Quest Diagnostics (DGX, Financial) reported first-quarter revenues of $2.65 billion, surpassing analyst expectations set at $2.63 billion. This marks a robust revenue increase of approximately 12% compared to the previous year, with organic growth accounting for nearly 2.5% of this rise.
The company attributes this growth to several factors, including beneficial contributions from recent acquisitions and significant enterprise accounts. Furthermore, Quest Diagnostics experienced increased demand for its advanced diagnostics offerings and broader access to health plans, especially as demand recovered in March following a dip due to early-quarter inclement weather.
Looking ahead, Quest Diagnostics remains confident in its financial trajectory, maintaining its revenue and adjusted earnings per share guidance for the full year of 2025. The company's leadership, under CEO Jim Davis, continues to focus on expanding and optimizing its service portfolio to meet growing healthcare demands.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 16 analysts, the average target price for Quest Diagnostics Inc (DGX, Financial) is $180.78 with a high estimate of $198.00 and a low estimate of $160.00. The average target implies an upside of 11.69% from the current price of $161.86. More detailed estimate data can be found on the Quest Diagnostics Inc (DGX) Forecast page.
Based on the consensus recommendation from 20 brokerage firms, Quest Diagnostics Inc's (DGX, Financial) average brokerage recommendation is currently 2.2, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Quest Diagnostics Inc (DGX, Financial) in one year is $156.78, suggesting a downside of 3.14% from the current price of $161.86. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Quest Diagnostics Inc (DGX) Summary page.
