Quest Diagnostics (NYSE:DGX) Stock Rating Lowered by Baird R W

Key Points

• Analysts at Baird R W have downgraded Quest Diagnostics from a "strong-buy" rating to a "hold" rating, reflecting ongoing changes in market sentiment regarding the stock.
• Despite the downgrade, Deutsche Bank and JPMorgan Chase increased their price targets for Quest Diagnostics to $178.00 and $190.00, respectively, maintaining a "hold" and "neutral" rating.
• Insider trading activity has seen senior vice president Karthik Kuppusamy sell 2,210 shares, indicating a 20.73% decrease in his ownership of the company's stock.

Quest Diagnostics (NYSE:DGX - Get Free Report) was downgraded by Baird R W from a "strong-buy" rating to a "hold" rating in a report issued on Monday,Zacks.com reports.

A number of other equities research analysts have also recently issued reports on the stock. Wall Street Zen cut shares of Quest Diagnostics from a "buy" rating to a "hold" rating in a report on Sunday, August 10th. William Blair reissued an "outperform" rating on shares of Quest Diagnostics in a report on Wednesday, July 23rd. Piper Sandler boosted their target price on shares of Quest Diagnostics from $180.00 to $200.00 and gave the company a "neutral" rating in a report on Monday, April 28th. Robert W. Baird reissued a "neutral" rating and set a $194.00 target price on shares of Quest Diagnostics in a report on Monday. Finally, UBS Group lowered their target price on shares of Quest Diagnostics from $176.00 to $175.00 and set a "neutral" rating on the stock in a report on Friday, July 18th. One analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and ten have issued a Hold rating to the stock. Based on data from MarketBeat.com, Quest Diagnostics currently has an average rating of "Moderate Buy" and a consensus target price of $186.00.

Quest Diagnostics Stock Performance

Shares of NYSE:DGX traded up $2.61 during mid-day trading on Monday, reaching $181.81. The company had a trading volume of 731,481 shares, compared to its average volume of 1,152,421. The company has a current ratio of 1.09, a quick ratio of 0.99 and a debt-to-equity ratio of 0.71. The firm has a market cap of $20.33 billion, a price-to-earnings ratio of 21.77, a PEG ratio of 2.39 and a beta of 0.46. The company's 50-day moving average price is $175.04 and its 200-day moving average price is $172.87. Quest Diagnostics has a one year low of $146.17 and a one year high of $185.62.

Quest Diagnostics (NYSE:DGX - Get Free Report) last issued its earnings results on Tuesday, July 22nd. The medical research company reported $2.62 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.57 by $0.05. Quest Diagnostics had a net margin of 9.01% and a return on equity of 15.24%. The business had revenue of $2.76 billion for the quarter, compared to analysts' expectations of $2.73 billion. During the same quarter in the previous year, the firm posted $2.35 EPS. The business's revenue for the quarter was up 15.2% compared to the same quarter last year. Quest Diagnostics has set its FY 2025 guidance at 9.630-9.830 EPS. As a group, equities research analysts anticipate that Quest Diagnostics will post 9.7 EPS for the current fiscal year.

Insider Activity

In other news, SVP Karthik Kuppusamy sold 8,269 shares of the company's stock in a transaction dated Wednesday, July 30th. The shares were sold at an average price of $167.40, for a total transaction of $1,384,230.60. Following the completion of the transaction, the senior vice president directly owned 10,660 shares of the company's stock, valued at approximately $1,784,484. This represents a 43.68% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, SVP Patrick Plewman sold 5,535 shares of the company's stock in a transaction dated Wednesday, August 6th. The shares were sold at an average price of $175.00, for a total transaction of $968,625.00. Following the transaction, the senior vice president directly owned 19,219 shares of the company's stock, valued at approximately $3,363,325. This trade represents a 22.36% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 24,496 shares of company stock valued at $4,278,787. Insiders own 8.16% of the company's stock.

Hedge Funds Weigh In On Quest Diagnostics

Several hedge funds and other institutional investors have recently modified their holdings of DGX. Pinnacle Bancorp Inc. raised its stake in Quest Diagnostics by 126.9% in the second quarter. Pinnacle Bancorp Inc. now owns 152 shares of the medical research company's stock worth $27,000 after buying an additional 85 shares in the last quarter. MTM Investment Management LLC bought a new position in shares of Quest Diagnostics during the second quarter valued at approximately $29,000. Bruce G. Allen Investments LLC increased its stake in shares of Quest Diagnostics by 57.8% during the first quarter. Bruce G. Allen Investments LLC now owns 183 shares of the medical research company's stock valued at $31,000 after purchasing an additional 67 shares in the last quarter. AlphaQuest LLC increased its stake in shares of Quest Diagnostics by 18,400.0% during the second quarter. AlphaQuest LLC now owns 185 shares of the medical research company's stock valued at $33,000 after purchasing an additional 184 shares in the last quarter. Finally, First Horizon Advisors Inc. increased its stake in shares of Quest Diagnostics by 76.6% during the first quarter. First Horizon Advisors Inc. now owns 189 shares of the medical research company's stock valued at $32,000 after purchasing an additional 82 shares in the last quarter. 88.06% of the stock is owned by institutional investors.

About Quest Diagnostics

Quest Diagnostics Incorporated provides diagnostic testing and services in the United States and internationally. The company develops and delivers diagnostic information services, such as routine, non-routine and advanced clinical testing, anatomic pathology testing, and other diagnostic information services.