Quest Diagnostics Increases Cash Dividend and Share Repurchase Authorization
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3h ago
0mins
Should l Buy DGX?
Source: PRnewswire
- Dividend Increase: Quest Diagnostics has announced a 7.5% increase in its quarterly cash dividend from $0.80 to $0.86 per share, effective April 20, 2026, which is expected to enhance investor interest and bolster shareholder confidence.
- Annual Dividend Total: With this increase, the annual cash dividend will amount to $3.44 per share, reflecting the company's robust performance in profitability and cash flow management, thereby strengthening its market position.
- Share Repurchase Expansion: The Board has also authorized an additional $1 billion in share repurchase, supplementing the approximately $400 million available as of December 31, 2025, aimed at enhancing earnings per share and returning value to shareholders, indicating confidence in future growth.
- Market Impact Analysis: By enhancing its dividend and repurchase plans, Quest Diagnostics not only increases shareholder returns but may also attract more institutional investors, further solidifying its leadership position in the competitive healthcare diagnostics market.
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Analyst Views on DGX
Wall Street analysts forecast DGX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DGX is 203.75 USD with a low forecast of 190.00 USD and a high forecast of 215.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Analyst Rating
5 Buy
6 Hold
0 Sell
Moderate Buy
Current: 191.250
Low
190.00
Averages
203.75
High
215.00
Current: 191.250
Low
190.00
Averages
203.75
High
215.00
About DGX
Quest Diagnostics Incorporated is a provider of diagnostic information services. The Company provides diagnostic insights from the results of its laboratory testing to enable people, physicians, and organizations to take action to improve health outcomes. It operates through the DIS segment, which provides diagnostic information services to a range of customers within its primary customer channels: physicians, hospitals, and patients and consumers. It offers broad access to clinical testing through a nationwide network of laboratories, patient service centers, phlebotomists in physician offices, and connectivity resources, including call centers and mobile phlebotomists, nurses and other health and wellness professionals. It also focuses on artificial intelligence (AI) and digital pathology solutions. The Company’s services primarily are provided under the Quest Diagnostics brand and under other brands, including AmeriPath, Dermpath Diagnostics, ExamOne, and Quanum.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Quest Diagnostics to Announce Q4 Earnings on February 10
- Earnings Announcement Date: Quest Diagnostics is set to release its Q4 2023 earnings on February 10 before market open, with consensus EPS estimated at $2.36, reflecting a 5.8% year-over-year increase, and revenue expected at $2.76 billion, up 5.3%, indicating the company's sustained profitability and growth potential.
- Strong Historical Performance: Over the past two years, Quest Diagnostics has consistently beaten EPS and revenue estimates 100% of the time, which not only boosts investor confidence but also provides robust support for future performance expectations.
- Expectation Revision Trends: In the last three months, EPS estimates have seen three upward revisions with no downward adjustments, indicating analysts' optimistic outlook on the company's profitability, while revenue estimates experienced two upward revisions and one downward, reflecting a cautious market sentiment regarding future growth.
- Industry Leadership Position: Quest Diagnostics continues to demonstrate a strong market leadership position among diagnostic testing brands, participating in key healthcare conferences to further solidify its influence and brand value within the medical industry.
See More
Quest Diagnostics Issues 2026 Earnings Guidance Exceeding Estimates
- Positive Financial Outlook: Quest Diagnostics projects earnings for 2026 in the range of $9.45 to $9.65 per share and adjusted earnings between $10.50 and $10.70 per share, with revenues expected between $11.70 billion and $11.82 billion, all exceeding analysts' estimates of $10.42 per share and $11.38 billion in revenue, indicating strong profitability and market confidence.
- Dividend Increase: The company's Board of Directors has authorized a 7.5% increase in its quarterly cash dividend from $0.80 to $0.86 per share, payable on April 20, 2026, which not only enhances shareholder returns but also reflects optimism about future cash flows.
- Expanded Share Buyback Program: The Board has also increased the share repurchase authorization by $1 billion, in addition to the approximately $0.4 billion available as of December 31, 2025, a move aimed at enhancing shareholder value and demonstrating confidence in the company's stock.
- Positive Market Reaction: In pre-market trading on Tuesday, Quest Diagnostics' stock rose by $3.43, or 1.79%, reflecting investor recognition and confidence in the company's financial outlook.
See More
Quest Diagnostics Q4 Earnings Exceed Expectations
- Strong Earnings Report: Quest Diagnostics reported a Q4 non-GAAP EPS of $2.42, beating expectations by $0.06, which underscores the company's robust performance in the diagnostic testing sector and reinforces its market leadership.
- Revenue Growth: The company achieved Q4 revenues of $2.81 billion, reflecting a 7.3% year-over-year increase and surpassing market expectations by $50 million, indicating solid growth amid rising demand for healthcare services.
- 2026 Outlook: Quest Diagnostics anticipates 2026 revenues between $11.70 billion and $11.82 billion, significantly above the consensus estimate of $11.38 billion, demonstrating management's confidence in future growth prospects.
- Increased Shareholder Returns: The company announced a 7.5% increase in its quarterly dividend to $0.86 and initiated a $1 billion stock buyback program, aimed at enhancing shareholder value and attracting more investor interest.
See More
Quest Diagnostics Announces 7.5% Dividend Increase
- Quarterly Dividend Increase: Quest Diagnostics has declared a quarterly dividend of $0.86 per share, marking a 7.5% increase from the previous $0.80, which not only enhances shareholder returns but also reflects the company's ongoing profitability and healthy cash flow.
- Forward Yield: The forward yield of 1.8% from this dividend provides investors with a relatively stable income source in the current market environment, thereby increasing the company's attractiveness to investors.
- Share Repurchase Authorization Boost: The board has increased the share repurchase authorization by $1 billion, adding to the approximately $400 million available as of December 31, 2025, aiming to enhance shareholder value by reducing the number of outstanding shares and boosting earnings per share.
- Strategic Investment Signal: By increasing both the dividend and repurchase authorization, Quest Diagnostics demonstrates confidence in future growth, indicating that its leadership position in the diagnostic testing sector will continue to be reinforced, attracting more long-term investors.
See More
Quest Diagnostics Reports Strong 2025 Financial Growth
- Significant Revenue Growth: Quest Diagnostics reported net revenues of $2.806 billion for Q4 2025, a 7.1% increase year-over-year, with total revenues for 2025 reaching $11.035 billion, up 11.8%, underscoring the company's strong performance in the diagnostic information services sector and solidifying its market leadership.
- Earnings Per Share Increase: The diluted EPS for Q4 2025 was $2.18, reflecting an 11.8% year-over-year increase, while the full-year diluted EPS reached $8.75, up 13.8%, indicating sustained profitability that enhances investor confidence and market perception.
- Strong Operating Cash Flow: The company generated $1.886 billion in operating cash flow for 2025, a 41.4% increase from the previous year, providing ample funding for future capital expenditures and shareholder returns, demonstrating effective cash management practices.
- Optimistic 2026 Outlook: Quest Diagnostics projects 2026 net revenues between $11.70 billion and $11.82 billion, reflecting a growth rate of 6% to 7.1%, indicating strong confidence in future market demand and the potential for continued business expansion.
See More
Quest Diagnostics Increases Cash Dividend and Share Repurchase Authorization
- Dividend Increase: Quest Diagnostics has announced a 7.5% increase in its quarterly cash dividend from $0.80 to $0.86 per share, effective April 20, 2026, which is expected to enhance investor interest and bolster shareholder confidence.
- Annual Dividend Total: With this increase, the annual cash dividend will amount to $3.44 per share, reflecting the company's robust performance in profitability and cash flow management, thereby strengthening its market position.
- Share Repurchase Expansion: The Board has also authorized an additional $1 billion in share repurchase, supplementing the approximately $400 million available as of December 31, 2025, aimed at enhancing earnings per share and returning value to shareholders, indicating confidence in future growth.
- Market Impact Analysis: By enhancing its dividend and repurchase plans, Quest Diagnostics not only increases shareholder returns but may also attract more institutional investors, further solidifying its leadership position in the competitive healthcare diagnostics market.
See More
Quest Diagnostics to Announce Q4 Earnings on February 10
- Earnings Announcement Date: Quest Diagnostics is set to release its Q4 2023 earnings on February 10 before market open, with consensus EPS estimated at $2.36, reflecting a 5.8% year-over-year increase, and revenue expected at $2.76 billion, up 5.3%, indicating the company's sustained profitability and growth potential.
- Strong Historical Performance: Over the past two years, Quest Diagnostics has consistently beaten EPS and revenue estimates 100% of the time, which not only boosts investor confidence but also provides robust support for future performance expectations.
- Expectation Revision Trends: In the last three months, EPS estimates have seen three upward revisions with no downward adjustments, indicating analysts' optimistic outlook on the company's profitability, while revenue estimates experienced two upward revisions and one downward, reflecting a cautious market sentiment regarding future growth.
- Industry Leadership Position: Quest Diagnostics continues to demonstrate a strong market leadership position among diagnostic testing brands, participating in key healthcare conferences to further solidify its influence and brand value within the medical industry.
See More
Quest Diagnostics Issues 2026 Earnings Guidance Exceeding Estimates
- Positive Financial Outlook: Quest Diagnostics projects earnings for 2026 in the range of $9.45 to $9.65 per share and adjusted earnings between $10.50 and $10.70 per share, with revenues expected between $11.70 billion and $11.82 billion, all exceeding analysts' estimates of $10.42 per share and $11.38 billion in revenue, indicating strong profitability and market confidence.
- Dividend Increase: The company's Board of Directors has authorized a 7.5% increase in its quarterly cash dividend from $0.80 to $0.86 per share, payable on April 20, 2026, which not only enhances shareholder returns but also reflects optimism about future cash flows.
- Expanded Share Buyback Program: The Board has also increased the share repurchase authorization by $1 billion, in addition to the approximately $0.4 billion available as of December 31, 2025, a move aimed at enhancing shareholder value and demonstrating confidence in the company's stock.
- Positive Market Reaction: In pre-market trading on Tuesday, Quest Diagnostics' stock rose by $3.43, or 1.79%, reflecting investor recognition and confidence in the company's financial outlook.
See More
Quest Diagnostics Q4 Earnings Exceed Expectations
- Strong Earnings Report: Quest Diagnostics reported a Q4 non-GAAP EPS of $2.42, beating expectations by $0.06, which underscores the company's robust performance in the diagnostic testing sector and reinforces its market leadership.
- Revenue Growth: The company achieved Q4 revenues of $2.81 billion, reflecting a 7.3% year-over-year increase and surpassing market expectations by $50 million, indicating solid growth amid rising demand for healthcare services.
- 2026 Outlook: Quest Diagnostics anticipates 2026 revenues between $11.70 billion and $11.82 billion, significantly above the consensus estimate of $11.38 billion, demonstrating management's confidence in future growth prospects.
- Increased Shareholder Returns: The company announced a 7.5% increase in its quarterly dividend to $0.86 and initiated a $1 billion stock buyback program, aimed at enhancing shareholder value and attracting more investor interest.
See More
Quest Diagnostics Announces 7.5% Dividend Increase
- Quarterly Dividend Increase: Quest Diagnostics has declared a quarterly dividend of $0.86 per share, marking a 7.5% increase from the previous $0.80, which not only enhances shareholder returns but also reflects the company's ongoing profitability and healthy cash flow.
- Forward Yield: The forward yield of 1.8% from this dividend provides investors with a relatively stable income source in the current market environment, thereby increasing the company's attractiveness to investors.
- Share Repurchase Authorization Boost: The board has increased the share repurchase authorization by $1 billion, adding to the approximately $400 million available as of December 31, 2025, aiming to enhance shareholder value by reducing the number of outstanding shares and boosting earnings per share.
- Strategic Investment Signal: By increasing both the dividend and repurchase authorization, Quest Diagnostics demonstrates confidence in future growth, indicating that its leadership position in the diagnostic testing sector will continue to be reinforced, attracting more long-term investors.
See More
Quest Diagnostics Reports Strong 2025 Financial Growth
- Significant Revenue Growth: Quest Diagnostics reported net revenues of $2.806 billion for Q4 2025, a 7.1% increase year-over-year, with total revenues for 2025 reaching $11.035 billion, up 11.8%, underscoring the company's strong performance in the diagnostic information services sector and solidifying its market leadership.
- Earnings Per Share Increase: The diluted EPS for Q4 2025 was $2.18, reflecting an 11.8% year-over-year increase, while the full-year diluted EPS reached $8.75, up 13.8%, indicating sustained profitability that enhances investor confidence and market perception.
- Strong Operating Cash Flow: The company generated $1.886 billion in operating cash flow for 2025, a 41.4% increase from the previous year, providing ample funding for future capital expenditures and shareholder returns, demonstrating effective cash management practices.
- Optimistic 2026 Outlook: Quest Diagnostics projects 2026 net revenues between $11.70 billion and $11.82 billion, reflecting a growth rate of 6% to 7.1%, indicating strong confidence in future market demand and the potential for continued business expansion.
See More
Quest Diagnostics Increases Cash Dividend and Share Repurchase Authorization
- Dividend Increase: Quest Diagnostics has announced a 7.5% increase in its quarterly cash dividend from $0.80 to $0.86 per share, effective April 20, 2026, which is expected to enhance investor interest and bolster shareholder confidence.
- Annual Dividend Total: With this increase, the annual cash dividend will amount to $3.44 per share, reflecting the company's robust performance in profitability and cash flow management, thereby strengthening its market position.
- Share Repurchase Expansion: The Board has also authorized an additional $1 billion in share repurchase, supplementing the approximately $400 million available as of December 31, 2025, aimed at enhancing earnings per share and returning value to shareholders, indicating confidence in future growth.
- Market Impact Analysis: By enhancing its dividend and repurchase plans, Quest Diagnostics not only increases shareholder returns but may also attract more institutional investors, further solidifying its leadership position in the competitive healthcare diagnostics market.
See More
