In the latest trading session, Quest Diagnostics (DGX) closed at $116.21, marking a +0.71% move from the previous day. This move outpaced the S&P 500's daily loss of 1.4%. Elsewhere, the Dow lost 1.34%, while the tech-heavy Nasdaq lost 1.57%.
Coming into today, shares of the medical laboratory operator had gained 5.97% in the past month. In that same time, the Medical sector gained 0.88%, while the S&P 500 lost 0.46%.
DGX will be looking to display strength as it nears its next earnings release, which is expected to be October 22, 2020. In that report, analysts expect DGX to post earnings of $3.66 per share. This would mark year-over-year growth of 107.95%. Our most recent consensus estimate is calling for quarterly revenue of $2.76 billion, up 41.19% from the year-ago period.
DGX's full-year Zacks Consensus Estimates are calling for earnings of $8.74 per share and revenue of $8.70 billion. These results would represent year-over-year changes of +33.23% and +12.56%, respectively.
Investors might also notice recent changes to analyst estimates for DGX. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.87% higher. DGX currently has a Zacks Rank of #3 (Hold).
In terms of valuation, DGX is currently trading at a Forward P/E ratio of 13.21. This represents a discount compared to its industry's average Forward P/E of 40.75.
We can also see that DGX currently has a PEG ratio of 0.77. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Outpatient and Home Healthcare was holding an average PEG ratio of 3.23 at yesterday's closing price.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This group has a Zacks Industry Rank of 27, putting it in the top 11% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Quest Diagnostics Incorporated (DGX) : Free Stock Analysis Report
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