.10 to $18.55, above the roughly $17.99 analyst consensus, with revenue guidance of approximately $14.71 billion to $14.83 billion. Management cited steady diagnostic-testing demand and growth in drug-development services. Labcorp second-quarter results
• Positive Sentiment: Analyst sentiment improved. Truist Financial raised its price target from $320 to $350 and upgraded Labcorp to a “buy” rating, implying additional upside based on the cited reference price. TickerReport analyst action
• Neutral Sentiment: Labcorp authorized an additional $1 billion for share repurchases and bought back approximately $353.8 million of stock during the quarter, which may support per-share earnings and shareholder returns over time.
• Negative Sentiment: The stock sold off despite the beat. The reaction suggests investors may have already priced in strong results, while the reported outlook and revenue growth may not have been sufficient to meet heightened expectations following Labcorp’s recent rally toward its 52-week high. Zacks earnings reaction
• Negative Sentiment: Reported insider activity was net negative: the available data showed 14 insider sales and no purchases during the past six months. While these transactions may be routine, they can add to investor caution.

Institutional Trading of Labcorp

Hedge funds have recently modified their holdings of the stock. Wellington Management Group LLP raised its holdings in Labcorp by 15.9% in the 3rd quarter. Wellington Management Group LLP now owns 2,105,791 shares of the medical research company’s stock valued at $604,488,000 after acquiring an additional 289,029 shares during the period. Marshall Wace LLP grew its position in shares of Labcorp by 79.1% in the third quarter. Marshall Wace LLP now owns 623,550 shares of the medical research company’s stock valued at $178,996,000 after purchasing an additional 275,454 shares during the last quarter. Millennium Management LLC grew its position in shares of Labcorp by 2,491.3% in the fourth quarter. Millennium Management LLC now owns 277,323 shares of the medical research company’s stock valued at $69,575,000 after purchasing an additional 266,621 shares during the last quarter. Woodline Partners LP increased its stake in shares of Labcorp by 598.1% during the third quarter. Woodline Partners LP now owns 287,146 shares of the medical research company’s stock worth $82,428,000 after purchasing an additional 246,014 shares during the period. Finally, JPMorgan Chase & Co. increased its stake in shares of Labcorp by 19.8% during the fourth quarter. JPMorgan Chase & Co. now owns 1,287,177 shares of the medical research company’s stock worth $322,927,000 after purchasing an additional 213,136 shares during the period. Institutional investors and hedge funds own 95.94% of the company’s stock.

Labcorp Company Profile

Laboratory Corporation of America Holdings, commonly known as Labcorp (NYSE: LH), is a global life sciences company that provides comprehensive clinical laboratory and drug development services. The company operates a broad network of laboratories, patient service centers and specialty testing sites to deliver diagnostic information and testing solutions that support patient care, clinical decision-making and population health initiatives.

Labcorp’s core businesses encompass clinical laboratory testing and pharmaceutical development services.