QUEST DIAGNOSTICS INC (DGX) Stock Fundamental Analysis

NYSE:DGX • US74834L1008

208.36 USD
-1.89 (-0.9%)
At close: Mar 3, 2026
208.36 USD
0 (0%)
After Hours: 3/3/2026, 7:07:35 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Overall DGX gets a fundamental rating of 5 out of 10. We evaluated DGX against 101 industry peers in the Health Care Providers & Services industry. DGX has an excellent profitability rating, but there are some minor concerns on its financial health. DGX is not valued too expensively and it also shows a decent growth rate. DGX also has an excellent dividend rating. This makes DGX very considerable for dividend investing!


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • DGX had positive earnings in the past year.
  • DGX had a positive operating cash flow in the past year.
  • Each year in the past 5 years DGX has been profitable.
  • DGX had a positive operating cash flow in each of the past 5 years.
DGX Yearly Net Income VS EBIT VS OCF VS FCFDGX Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B

1.2 Ratios

  • DGX's Return On Assets of 6.09% is amongst the best of the industry. DGX outperforms 83.17% of its industry peers.
  • With an excellent Return On Equity value of 13.78%, DGX belongs to the best of the industry, outperforming 80.20% of the companies in the same industry.
  • DGX has a Return On Invested Capital of 8.88%. This is in the better half of the industry: DGX outperforms 77.23% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for DGX is in line with the industry average of 9.13%.
  • The 3 year average ROIC (8.20%) for DGX is below the current ROIC(8.88%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 6.09%
ROE 13.78%
ROIC 8.88%
ROA(3y)5.84%
ROA(5y)7.89%
ROE(3y)13.34%
ROE(5y)17.37%
ROIC(3y)8.2%
ROIC(5y)10.15%
DGX Yearly ROA, ROE, ROICDGX Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • DGX has a Profit Margin of 8.95%. This is amongst the best in the industry. DGX outperforms 92.08% of its industry peers.
  • In the last couple of years the Profit Margin of DGX has declined.
  • DGX's Operating Margin of 14.68% is amongst the best of the industry. DGX outperforms 89.11% of its industry peers.
  • In the last couple of years the Operating Margin of DGX has declined.
  • DGX's Gross Margin of 33.32% is fine compared to the rest of the industry. DGX outperforms 64.36% of its industry peers.
  • In the last couple of years the Gross Margin of DGX has declined.
Industry RankSector Rank
OM 14.68%
PM (TTM) 8.95%
GM 33.32%
OM growth 3Y-1.76%
OM growth 5Y-7.12%
PM growth 3Y-2.06%
PM growth 5Y-9.93%
GM growth 3Y-1.68%
GM growth 5Y-2.69%
DGX Yearly Profit, Operating, Gross MarginsDGX Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. Health

2.1 Basic Checks

  • DGX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
  • Compared to 1 year ago, DGX has less shares outstanding
  • Compared to 5 years ago, DGX has less shares outstanding
  • DGX has a better debt/assets ratio than last year.
DGX Yearly Shares OutstandingDGX Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M
DGX Yearly Total Debt VS Total AssetsDGX Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

2.2 Solvency

  • DGX has an Altman-Z score of 3.43. This indicates that DGX is financially healthy and has little risk of bankruptcy at the moment.
  • DGX has a better Altman-Z score (3.43) than 70.30% of its industry peers.
  • DGX has a debt to FCF ratio of 4.17. This is a neutral value as DGX would need 4.17 years to pay back of all of its debts.
  • DGX has a better Debt to FCF ratio (4.17) than 69.31% of its industry peers.
  • DGX has a Debt/Equity ratio of 0.72. This is a neutral value indicating DGX is somewhat dependend on debt financing.
  • DGX has a Debt to Equity ratio of 0.72. This is comparable to the rest of the industry: DGX outperforms 52.48% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.72
Debt/FCF 4.17
Altman-Z 3.43
ROIC/WACC1.13
WACC7.84%
DGX Yearly LT Debt VS Equity VS FCFDGX Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 1.04 indicates that DGX should not have too much problems paying its short term obligations.
  • The Current ratio of DGX (1.04) is worse than 64.36% of its industry peers.
  • DGX has a Quick Ratio of 1.04. This is a bad value and indicates that DGX is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 0.96, DGX is doing worse than 63.37% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.04
Quick Ratio 0.96
DGX Yearly Current Assets VS Current LiabilitesDGX Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an nice 9.20% over the past year.
  • DGX shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.45% yearly.
  • Looking at the last year, DGX shows a quite strong growth in Revenue. The Revenue has grown by 11.78% in the last year.
  • DGX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.18% yearly.
EPS 1Y (TTM)9.2%
EPS 3Y-0.24%
EPS 5Y-2.45%
EPS Q2Q%3.86%
Revenue 1Y (TTM)11.78%
Revenue growth 3Y3.74%
Revenue growth 5Y3.18%
Sales Q2Q%7.06%

3.2 Future

  • DGX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.53% yearly.
  • Based on estimates for the next years, DGX will show a small growth in Revenue. The Revenue will grow by 3.17% on average per year.
EPS Next Y6.73%
EPS Next 2Y7.78%
EPS Next 3Y8.39%
EPS Next 5Y7.53%
Revenue Next Year6.52%
Revenue Next 2Y5.1%
Revenue Next 3Y5.02%
Revenue Next 5Y3.17%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
DGX Yearly Revenue VS EstimatesDGX Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2B 4B 6B 8B 10B
DGX Yearly EPS VS EstimatesDGX Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5 10

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4

4. Valuation

4.1 Price/Earnings Ratio

  • DGX is valuated rather expensively with a Price/Earnings ratio of 21.15.
  • Compared to the rest of the industry, the Price/Earnings ratio of DGX indicates a somewhat cheap valuation: DGX is cheaper than 68.32% of the companies listed in the same industry.
  • The average S&P500 Price/Earnings ratio is at 26.83. DGX is valued slightly cheaper when compared to this.
  • The Price/Forward Earnings ratio is 19.82, which indicates a rather expensive current valuation of DGX.
  • Based on the Price/Forward Earnings ratio, DGX is valued a bit cheaper than 63.37% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of DGX to the average of the S&P500 Index (24.95), we can say DGX is valued slightly cheaper.
Industry RankSector Rank
PE 21.15
Fwd PE 19.82
DGX Price Earnings VS Forward Price EarningsDGX Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, DGX is valued a bit cheaper than the industry average as 62.38% of the companies are valued more expensively.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of DGX indicates a somewhat cheap valuation: DGX is cheaper than 73.27% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 17.06
EV/EBITDA 13.08
DGX Per share dataDGX EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 -20 40 60 80

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • DGX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.15
PEG (5Y)N/A
EPS Next 2Y7.78%
EPS Next 3Y8.39%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 1.63%, DGX has a reasonable but not impressive dividend return.
  • DGX's Dividend Yield is rather good when compared to the industry average which is at 0.48. DGX pays more dividend than 89.11% of the companies in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.82, DGX has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 1.63%

5.2 History

  • The dividend of DGX is nicely growing with an annual growth rate of 7.42%!
  • DGX has been paying a dividend for at least 10 years, so it has a reliable track record.
  • DGX has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.42%
Div Incr Years13
Div Non Decr Years20
DGX Yearly Dividends per shareDGX Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 2 3

5.3 Sustainability

  • 35.73% of the earnings are spent on dividend by DGX. This is a low number and sustainable payout ratio.
  • The dividend of DGX is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP35.73%
EPS Next 2Y7.78%
EPS Next 3Y8.39%
DGX Yearly Income VS Free CF VS DividendDGX Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B
DGX Dividend Payout.DGX Dividend Payout, showing the Payout Ratio.DGX Dividend Payout.PayoutRetained Earnings

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QUEST DIAGNOSTICS INC

NYSE:DGX (3/3/2026, 7:07:35 PM)

After market: 208.36 0 (0%)

208.36

-1.89 (-0.9%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)02-10
Earnings (Next)04-20
Inst Owners99.25%
Inst Owner Change1.2%
Ins Owners0.3%
Ins Owner Change0.5%
Market Cap23.18B
Revenue(TTM)11.04B
Net Income(TTM)988.00M
Analysts75.83
Price Target220.47 (5.81%)
Short Float %4.31%
Short Ratio4.64
Dividend
Industry RankSector Rank
Dividend Yield 1.63%
Yearly Dividend3.19
Dividend Growth(5Y)7.42%
DP35.73%
Div Incr Years13
Div Non Decr Years20
Ex-Date04-06
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.16%
Min EPS beat(2)1.51%
Max EPS beat(2)2.81%
EPS beat(4)4
Avg EPS beat(4)1.74%
Min EPS beat(4)0.93%
Max EPS beat(4)2.81%
EPS beat(8)7
Avg EPS beat(8)2.72%
EPS beat(12)11
Avg EPS beat(12)2.13%
EPS beat(16)15
Avg EPS beat(16)2.75%
Revenue beat(2)2
Avg Revenue beat(2)1.39%
Min Revenue beat(2)0.9%
Max Revenue beat(2)1.88%
Revenue beat(4)3
Avg Revenue beat(4)0.74%
Min Revenue beat(4)-0.15%
Max Revenue beat(4)1.88%
Revenue beat(8)6
Avg Revenue beat(8)0.88%
Revenue beat(12)10
Avg Revenue beat(12)1.27%
Revenue beat(16)13
Avg Revenue beat(16)1.52%
PT rev (1m)9.32%
PT rev (3m)9.91%
EPS NQ rev (1m)0.26%
EPS NQ rev (3m)0.37%
EPS NY rev (1m)0.23%
EPS NY rev (3m)0.37%
Revenue NQ rev (1m)2.44%
Revenue NQ rev (3m)2.55%
Revenue NY rev (1m)2.88%
Revenue NY rev (3m)2.92%
Valuation
Industry RankSector Rank
PE 21.15
Fwd PE 19.82
P/S 2.1
P/FCF 17.06
P/OCF 12.29
P/B 3.23
P/tB N/A
EV/EBITDA 13.08
EPS(TTM)9.85
EY4.73%
EPS(NY)10.51
Fwd EY5.05%
FCF(TTM)12.22
FCFY5.86%
OCF(TTM)16.95
OCFY8.14%
SpS99.2
BVpS64.46
TBVpS-30.66
PEG (NY)3.15
PEG (5Y)N/A
Graham Number119.52
Profitability
Industry RankSector Rank
ROA 6.09%
ROE 13.78%
ROCE 11.62%
ROIC 8.88%
ROICexc 9.16%
ROICexgc 42.05%
OM 14.68%
PM (TTM) 8.95%
GM 33.32%
FCFM 12.32%
ROA(3y)5.84%
ROA(5y)7.89%
ROE(3y)13.34%
ROE(5y)17.37%
ROIC(3y)8.2%
ROIC(5y)10.15%
ROICexc(3y)8.55%
ROICexc(5y)10.67%
ROICexgc(3y)38.17%
ROICexgc(5y)44.8%
ROCE(3y)10.8%
ROCE(5y)13.38%
ROICexgc growth 3Y-0.39%
ROICexgc growth 5Y-2.54%
ROICexc growth 3Y-4.69%
ROICexc growth 5Y-7.65%
OM growth 3Y-1.76%
OM growth 5Y-7.12%
PM growth 3Y-2.06%
PM growth 5Y-9.93%
GM growth 3Y-1.68%
GM growth 5Y-2.69%
F-Score8
Asset Turnover0.68
Health
Industry RankSector Rank
Debt/Equity 0.72
Debt/FCF 4.17
Debt/EBITDA 2.36
Cap/Depr 92.46%
Cap/Sales 4.78%
Interest Coverage 5.79
Cash Conversion 86.12%
Profit Quality 137.55%
Current Ratio 1.04
Quick Ratio 0.96
Altman-Z 3.43
F-Score8
WACC7.84%
ROIC/WACC1.13
Cap/Depr(3y)90.53%
Cap/Depr(5y)92.56%
Cap/Sales(3y)4.5%
Cap/Sales(5y)4.26%
Profit Quality(3y)114.72%
Profit Quality(5y)115.14%
High Growth Momentum
Growth
EPS 1Y (TTM)9.2%
EPS 3Y-0.24%
EPS 5Y-2.45%
EPS Q2Q%3.86%
EPS Next Y6.73%
EPS Next 2Y7.78%
EPS Next 3Y8.39%
EPS Next 5Y7.53%
Revenue 1Y (TTM)11.78%
Revenue growth 3Y3.74%
Revenue growth 5Y3.18%
Sales Q2Q%7.06%
Revenue Next Year6.52%
Revenue Next 2Y5.1%
Revenue Next 3Y5.02%
Revenue Next 5Y3.17%
EBIT growth 1Y15.06%
EBIT growth 3Y1.91%
EBIT growth 5Y-4.17%
EBIT Next Year36.32%
EBIT Next 3Y14.69%
EBIT Next 5YN/A
FCF growth 1Y49.51%
FCF growth 3Y1.13%
FCF growth 5Y-3.05%
OCF growth 1Y41.38%
OCF growth 3Y3.16%
OCF growth 5Y-1.22%

QUEST DIAGNOSTICS INC / DGX FAQ

Can you provide the ChartMill fundamental rating for QUEST DIAGNOSTICS INC?

ChartMill assigns a fundamental rating of 5 / 10 to DGX.


Can you provide the valuation status for QUEST DIAGNOSTICS INC?

ChartMill assigns a valuation rating of 4 / 10 to QUEST DIAGNOSTICS INC (DGX). This can be considered as Fairly Valued.


Can you provide the profitability details for QUEST DIAGNOSTICS INC?

QUEST DIAGNOSTICS INC (DGX) has a profitability rating of 7 / 10.


Can you provide the PE and PB ratios for DGX stock?

The Price/Earnings (PE) ratio for QUEST DIAGNOSTICS INC (DGX) is 21.15 and the Price/Book (PB) ratio is 3.23.


What is the earnings growth outlook for QUEST DIAGNOSTICS INC?

The Earnings per Share (EPS) of QUEST DIAGNOSTICS INC (DGX) is expected to grow by 6.73% in the next year.