The stock of Laboratory Corp. Of America Holdings (NYSE: LH) has decreased by -1.52 when compared to last closing price of 207.17. Despite this, the company has experienced a -3.40% fall in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-04-09 that Labcorp (LH) is investing in innovation and technology that supports diagnostic and drug development testing for various diseases such as cancer and Alzheimer’s.
Is It Worth Investing in Laboratory Corp. Of America Holdings (NYSE: LH) Right Now?
Laboratory Corp. Of America Holdings (NYSE: LH) has a higher price-to-earnings ratio of 43.85x compared to its average ratio, The 36-month beta value for LH is at 1.02. Analysts have varying views on the stock, with 10 analysts rating it as a “buy,” 3 rating it as “overweight,” 6 as “hold,” and 0 as “sell.”
The public float for LH is 83.78M, and currently, shorts hold a 2.30% of that float. The average trading volume for LH on April 11, 2024 was 735.83K shares.
LH’s Market Performance
LH’s stock has seen a -3.40% decrease for the week, with a -5.92% drop in the past month and a -9.47% fall in the past quarter. The volatility ratio for the week is 1.45%, and the volatility levels for the past 30 days are at 1.59% for Laboratory Corp. Of America Holdings The simple moving average for the last 20 days is -3.78% for LH stock, with a simple moving average of -4.38% for the last 200 days.
Analysts’ Opinion of LH
Many brokerage firms have already submitted their reports for LH stocks, with Argus repeating the rating for LH by listing it as a “Buy.” The predicted price for LH in the upcoming period, according to Argus is $250 based on the research report published on March 25, 2024 of the current year 2024.
Leerink Partners, on the other hand, stated in their research note that they expect to see LH reach a price target of $260. The rating they have provided for LH stocks is “Outperform” according to the report published on February 26th, 2024.
Evercore ISI gave a rating of “In-line” to LH, setting the target price at $240 in the report published on February 09th of the current year.
LH Trading at -5.88% from the 50-Day Moving Average
After a stumble in the market that brought LH to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -12.84% of loss for the given period.
Volatility was left at 1.59%, however, over the last 30 days, the volatility rate increased by 1.45%, as shares sank -5.30% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -9.73% lower at present.
During the last 5 trading sessions, LH fell by -3.26%, which changed the moving average for the period of 200-days by +3.81% in comparison to the 20-day moving average, which settled at $211.48. In addition, Laboratory Corp. Of America Holdings saw -10.23% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at LH starting from Schroeder Mark S, who sale 6,477 shares at the price of $217.29 back on Apr 01 ’24. After this action, Schroeder Mark S now owns 5,036 shares of Laboratory Corp. Of America Holdings, valued at $1,407,387 using the latest closing price.
Summy Amy B., the EVP, Chief Marketing Officer of Laboratory Corp. Of America Holdings, sale 3,500 shares at $217.29 during a trade that took place back on Apr 01 ’24, which means that Summy Amy B. is holding 3,975 shares at $760,515 based on the most recent closing price.
Stock Fundamentals for LH
Current profitability levels for the company are sitting at:
- 0.08 for the present operating margin
- 0.27 for the gross margin
The net margin for Laboratory Corp. Of America Holdings stands at 0.03. The total capital return value is set at 0.08. Equity return is now at value 4.27, with 2.08 for asset returns.
Based on Laboratory Corp. Of America Holdings (LH), the company’s capital structure generated 0.4 points at debt to capital in total, while cash flow to debt ratio is standing at 0.25. The debt to equity ratio resting at 0.66. The interest coverage ratio of the stock is 5.46.
Currently, EBITDA for the company is 1.7 billion with net debt to EBITDA at 3.14. When we switch over and look at the enterprise to sales, we see a ratio of 1.75. The receivables turnover for the company is 6.15for trailing twelve months and the total asset turnover is 0.77. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.17.
Conclusion
In conclusion, Laboratory Corp. Of America Holdings (LH) has had a bad performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
