Core Viewpoint - The market anticipates Quest Diagnostics (DGX) will report a year-over-year increase in earnings driven by higher revenues for the quarter ended March 2025, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - Quest Diagnostics is expected to post quarterly earnings of $2.16 per share, reflecting a year-over-year increase of +5.9% [3]. - Revenues are projected to reach $2.62 billion, representing a 10.6% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised down by 0.13% over the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Quest Diagnostics is lower than the Zacks Consensus Estimate, leading to an Earnings ESP of -2.11%, suggesting a bearish outlook from analysts [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict the likelihood of actual earnings deviating from consensus estimates, with positive readings being more reliable [6][7]. - Stocks with a positive Earnings ESP and a Zacks Rank of 1, 2, or 3 have historically shown a nearly 70% chance of delivering a positive surprise [8]. Historical Performance - In the last reported quarter, Quest Diagnostics exceeded the expected earnings of $2.19 per share by delivering $2.23, resulting in a surprise of +1.83% [12]. - The company has beaten consensus EPS estimates in all of the last four quarters [13]. Conclusion - Despite the potential for an earnings beat, Quest Diagnostics does not currently appear to be a strong candidate for exceeding earnings expectations, and investors should consider other influencing factors before making investment decisions [16].

Core Viewpoint - Quest Diagnostics (DGX) is expected to report its first-quarter 2025 results on April 22, with a focus on revenue growth and earnings performance, following a solid performance in 2024 [1][4]. Group 1: Financial Performance - The Zacks Consensus Estimate for Quest Diagnostics' revenues in Q1 2025 is $2.62 billion, reflecting a 10.6% increase from the previous year [2]. - The estimated EPS for Q1 2025 is projected at $2.16, indicating a 5.9% increase compared to the same quarter last year [2]. - Adjusted EPS in the last reported quarter was $2.23, exceeding the Zacks Consensus Estimate by 1.83%, with an average surprise of 3.75% over the last four quarters [1][3]. Group 2: Factors Influencing Performance - The Diagnostic Information Services (DIS) segment is anticipated to show strong growth due to increased utilization of Advanced Diagnostics, particularly in clinical areas [4]. - Demand for AD-detect blood tests for Alzheimer's risk assessment is expected to drive growth in Brain Health, while Women's Health may benefit from prenatal and hereditary genetic testing [4]. - Growth in advanced cardiometabolic and autoimmune testing, along with increased adoption of self-collection options for genital tract infections, is also anticipated [5]. Group 3: Strategic Developments - Recent acquisitions, including assets from University Hospitals, are likely to enhance Quest Diagnostics' test menu and patient access in Ohio [6]. - The company is expected to see revenue growth from new customer wins and expansion among large physician groups and community health centers [6]. - Medicare Advantage plans are projected to contribute to strong volume and revenue growth, supported by partnerships with Elevance Health and Sentara Health Plans [7]. Group 4: Operational Insights - Strategic investments in automation and AI are expected to improve quality, customer experience, and productivity [9]. - The company's operating income (non-GAAP basis) is projected to increase by 5% year over year in Q1 2025 [10].

Core Viewpoint - Quest Diagnostics has launched a new laboratory blood test, AD-Detect™ Abeta 42/40 and p-tau217 Evaluation, which can accurately assess Alzheimer's disease pathology with over 90% sensitivity and specificity, aimed at confirming amyloid brain pathology in patients with mild cognitive impairment or dementia [1][2]. Test Details - The AD-Detect test combines blood levels of amyloid beta (AB) 42/40 and p-tau217, producing an AD-Detect Likelihood Score™ through a proprietary algorithm validated with a cohort from the 1Florida Alzheimer's Disease Research Center [2]. - This test builds on previous AD-Detect tests that assessed individual biomarkers, now providing a more comprehensive evaluation of amyloid brain pathology [3]. Clinical Implications - The test demonstrates a positive predictive value (PPV) and negative predictive value (NPV) of 89% in a population with mild cognitive impairment, with improved predictive values when including ApoE genetic risk marker [6]. - The test's reliability is supported by a heterogeneous population with a low prevalence of beta amyloid PET positivity, indicating its effectiveness in real-world scenarios [6]. Market Position - Quest's AD-Detect suite offers a range of validated blood-based biomarkers, enhancing personalized testing options for providers [4]. - The new test aims to provide scalable, high-volume solutions for Alzheimer's evaluation, potentially reducing the need for more invasive and costly diagnostic methods like PET imaging and lumbar puncture [8]. Access and Availability - The test is available for physicians in the United States, except New York, with blood draws conducted through Quest's extensive network of approximately 8,000 patient access points [10][14]. - Quest Diagnostics serves a significant portion of the U.S. population, with nearly 55,000 employees dedicated to improving health outcomes through diagnostic insights [13]. Industry Context - Nearly 7 million Americans currently have Alzheimer's, a number projected to reach 14 million by 2060, highlighting the growing need for effective diagnostic solutions [11]. - A significant majority of physicians believe that new therapies will transform Alzheimer's into a manageable disease, and they favor blood tests as a more cost-effective alternative to traditional diagnostic methods [11].

Core Insights - Quest Diagnostics has launched a new FDA-cleared HPV self-collection solution to enhance access to HPV screening, aiming to identify women at risk of cervical cancer [1][4][5] - The self-collection option will be available in physician offices and at 2,000 Quest patient service centers across the United States starting next month [2][3] - The initiative follows the successful introduction of self-collection services for other STIs in October 2024, indicating strong demand for discreet self-collection options [2][4] Company Strategy - The new self-collection service allows patients to collect specimens privately, which may help reduce barriers to screening and increase participation among women who might otherwise avoid traditional methods [5][6] - Quest Diagnostics emphasizes the importance of providing options for patients who may feel uncomfortable with clinician-collected tests due to various personal factors [6][7] - The company aims to address the significant decline in cervical cancer screenings, with 4.4 million fewer American women screened in 2021 compared to 2019, and a 1.7% increase in cervical cancer incidence among women aged 30-44 during the same period [6][7] Industry Context - The self-collection method is recognized for its accuracy and potential to increase screening rates in historically underscreened populations, aligning with recent guidelines from the United States Preventive Services Task Force [6][7] - The initiative reflects a broader trend in the healthcare industry towards empowering patients and improving access to preventive care [4][6]

Financial Results Announcement - Quest Diagnostics will report its first quarter 2025 financial results on April 22, 2025, before the market opens [1] - A quarterly conference call to discuss the results will begin at 8:30 a.m. Eastern Time on the same day [1] Conference Call Access - The conference call can be accessed by dialing 888-455-0391 within the U.S. and Canada, or 773-756-0467 internationally, using the passcode "7895081" [2] - Participants are advised to dial in approximately 10 minutes before the call [2] Replay Information - A replay of the call will be available online and by phone, with telephone replays accessible from approximately 10:30 a.m. Eastern Time on April 22, 2025, until midnight Eastern Time on May 6, 2025 [3] Company Overview - Quest Diagnostics provides diagnostic insights from laboratory testing to improve health outcomes, serving one in three adult Americans and half of the physicians and hospitals in the U.S. [5] - The company employs over 55,000 individuals and utilizes one of the world's largest databases of de-identifiable clinical lab results to inspire actions that transform lives [5]

Core Viewpoint - Quest Diagnostics Inc. is successfully investing in Advanced Diagnostics to enhance patient care and drive growth through strategic acquisitions and operational excellence [1][3]. Group 1: Financial Performance - Over the past year, Quest Diagnostics' stock has increased by 25.2%, outperforming the industry growth of 2.9% and the S&P 500's rise of 10.6% [2]. - The company has a market capitalization of $18.38 billion and an earnings yield of 5.85%, which is higher than the industry's yield of 4.32% [2]. - Quest Diagnostics has consistently surpassed earnings estimates in the last four quarters, achieving an average surprise of 3.75% [2]. Group 2: Growth Drivers - The Advanced Diagnostics segment includes specialized tests such as molecular genomics and oncology tests, contributing to double-digit revenue growth across various clinical areas in 2024 [3]. - Women's health growth is primarily driven by prenatal and hereditary genetic testing, with a notable increase in self-collection options for genital tract infection testing [4]. - The company is transitioning 75 health systems to a commercial phase for the Haystack MRD blood test, with expected revenues in 2025 [4]. Group 3: Strategic Acquisitions - Recent outreach acquisitions have allowed Quest Diagnostics to expand into key geographic areas and improve access and affordability for health systems [5]. - The acquisition of LifeLabs has strengthened its presence in the Canadian market, while other acquisitions have enhanced its AI and digital pathology capabilities [6]. Group 4: Operational Excellence - Quest Diagnostics is implementing automation and AI to enhance quality, service, and efficiency, achieving 3% annual cost savings through its Invigorate program [7]. - The Clifton, New Jersey lab is a hub for automation and AI solutions, including enhanced tuberculosis testing and improved requisition processing [9]. Group 5: Challenges - The company's long-term debt stands at $5.62 billion, with cash and cash equivalents at only $549 million, raising concerns about solvency [10]. - Quest Diagnostics faces intense competition from LabCorp and other commercial laboratories, with a focus on service quality and turnaround times [11]. Group 6: Earnings Estimates - The Zacks Consensus Estimate for Quest Diagnostics' 2025 earnings per share has decreased by 1 cent to $9.69, with projected revenues of $10.77 billion, indicating a 9.1% growth from the previous year [12].

Company Overview - Quest Diagnostics Inc. has announced a collaboration with Google Cloud to enhance data management, analytics, and patient experience [1] - The company currently has a market capitalization of $18.65 billion [3] - In 2024, Quest Diagnostics has managed over 80 billion data points and fulfilled more than 200 million test requisitions [6] Collaboration with Google Cloud - The partnership aims to strengthen Quest Diagnostics' hybrid cloud strategy by enhancing data and AI capabilities [1] - Quest will utilize Google Cloud's data analytics and generative AI technologies, including Google Agentspace, to automate tasks and improve operations [4] - The collaboration will focus on improving patient engagement and providing personalized health insights [5] Financial Performance and Projections - According to the Zacks Consensus Estimate, Quest Diagnostics' earnings are expected to grow by 8.6% in 2025, with a 9.1% increase in revenues [3] - The company has delivered an average earnings beat of 3.7% over the trailing four quarters [3] Market Trends - The global AI data management market was valued at $25.5 billion in 2023 and is projected to grow at a compound annual growth rate of 22.7% through 2030 [7] - Key drivers for this growth include advancements in AI and Machine Learning, Big Data, and increasing demand for data-driven decision-making [7] Recent Developments - Quest Diagnostics announced the acquisition of select assets from Fresenius Medical Care's Spectra Laboratories to provide laboratory services related to end-stage kidney disease [9] - In the past year, shares of Quest Diagnostics have increased by 29.2%, outperforming the industry growth of 5.1% [10]

Core Insights - Quest Diagnostics has announced a collaboration with Google Cloud to enhance data management, analytics, and patient experiences through advanced technologies [1][2][3] Company Strategy - The collaboration will utilize Google Cloud's generative AI and data analytics technologies, including Google Agentspace, to automate tasks and improve operations across various areas such as R&D and customer experience [2][4] - Quest aims to streamline its systems to enhance data quality, management, and security, while also exploring the use of generative AI to improve patient engagement and empower physicians with insights [3][4] Industry Impact - This partnership is significant as it marks one of the first instances of a national laboratory provider leveraging generative AI across multiple operational areas, indicating a shift towards more personalized and proactive healthcare solutions [2][4] - The collaboration is expected to strengthen Quest's hybrid cloud strategy, enhancing its data and AI capabilities while ensuring compliance with HIPAA regulations for data privacy and security [4][5] Performance Metrics - In 2024, Quest Diagnostics processed over 200 million test requisitions and managed more than 80 billion datapoints, showcasing its extensive operational scale [4]

Quest Diagnostics (DGX) has achieved impressive growth over the past year, with its shares rising 38%. It has outperformed the industry’s 7.7% rise and the S&P 500 composite’s 17.1% gain.Presently carrying a Zacks Rank #3 (Hold), the renowned clinical laboratory continues to demonstrate robust momentum in its core customer channel, supported by a growing utilization of the Advanced Diagnostics portfolio. Strategic outreach acquisitions and a strong focus on driving operational improvements further bode well ...

Quest Diagnostics Inc. (DGX) benefits from its robust utilization of the Advanced Diagnostics portfolio offerings. The company also expands through strategic acquisitions, completing eight transactions in 2024. A strong focus on operational excellence is highly encouraging for the stock. Meanwhile, the adverse impacts of the broader industry challenges and fierce competitive landscape pose risks to its operations.In the past year, this Zacks Rank #3 (Hold) stock has rallied 38% compared with the industry’s ...