Quest Diagnostics (NYSE:DGX) Releases FY23 Earnings Guidance

Quest Diagnostics (NYSE:DGX – Get Rating) updated its FY23 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of $8.40-9.00 for the period, compared to the consensus estimate of $8.71. The company issued revenue guidance of $8.83 billion to $9.03 billion, compared to the consensus revenue estimate of $8.98 billion.

Analysts Set New Price Targets

Several research firms have recently commented on DGX. Credit Suisse Group upped their price target on shares of Quest Diagnostics from $143.00 to $146.00 and gave the company a neutral rating in a research report on Wednesday, January 25th. Truist Financial reduced their price target on shares of Quest Diagnostics from $170.00 to $160.00 and set a hold rating for the company in a research report on Friday. Robert W. Baird upped their price target on shares of Quest Diagnostics from $143.00 to $154.00 and gave the company a neutral rating in a research report on Thursday, January 12th. Morgan Stanley increased their target price on shares of Quest Diagnostics from $146.00 to $158.00 and gave the stock an equal weight rating in a report on Friday, January 6th. Finally, Wells Fargo & Company increased their target price on shares of Quest Diagnostics from $135.00 to $140.00 and gave the stock an equal weight rating in a report on Friday, February 3rd. One analyst has rated the stock with a sell rating, seven have given a hold rating and three have assigned a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of Hold and a consensus price target of $150.91.

Quest Diagnostics Trading Down 1.8 %

DGX stock opened at $131.53 on Friday. Quest Diagnostics has a 1-year low of $120.40 and a 1-year high of $158.34. The company has a debt-to-equity ratio of 0.67, a current ratio of 1.22 and a quick ratio of 1.10. The company has a market capitalization of $14.64 billion, a price-to-earnings ratio of 16.61 and a beta of 0.95. The business has a 50 day simple moving average of $143.40 and a two-hundred day simple moving average of $141.05.

Quest Diagnostics (NYSE:DGX – Get Rating) last posted its quarterly earnings results on Thursday, February 2nd. The medical research company reported $1.98 earnings per share for the quarter, topping the consensus estimate of $1.90 by $0.08. The business had revenue of $2.33 billion during the quarter, compared to the consensus estimate of $2.26 billion. Quest Diagnostics had a return on equity of 18.84% and a net margin of 9.57%. The firm’s revenue for the quarter was down 15.0% compared to the same quarter last year. During the same period in the prior year, the company posted $3.33 EPS. Research analysts anticipate that Quest Diagnostics will post 8.69 EPS for the current fiscal year.

Quest Diagnostics Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, April 24th. Stockholders of record on Monday, April 10th will be given a dividend of $0.71 per share. This is an increase from Quest Diagnostics’s previous quarterly dividend of $0.66. This represents a $2.84 dividend on an annualized basis and a dividend yield of 2.16%. The ex-dividend date is Thursday, April 6th. Quest Diagnostics’s dividend payout ratio is currently 33.33%.

Quest Diagnostics declared that its board has approved a share repurchase plan on Thursday, February 2nd that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the medical research company to purchase up to 6% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board believes its shares are undervalued.

Insider Activity

In other news, SVP Michael E. Prevoznik sold 1,415 shares of the stock in a transaction that occurred on Friday, February 24th. The stock was sold at an average price of $141.42, for a total transaction of $200,109.30. Following the completion of the transaction, the senior vice president now directly owns 39,440 shares in the company, valued at approximately $5,577,604.80. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 1.70% of the company’s stock.

Institutional Trading of Quest Diagnostics

A number of institutional investors have recently bought and sold shares of the stock. Parkside Financial Bank & Trust increased its stake in Quest Diagnostics by 136.2% in the first quarter. Parkside Financial Bank & Trust now owns 411 shares of the medical research company’s stock worth $56,000 after purchasing an additional 237 shares during the period. Mark Sheptoff Financial Planning LLC purchased a new stake in Quest Diagnostics in the fourth quarter worth $64,000. Compass Wealth Management LLC purchased a new stake in Quest Diagnostics in the fourth quarter worth $67,000. Brown Brothers Harriman & Co. increased its stake in Quest Diagnostics by 775.3% in the first quarter. Brown Brothers Harriman & Co. now owns 744 shares of the medical research company’s stock worth $102,000 after purchasing an additional 659 shares during the period. Finally, TIAA FSB purchased a new stake in Quest Diagnostics in the fourth quarter worth $202,000. 88.79% of the stock is currently owned by institutional investors.

About Quest Diagnostics

(Get Rating)

Quest Diagnostics, Inc engages in the provision of diagnostic testing, information and services. It operates through the Diagnostic Information Services (DIS) and All Other segments. The DIS segment offers diagnostic information services to patients, clinicians, hospitals, health plans, and employers.