Quest Diagnostics, Inc. (NYSE: DGX) has seen a rise in its stock price by 5.08 in relation to its previous close of 130.09. However, the company has experienced a 7.28% gain in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-04-23 that Quest Diagnostics (DGX) continues its strong momentum of base business revenue growth in the first quarter of 2024.
Is It Worth Investing in Quest Diagnostics, Inc. (NYSE: DGX) Right Now?
Quest Diagnostics, Inc. (NYSE: DGX) has a higher price-to-earnings ratio of 18.26x compared to its average ratio. DGX has 36-month beta value of 0.89. Analysts have mixed views on the stock, with 4 analysts rating it as a “buy,” 1 as “overweight,” 14 as “hold,” and 1 as “sell.”
The public float for DGX is 109.71M, and currently, short sellers hold a 2.32% ratio of that float. The average trading volume of DGX on April 24, 2024 was 1.05M shares.
DGX’s Market Performance
The stock of Quest Diagnostics, Inc. (DGX) has seen a 7.28% increase in the past week, with a 5.72% rise in the past month, and a 5.33% gain in the past quarter. The volatility ratio for the week is 2.26%, and the volatility levels for the past 30 days are at 1.88% for DGX. The simple moving average for the past 20 days is 4.98% for DGX’s stock, with a 4.13% simple moving average for the past 200 days.
Analysts’ Opinion of DGX
Many brokerage firms have already submitted their reports for DGX stocks, with Leerink Partners repeating the rating for DGX by listing it as a “Market Perform.” The predicted price for DGX in the upcoming period, according to Leerink Partners is $135 based on the research report published on February 26, 2024 of the current year 2024.
Jefferies, on the other hand, stated in their research note that they expect to see DGX reach a price target of $155, previously predicting the price at $140. The rating they have provided for DGX stocks is “Buy” according to the report published on February 07th, 2024.
Barclays gave a rating of “Equal Weight” to DGX, setting the target price at $145 in the report published on January 03rd of the current year.
DGX Trading at 6.54% from the 50-Day Moving Average
After a stumble in the market that brought DGX to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -8.02% of loss for the given period.
Volatility was left at 1.88%, however, over the last 30 days, the volatility rate increased by 2.26%, as shares surge +5.74% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +7.86% upper at present.
During the last 5 trading sessions, DGX rose by +7.28%, which changed the moving average for the period of 200-days by -1.65% in comparison to the 20-day moving average, which settled at $130.59. In addition, Quest Diagnostics, Inc. saw -0.86% 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 DGX starting from PREVOZNIK MICHAEL E, who sale 5,611 shares at the price of $125.88 back on Feb 29 ’24. After this action, PREVOZNIK MICHAEL E now owns 38,478 shares of Quest Diagnostics, Inc., valued at $706,313 using the latest closing price.
Doherty Catherine T., the EVP, Regional Businesses of Quest Diagnostics, Inc., sale 1,187 shares at $125.88 during a trade that took place back on Feb 29 ’24, which means that Doherty Catherine T. is holding 68,412 shares at $149,420 based on the most recent closing price.
Stock Fundamentals for DGX
Current profitability levels for the company are sitting at:
- 0.14 for the present operating margin
- 0.33 for the gross margin
The net margin for Quest Diagnostics, Inc. stands at 0.09. The total capital return value is set at 0.11. Equity return is now at value 13.93, with 6.33 for asset returns.
Based on Quest Diagnostics, Inc. (DGX), the company’s capital structure generated 0.44 points at debt to capital in total, while cash flow to debt ratio is standing at 0.26. The debt to equity ratio resting at 0.77. The interest coverage ratio of the stock is 8.59.
Currently, EBITDA for the company is 1.79 billion with net debt to EBITDA at 2.67. When we switch over and look at the enterprise to sales, we see a ratio of 2.14. The receivables turnover for the company is 7.65for trailing twelve months and the total asset turnover is 0.66. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.31.
Conclusion
To put it simply, Quest Diagnostics, Inc. (DGX) has had a mixed performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
