Labcorp (NYSE:LH) Sets New 52-Week High - Here's What Happened

Key Points

• Labcorp (NYSE:LH) reached a new 52-week high, trading at $283.47 with significant share volume, indicating strong investor interest.
• Analysts have mixed views on Labcorp, with a consensus rating of "Moderate Buy" and an average price target of $290.33, showcasing potential for further growth.
• The company recently reported quarterly earnings of $4.35 EPS, surpassing estimates, and has set a FY 2025 guidance between 16.050-16.500 EPS.

Labcorp Holdings Inc. (NYSE:LH - Get Free Report) hit a new 52-week high on Monday . The company traded as high as $283.47 and last traded at $282.96, with a volume of 236812 shares trading hands. The stock had previously closed at $280.61.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on the company. Barclays reaffirmed a "cautious" rating on shares of Labcorp in a research report on Wednesday, June 25th. Wall Street Zen raised Labcorp from a "hold" rating to a "buy" rating in a research report on Saturday, July 26th. Morgan Stanley upped their price objective on Labcorp from $283.00 to $306.00 and gave the stock an "overweight" rating in a research report on Friday, July 25th. Hsbc Global Res lowered Labcorp from a "strong-buy" rating to a "hold" rating in a research report on Thursday, July 10th. Finally, UBS Group upped their price objective on Labcorp from $282.00 to $305.00 and gave the stock a "buy" rating in a research report on Friday, July 25th. Nine research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, Labcorp has a consensus rating of "Moderate Buy" and an average price target of $290.33.

Labcorp Price Performance

The company has a market capitalization of $23.49 billion, a PE ratio of 31.20, a price-to-earnings-growth ratio of 1.79 and a beta of 0.85. The company has a debt-to-equity ratio of 0.61, a current ratio of 1.50 and a quick ratio of 1.32. The company's 50 day simple moving average is $271.96 and its 200 day simple moving average is $253.50.

Labcorp (NYSE:LH - Get Free Report) last announced its quarterly earnings results on Thursday, July 24th. The medical research company reported $4.35 EPS for the quarter, beating the consensus estimate of $4.14 by $0.21. The company had revenue of $3.53 billion for the quarter, compared to analyst estimates of $3.49 billion. Labcorp had a net margin of 5.66% and a return on equity of 15.45%. The firm's revenue was up 9.6% on a year-over-year basis. During the same period in the prior year, the firm posted $3.94 earnings per share. Labcorp has set its FY 2025 guidance at 16.050-16.500 EPS. As a group, sell-side analysts predict that Labcorp Holdings Inc. will post 16.01 earnings per share for the current year.

Labcorp Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, September 11th. Shareholders of record on Thursday, August 28th were paid a $0.72 dividend. This represents a $2.88 annualized dividend and a yield of 1.0%. The ex-dividend date was Thursday, August 28th. Labcorp's dividend payout ratio is currently 31.79%.

Insider Activity at Labcorp

In other Labcorp news, EVP Der Vaart Sandra D. Van sold 3,903 shares of the company's stock in a transaction on Wednesday, August 13th. The shares were sold at an average price of $271.42, for a total value of $1,059,352.26. Following the completion of the transaction, the executive vice president owned 2,274 shares in the company, valued at $617,209.08. This represents a 63.19% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Adam H. Schechter sold 5,643 shares of the company's stock in a transaction on Monday, August 11th. The shares were sold at an average price of $266.78, for a total transaction of $1,505,439.54. Following the completion of the transaction, the chief executive officer owned 93,319 shares of the company's stock, valued at $24,895,642.82. This represents a 5.70% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 15,546 shares of company stock worth $4,207,192. Insiders own 0.84% of the company's stock.

Institutional Investors Weigh In On Labcorp

Several hedge funds have recently made changes to their positions in the business. Vanguard Group Inc. boosted its stake in shares of Labcorp by 1.6% during the second quarter. Vanguard Group Inc. now owns 9,879,225 shares of the medical research company's stock worth $2,593,395,000 after buying an additional 156,717 shares during the period. State Street Corp lifted its position in Labcorp by 0.9% in the second quarter. State Street Corp now owns 3,863,039 shares of the medical research company's stock valued at $1,014,086,000 after purchasing an additional 36,003 shares during the period. Select Equity Group L.P. lifted its position in Labcorp by 39.1% in the first quarter. Select Equity Group L.P. now owns 2,220,056 shares of the medical research company's stock valued at $516,696,000 after purchasing an additional 624,099 shares during the period. Geode Capital Management LLC lifted its position in Labcorp by 2.2% in the second quarter. Geode Capital Management LLC now owns 2,113,460 shares of the medical research company's stock valued at $552,445,000 after purchasing an additional 44,630 shares during the period. Finally, Allspring Global Investments Holdings LLC lifted its position in Labcorp by 2.2% in the second quarter. Allspring Global Investments Holdings LLC now owns 2,000,828 shares of the medical research company's stock valued at $528,739,000 after purchasing an additional 43,509 shares during the period. Institutional investors and hedge funds own 95.94% of the company's stock.

Labcorp Company Profile

Labcorp Holdings, Inc engages in providing medical testing services. The company was founded on April 16, 2024 and is headquartered in Burlington, NC.

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