Healthcare diagnostics company Quest Diagnostics (NYSE: DGX) will be reporting earnings this Tuesday before market hours. Here’s what you need to know.
Quest beat analysts’ revenue expectations by 1.4% last quarter, reporting revenues of $2.76 billion, up 15.2% year on year. It was a satisfactory quarter for the company, with a narrow beat of analysts’ revenue estimates.
Is Quest a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Quest’s revenue to grow 9.5% year on year to $2.73 billion, improving from the 8.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.50 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Quest has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 1.6% on average.
With Quest being the first among its peers to report earnings this season, we don’t have anywhere else to look to get a hint at how this quarter will unravel for healthcare providers & services stocks. However, there has been positive investor sentiment in the segment, with share prices up 2.6% on average over the last month. Quest is up 2.6% during the same time and is heading into earnings with an average analyst price target of $191.75 (compared to the current share price of $189.51).
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