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Research report · 16 October 2026

Quest Diagnostics Inc (DGX)

Health Care · Health Care Services · US stock · price as of 16 Oct 2026

Key indicators

Price$235.00
52-week range$168.35 – $247.92
Market cap$26.3B
P/E (trailing)24.9×
EV / EBITDA14.2×
Free-cash-flow yield5.1%
Dividend yield1.4%
Revenue (last 12 months)$11.6B
Revenue growth (3y a year)3.7%
Operating margin14.1%
Return on invested capital10.0%
Net debt / EBITDA2.3×

Fair value

Blended fair value$246.99 range $235 – $259
Versus priceFair+5% to fair value
Peer multiples$263.22
Fundamentals-adjusted multiple$285.49
10-year DCF (market-scaled)$192.25
Earnings power value (floor, not blended)$105.37
Model uncertaintyMedium

X-Ray Score

57/ 100 · High confidence · ahead of 67% of sector peers
Valuation63
Growth55
Profitability45
Financial health68
Dividends55

Five-year price chart navy: price · brown: 200-day average · blue band: fair value range

103145186227268Fair value $2472021-102023-012024-042025-072026-10

Executive summary

Quest Diagnostics provides diagnostic testing and information services. It runs laboratories and patient service centers that perform routine and specialised tests for physicians, hospitals and employers, and it analyses results for health care organizations. The company earns money from payments by health insurers, government programs and patients for tests performed. Testing volumes, reimbursement rates and the efficiency of its laboratory network influence its results.

Sales came to $11.6 billion in the last twelve months, having expanded at 3.7% a year across the last three years. Its operating margin came to 14.1%, and return on invested capital was 10%. Net debt stands at 2.3 times EBITDA. The company pays a dividend, yielding 1.4%.

StocksXray gives Quest Diagnostics Inc an X-Ray Score of 57 out of 100 (high confidence), ahead of 67% of the S&P 500 stocks in its sector. Its strongest lens is financial health (68) and its weakest is profitability (45).

Our fair value blend is $246.99 (range $235.25 to $259.37). At $235.00 the stock trades 5% below that blend, so the label is "Fair" with medium model uncertainty. Fair value is a range, not a price target.

stocksxray.com · page 1
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Quest Diagnostics Inc (DGX)

Valuation history multiples at each fiscal year-end price; the last column uses today's price and the last twelve months

FY2021FY2022FY2023FY2024FY2025Now
Price$156.34$144.84$130.28$145.62$170.66$235.00
Market cap$20.0B$17.1B$14.7B$16.5B$19.3B$26.3B
P/E10.1×18.2×17.4×18.9×19.5×24.9×
EV / revenue2.1×2.1×2.0×2.2×2.2×2.7×
EV / EBITDA8.3×11.1×11.0×12.0×11.6×14.3×
Price / free cash flow10.9×13.0×17.0×18.1×14.2×19.5×
Free-cash-flow yield9.1%7.7%5.9%5.5%7.0%5.1%
Price / book3.1×2.9×2.3×2.4×2.7×3.5×
Dividend yield–––––1.44%

Fundamentals checklist ● 5 Good · ● 10 Average · ● 1 Bad · each check graded against the sector

Cash quality

Earnings backed by cash−5.0%Good
Free-cash-flow yield5.1%Average

Risk models

Altman Z score3.9×Average
Piotroski F-Score8 of 9Good

Growth

EPS growth (3y)3.2%Average
Free-cash-flow growth (3y)1.1%Average
Revenue growth (3y)3.7%Average
Growth consistency100%Good

Balance sheet

Current ratio1.6×Average
Net debt / EBITDA2.3×Average
Interest coverno interest costGood

Valuation

Fair value vs price1.1×Average
EBIT / EV yield5.2%Good

Profitability

Return on invested capital10.0%Average
Operating margin14.1%Average
Gross profitability22.6%Bad
stocksxray.com · page 2
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Quest Diagnostics Inc (DGX)

Financials US$ millions, from SEC filings; last column is the last twelve months

Income statementFY21FY22FY23FY24FY25LTM
Revenue10,7889,8839,2529,87211,03511,560
Gross profit4,2093,4333,0533,2443,6653,828
Operating income2,3811,4281,2621,3461,5561,630
Net income1,9959468548719921,062
Diluted EPS ($)15.557.977.497.698.759.44
Free cash flow1,8301,3148649091,3591,349
Gross margin39.0%34.7%33.0%32.9%33.2%33.1%
Operating margin22.1%14.4%13.6%13.6%14.1%14.1%
Net margin18.5%9.6%9.2%8.8%9.0%9.2%
Balance sheetFY21FY22FY23FY24FY25LTM
Total assets13,61112,83714,02216,15316,22516,939
Cash872315686549420626
Total debt4,0123,9804,7136,2175,6715,642
Equity6,4445,8936,3076,7787,1707,516
Dividend per share ($)–––––3.32

Revenue and net income US$ billions: navy revenue, teal net income

FY21FY22FY23FY24FY25

Margins blue gross, teal operating, brown net

0%13%26%39%FY21FY22FY23FY24FY25

Latest quarters

Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026Jun 2026
Revenue ($M)2,6522,7612,8162,8062,8953,043
Growth vs a year earlier+12.1%+15.2%+13.2%+7.1%+9.2%+10.2%
Net income ($M)220282245245252320
Diluted EPS ($)1.942.472.16–2.242.84
stocksxray.com · page 3
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Quest Diagnostics Inc (DGX)

Peers in Health Care Services

CompanyX-Ray
DGX · Quest Diagnostics Inc57
DVA · Davita Inc.66
CI · Cigna Group66
CVS · CVS HEALTH Corp52
LH · Labcorp Holdings Inc.46

Market Compass outlook for Health Care: Neutral (51/100). It blends regime history, macro sensitivity, momentum and valuation.

Returns

1 week+1.7%
1 month−4.7%
3 months+13.6%
6 months+21.4%
1 year+27.5%
3 years+102.6%
5 years+83.2%

Technical summary

DailyBullish10 bullish · 4 neutral · 2 bearish
WeeklyStrongly bullish10 bullish · 1 neutral · 1 bearish
MonthlyStrongly bullish7 bullish · 1 neutral · 0 bearish
50-day / 200-day average$236.70 / $207.32
52-week low / high$168.35 / $247.92
Classic pivot, support and resistanceS2 229.25 · S1 232.12 · P – · R1 239.31 · R2 243.63

Recent dividends

Ex-dividend dateAmount per share
6 Oct 2026$0.8600
8 Jul 2026$0.8600
6 Apr 2026$0.8600
13 Jan 2026$0.8000
3 Oct 2025$0.8000
7 Jul 2025$0.8000
stocksxray.com · page 4
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Quest Diagnostics Inc (DGX)

Strengths

  • Interest cover of no interest cost is ahead of 82% of its sector peers.
  • Piotroski F-Score of 8 out of 9: most of the nine accounting health tests pass.
  • Has raised its dividend for 7 years in a row.

Risks and weak spots

  • Gross profitability is weak against Health Care peers (22.6%).

Latest SEC filings

DateFormItems
6 Oct 20268-K5.02
23 Jul 202610-Q
23 Jul 20268-K2.02,9.01
21 May 20268-K5.07
8 May 20268-K1.01,9.01
1 May 20268-K8.01,9.01
22 Apr 202610-Q
21 Apr 20268-K2.02,9.01

How to read this report

Every number comes from SEC filings, end-of-day prices and the StocksXray models described on the methodology page. The X-Ray Score ranks each metric against the company's own sector. Fair value blends three models and carries a typical error of about 40%, so treat it as a range. Analyst ratings, price targets and earnings-call summaries are not part of this report. Educational research, not financial advice; read the disclaimer.

stocksxray.com · page 5 · generated 19 Oct 2026