Quest Diagnostics (DGX) has experienced a 27.3% increase in shares over the past year, significantly outperforming the industry average of 5.9% and the S&P 500’s 12.3% gain. The company’s growth is attributed to strategic investments in Advanced Diagnostics, allowing for innovative service delivery and operational excellence.
Headquartered in Secaucus, NJ, Quest provides diagnostic services to approximately half of U.S. hospitals and anticipates a 9.2% revenue growth in 2025, reaching $10.78 billion. The firm has completed eight acquisitions in 2024 to boost productivity and expand its service offerings, including a partnership with Elevance Health aimed at increasing volume and revenue.
The Zacks Consensus Estimate projects earnings per share (EPS) to rise by 8.6% to $9.70 in 2025 and 8.2% to $10.50 in 2026. However, potential risks include escalating debt and uncertainties due to changes in U.S. healthcare regulations.
