Quest Diagnostics (NYSE:DGX) Reaches New 12-Month High Following Strong Earnings

Shares of Quest Diagnostics Incorporated (NYSE:DGX) reached a new 52-week high during mid-day trading on Thursday following a better than expected earnings announcement. The company traded as high as $166.39 and last traded at $166.58, with a volume of 265412 shares traded. The stock had previously closed at $155.44.

The medical research company reported $2.23 earnings per share for the quarter, beating the consensus estimate of $2.19 by $0.04. Quest Diagnostics had a return on equity of 15.25% and a net margin of 8.82%.

Quest Diagnostics Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, April 21st. Shareholders of record on Monday, April 7th will be issued a dividend of $0.80 per share. This is a positive change from Quest Diagnostics’s previous quarterly dividend of $0.75. This represents a $3.20 dividend on an annualized basis and a yield of 1.95%. Quest Diagnostics’s dividend payout ratio is 40.32%.

Wall Street Analyst Weigh In

Several research firms have commented on DGX. Bank of America boosted their price target on shares of Quest Diagnostics from $179.00 to $182.00 and gave the stock a “buy” rating in a research note on Friday, December 13th. StockNews.com upgraded Quest Diagnostics from a “hold” rating to a “buy” rating in a report on Wednesday. Robert W. Baird upgraded Quest Diagnostics from a “neutral” rating to an “outperform” rating and lifted their price objective for the company from $157.00 to $182.00 in a research note on Wednesday, October 23rd. Citigroup lifted their price objective on shares of Quest Diagnostics from $165.00 to $185.00 and gave the stock a “buy” rating in a research report on Wednesday, October 23rd. Finally, Leerink Partnrs upgraded shares of Quest Diagnostics from a “hold” rating to a “strong-buy” rating in a research note on Monday, January 6th. Six investment analysts have rated the stock with a hold rating, eight have assigned a buy rating and two have given a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $172.15.

Insider Transactions at Quest Diagnostics

In other news, CAO Michael J. Deppe sold 18,755 shares of the business’s stock in a transaction dated Wednesday, November 6th. The shares were sold at an average price of $154.05, for a total transaction of $2,889,207.75. Following the transaction, the chief accounting officer now directly owns 34,941 shares in the company, valued at $5,382,661.05. The trade was a 34.93 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Company insiders own 0.79% of the company’s stock.

Institutional Investors Weigh In On Quest Diagnostics

Institutional investors have recently made changes to their positions in the stock. Versant Capital Management Inc grew its holdings in shares of Quest Diagnostics by 340.4% in the 4th quarter. Versant Capital Management Inc now owns 251 shares of the medical research company’s stock worth $38,000 after acquiring an additional 194 shares during the period. First Financial Corp IN acquired a new stake in Quest Diagnostics in the fourth quarter valued at $38,000. Sunbelt Securities Inc. purchased a new position in shares of Quest Diagnostics in the second quarter valued at $40,000. Global Trust Asset Management LLC purchased a new position in shares of Quest Diagnostics in the fourth quarter valued at $49,000. Finally, Quarry LP acquired a new position in shares of Quest Diagnostics during the 2nd quarter worth $74,000. 88.06% of the stock is currently owned by hedge funds and other institutional investors.

Quest Diagnostics Stock Up 5.5 %

The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.17 and a current ratio of 1.25. The firm’s 50-day moving average is $155.42 and its 200 day moving average is $153.43. The firm has a market capitalization of $18.30 billion, a PE ratio of 22.04, a price-to-earnings-growth ratio of 2.36 and a beta of 0.90.

Quest Diagnostics Company Profile

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.