Quest Diagnostics Inc

Quest Diagnostics maintains a leveraged capital structure with total equity of $7.17 billion and long-term debt of $5.17 billion, resulting in a debt-to-equity ratio of 0.72. The company holds $420 million in cash and equivalents, which is insufficient to cover total debt, leading to a negative net cash position. Liquidity is assessed as medium risk, supported by a current ratio that is not explicitly provided but implied by the balance sheet composition. The market capitalization stands at $22.95 billion, with a price-to-earnings ratio of 23.14 and an EV/EBITDA of 17.80, indicating a premium valuation relative to earnings.

Profitability metrics show a return on equity of 13.84% and a return on assets of 6.11%. Operating income is $1.56 billion on revenues of $11.04 billion, yielding an operating margin of approximately 14.1%. Net income is $992 million, resulting in a net margin of roughly 9.0%. Without cohort median data for direct comparison, these returns suggest moderate efficiency in asset utilization and equity generation. The company generates $1.89 billion in operating cash flow, which comfortably covers capital expenditures of $527 million, providing free cash flow of approximately $1.36 billion.

Revenue concentration by segment and geography is not disclosed in the available data. The company’s total revenue of $11.04 billion is attributed to its core diagnostic testing activities. Without specific segment breakdowns, the analysis assumes a diversified revenue base typical of large diagnostic providers, though specific exposure to high-growth or high-risk segments cannot be quantified from the provided inputs.

Growth trajectory analysis is limited by the absence of historical period data. The current revenue figure of $11.04 billion represents the latest normalized period. Without year-over-year or quarterly trend data, the growth rate cannot be calculated. The company’s ability to sustain or accelerate growth remains unquantified in this snapshot, relying on the stability of its current revenue base.

Risk assessment highlights medium liquidity risk and low dilution risk. The key flag notes that net cash is negative after subtracting total debt, which may constrain financial flexibility in downturns. The low dilution risk suggests that share count stability is maintained, with basic and diluted shares outstanding both at 113 million. The absence of significant recent issuances or ATM programs supports this low dilution profile.

Recent events include analyst estimates with a mean price target of $221.89 and a median of $225.00, implying upside potential from the current market price of $203.11. The mean recommendation is 2.25, indicating a moderate buy sentiment with 5 strong buys, 5 buys, and 10 holds. No specific filing, news, or transcript observations are provided beyond the analyst consensus, limiting the insight into recent operational or strategic developments.

Quest Diagnostics Inc (DGX.O) experienced a significant shift in institutional positioning, marked by a major holder change detected in late June 2026. An investor identified by ID 587 adjusted their stake in the company, with records showing a fluctuation in share count between 8,992 and 29,206 shares as of March 31, 2026. This activity, valued between approximately $1.76 million and $5.72 million, represents a notable modification in ownership weight, ranging from 0.001% to 0.003% of the total equity. The significance of this holder activity is underscored by the company's broader ownership structure. Quest Diagnostics currently maintains a top holder count of 33, indicating a diversified base of institutional investors. The specific adjustments by investor ID 587, while representing a small percentage of total weight, signal active management of positions within this group of major stakeholders. In terms of risk profile, new assessments have been integrated into the company's data. Dilution risk is now classified as low, suggesting limited immediate pressure from share issuance. Conversely, liquidity risk has been categorized as medium, highlighting potential considerations regarding the ease of trading or capital availability. These risk metrics provide a foundational view of the company's financial stability alongside the observed holder changes. Additionally, the company's taxonomy classification for both activity and economic sector is currently listed as unclassified. This lack of specific categorization, combined with the absence of analyst coverage and index membership details in the current dataset, suggests that the primary material changes for Quest Diagnostics are driven by holder dynamics and internal risk assessments rather than external rating shifts or sector reclassifications. The company remains part of one index, but further details on its classification are pending.