Quest Diagnostics (NYSE:DGX) Shares Gap Up After Better-Than-Expected Earnings
by Kim Johansen · The Markets DailyQuest Diagnostics Incorporated (NYSE:DGX – Get Free Report)’s stock price gapped up prior to trading on Tuesday following a stronger than expected earnings report. The stock had previously closed at $147.37, but opened at $151.33. Quest Diagnostics shares last traded at $155.20, with a volume of 257,710 shares traded.
The medical research company reported $2.30 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.26 by $0.04. Quest Diagnostics had a return on equity of 15.35% and a net margin of 8.99%. The firm had revenue of $2.49 billion during the quarter, compared to analysts’ expectations of $2.43 billion. During the same quarter in the prior year, the business posted $2.22 earnings per share. Quest Diagnostics’s revenue was up 8.5% compared to the same quarter last year.
Quest Diagnostics Announces Dividend
The company also recently declared a quarterly dividend, which was paid on Monday, October 21st. Stockholders of record on Friday, October 4th were given a $0.75 dividend. This represents a $3.00 dividend on an annualized basis and a dividend yield of 1.91%. The ex-dividend date of this dividend was Friday, October 4th. Quest Diagnostics’s dividend payout ratio is currently 40.38%.
Analysts Set New Price Targets
A number of brokerages have recently weighed in on DGX. Evercore ISI began coverage on Quest Diagnostics in a research report on Wednesday, August 28th. They issued an “in-line” rating and a $165.00 price target for the company. Barclays raised their price target on Quest Diagnostics from $154.00 to $168.00 and gave the company an “equal weight” rating in a research report on Wednesday. Truist Financial increased their price objective on Quest Diagnostics from $158.00 to $165.00 and gave the company a “hold” rating in a research note on Monday, October 7th. Piper Sandler increased their price objective on Quest Diagnostics from $145.00 to $150.00 and gave the company a “neutral” rating in a research note on Monday, July 29th. Finally, UBS Group increased their price objective on Quest Diagnostics from $165.00 to $166.00 and gave the company a “neutral” rating in a research note on Wednesday. Nine investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and an average target price of $161.75.
Read Our Latest Stock Analysis on Quest Diagnostics
Insiders Place Their Bets
In other Quest Diagnostics news, SVP Karthik Kuppusamy sold 1,990 shares of the firm’s stock in a transaction dated Wednesday, August 28th. The stock was sold at an average price of $153.26, for a total value of $304,987.40. Following the sale, the senior vice president now directly owns 11,459 shares of the company’s stock, valued at approximately $1,756,206.34. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 0.79% of the stock is owned by corporate insiders.
Institutional Trading of Quest Diagnostics
Hedge funds have recently added to or reduced their stakes in the business. Rothschild Investment LLC acquired a new position in shares of Quest Diagnostics in the 2nd quarter valued at about $26,000. Innealta Capital LLC acquired a new position in shares of Quest Diagnostics in the 2nd quarter valued at about $31,000. Larson Financial Group LLC lifted its stake in shares of Quest Diagnostics by 77.5% in the 2nd quarter. Larson Financial Group LLC now owns 229 shares of the medical research company’s stock valued at $31,000 after purchasing an additional 100 shares in the last quarter. Riverview Trust Co acquired a new position in shares of Quest Diagnostics in the 1st quarter valued at about $33,000. Finally, TruNorth Capital Management LLC acquired a new position in shares of Quest Diagnostics in the 2nd quarter valued at about $33,000. 88.06% of the stock is owned by institutional investors and hedge funds.
Quest Diagnostics Stock Down 0.2 %
The firm has a market capitalization of $17.45 billion, a price-to-earnings ratio of 21.15, a price-to-earnings-growth ratio of 2.45 and a beta of 0.89. The company has a current ratio of 1.00, a quick ratio of 0.91 and a debt-to-equity ratio of 0.57. The firm has a 50 day moving average price of $152.88 and a two-hundred day moving average price of $144.48.
Quest Diagnostics Company Profile
Quest Diagnostics Incorporated provides diagnostic testing and services in the United States and internationally. The company develops and delivers diagnostic information services, such as routine, non-routine and advanced clinical testing, anatomic pathology testing, and other diagnostic information services.
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