- Quest Diagnostics raised its full-year 2025 adjusted EPS forecast to a range of $9.63 to $9.83, up from the previous prediction of $9.55 to $9.80.
- The revised EPS forecast exceeds analyst estimates, which were at $9.70.
- For the second quarter, Quest Diagnostics reported an adjusted EPS of $2.62, surpassing the estimate of $2.58.
- The company’s net revenue for the second quarter was $2.76 billion, higher than the estimated $2.73 billion.
- Quest Diagnostics achieved an adjusted operating profit of $466 million, exceeding the forecast of $452.2 million.
- The adjusted operating margin for the period was 16.9%, aligned with expectations.
- The company recorded capital expenditures of $108 million, below the expected $121.7 million.
- Revenue from Diagnostic Information Services reached $2.70 billion, surpassing the anticipated $2.66 billion.
- For 2025, the reported diluted EPS is expected to fall between $8.60 and $8.80, while the adjusted diluted EPS is projected to be between $9.63 and $9.83.
- The revisions in guidance reflect the company’s robust quarterly performance and ongoing positive utilization trends.
- Analyst consensus includes 11 buy recommendations and 10 hold recommendations, with no sell ratings reported.
Quest Diagnostics on Smartkarma
Quest Diagnostics has been receiving positive coverage from analysts on Smartkarma, with Baptista Research publishing insightful reports on the company’s strategic investments in technology and data management for a competitive edge. In their report titled “Quest Diagnostics: Investment in Technology & Data Management For A Competitive Edge!”, Baptista Research highlights the company’s strong performance in the first quarter of 2025, citing a 12% increase in revenues driven by acquisitions, organic growth, and demand for advanced diagnostics. The analysts commend Quest Diagnostics‘ focus on expanding its advanced diagnostics portfolio and leveraging automation and AI, which has led to robust revenue growth in key clinical areas.
Furthermore, Baptista Research‘s report, “Quest Diagnostics: Enhanced Offerings In Cardiometabolic Testing & Autoimmune Disorders Catalyzing Growth!”, underscores the company’s financial success in the fourth quarter and full year of 2024, fueled by revenue growth from acquisitions and strong organic growth. With revenue increasing by 14.5% to $2.62 billion in the fourth quarter, Quest Diagnostics‘ strategic acquisitions, including LifeLabs in Canada and various hospital outreach lab businesses in the U.S., have bolstered its market position and expanded its geographic reach, particularly within physician and hospital channels. Baptista Research aims to evaluate factors influencing the company’s stock price and conduct an independent valuation using a Discounted Cash Flow methodology, showcasing a bullish outlook on Quest Diagnostics.
A look at Quest Diagnostics Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Quest Diagnostics Incorporated, a company that provides diagnostic testing, information, and services, is forecasted to maintain a steady performance in the long term based on the Smartkarma Smart Scores analysis. With consistent scores across various factors such as Value, Dividend, Growth, Resilience, and Momentum – all rated at 3 out of 5 – Quest Diagnostics seems well-positioned for stability and moderate growth. This indicates a balanced outlook for the company, reflecting a solid foundation and potential for gradual advancement in the diagnostic testing industry.
Quest Diagnostics, known for its national network of laboratories and specialized testing services, appears to have a resilient and moderately promising future ahead. The Smartkarma Smart Scores highlight the company’s overall strength and potential in the market, suggesting a reliable performance in the coming years. With a focus on providing essential medical testing facilities and a consistent industry presence, Quest Diagnostics is expected to sustain its position and possibly leverage opportunities for incremental growth in the foreseeable future.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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