Quest Diagnostics (NYSE:DGX) Sets New 12-Month High on Strong Earnings

Quest Diagnostics Incorporated (NYSE:DGX) shares hit a new 52-week high on Thursday after the company announced better than expected quarterly earnings. 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 for the quarter, topping analysts’ consensus estimates of $2.82 by $0.30. Quest Diagnostics had a net margin of 9.07% and a return on equity of 15.60%. The business had revenue of $3.04 billion for the quarter, compared to analysts’ expectations of $2.97 billion. During the same period in the prior year, the company posted $2.62 EPS. The business’s revenue for the quarter was up 10.2% on a year-over-year basis. Quest Diagnostics has set its FY 2026 guidance at 11.050-11.250 EPS.

Quest Diagnostics Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, July 22nd. Shareholders of record on Wednesday, July 8th were issued a $0.86 dividend. The ex-dividend date of this dividend was Wednesday, July 8th. This represents a $3.44 dividend on an annualized basis and a yield of 1.5%. Quest Diagnostics’s dividend payout ratio (DPR) is 38.01%.

Quest Diagnostics News Summary

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

• Positive Sentiment: Quest Diagnostics beat Q2 estimates, reporting adjusted EPS of $3.12 versus consensus around $2.81-$2.82 and revenue of $3.04 billion versus expectations of about $2.97 billion. Quest Diagnostics Reports Second Quarter 2026 Financial Results; Raises Revenue and EPS Guidance for Full Year 2026
• Positive Sentiment: The company raised full-year 2026 guidance, now expecting adjusted EPS of $11.05-$11.25 and revenue of $11.95 billion-$12.05 billion, both above prior expectations. Quest Diagnostics raises annual forecast on testing demand
• Positive Sentiment: Quarterly revenue rose 10.2% year over year, helped by 10.0% organic growth, suggesting demand trends are still supportive for the core testing business. Transcript: Quest Diagnostics Q2 2026 Earnings Conference Call
• Neutral Sentiment: Multiple reports on the earnings release and conference call reinforced the same message: solid execution, stronger guidance, and positive management commentary. Quest Diagnostics: Q2 Earnings Snapshot
• Neutral Sentiment: DGX had been rising ahead of earnings as investors positioned for a possible beat, and the strong report appears to have validated that optimism. Quest Diagnostics Rallies Ahead of Earnings as Investors Weigh Growth Initiatives

Analyst Upgrades and Downgrades

DGX has been the topic of a number of research reports. Weiss Ratings upgraded Quest Diagnostics from a “buy (b)” rating to a “buy (b+)” rating in a report on Thursday, July 9th. Truist Financial boosted their target price 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 reissued a “buy” rating and issued a $225.00 target price on shares of Quest Diagnostics in a report on Tuesday, April 21st. Robert W. Baird raised their price target on Quest Diagnostics from $232.00 to $236.00 and gave the company a “neutral” rating in a research report on Monday, July 13th. Finally, Evercore set a $225.00 price target on Quest Diagnostics in a research note on Tuesday, April 21st. Six investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $220.73.

Insider Buying and Selling

In other Quest Diagnostics news, CEO J. E. Davis sold 10,000 shares of the stock in a transaction on Monday, June 1st. The stock was sold at an average price of $194.14, for a total transaction of $1,941,400.00. Following the sale, the chief executive officer owned 132,423 shares in the company, valued at approximately $25,708,601.22. This represents a 7.02% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, 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 transaction, the senior vice president directly owned 13,510 shares of the company’s stock, valued at $2,702,000. The trade was a 37.62% 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. Company insiders own 0.88% of the company’s stock.

Institutional Trading of Quest Diagnostics

A number of large investors have recently made changes to their positions in the stock. Assenagon Asset Management S.A. raised its stake in shares of Quest Diagnostics by 346.5% during the fourth quarter. Assenagon Asset Management S.A. now owns 24,949 shares of the medical research company’s stock valued at $4,329,000 after purchasing an additional 19,361 shares during the period. Davis Selected Advisers boosted its stake in shares of Quest Diagnostics by 16.8% in the fourth quarter. Davis Selected Advisers now owns 1,589,883 shares of the medical research company’s stock valued at $275,895,000 after purchasing an additional 228,271 shares during the period. Capital Management Associates Inc purchased a new position in shares of Quest Diagnostics in the fourth quarter valued at $1,024,000. SG Americas Securities LLC grew its holdings in Quest Diagnostics by 694.2% during the 4th quarter. SG Americas Securities LLC now owns 179,653 shares of the medical research company’s stock valued at $31,175,000 after purchasing an additional 157,031 shares in the last quarter. Finally, ANTIPODES PARTNERS Ltd grew its holdings in Quest Diagnostics by 178.7% during the 4th quarter. ANTIPODES PARTNERS Ltd now owns 171,987 shares of the medical research company’s stock valued at $29,847,000 after purchasing an additional 110,280 shares in the last quarter. Institutional investors and hedge funds own 88.06% of the company’s stock.

Quest Diagnostics Price Performance

The company has a current ratio of 1.18, a quick ratio of 1.08 and a debt-to-equity ratio of 0.67. The stock has a market cap of $25.90 billion, a PE ratio of 25.85, a P/E/G ratio of 2.46 and a beta of 0.58. The company’s 50 day moving average is $201.60 and its 200-day moving average is $196.99.

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.