Quest Diagnostics (DGX) Earnings Expected to Grow: What to Know Ahead of Next Week's Release

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Quest Diagnostics, driven by higher revenues, with a focus on how actual results compare to estimates impacting stock price [1][2]. Earnings Expectations - Quest Diagnostics is expected to report quarterly earnings of $2.26 per share, reflecting a +1.8% change year-over-year, with revenues projected at $2.4 billion, up 4.6% from the previous year [3]. - The earnings report is scheduled for October 22, 2024, and could influence stock movement based on whether results exceed or fall short of expectations [2]. Estimate Revisions - The consensus EPS estimate has been revised 0.35% higher in the last 30 days, indicating a reassessment by analysts [4]. - A negative Earnings ESP of -1.34% suggests analysts have recently become bearish on the company's earnings prospects, despite a Zacks Rank of 2 [10]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict earnings deviation from consensus estimates, with positive readings being more reliable [6][7]. - Stocks with a positive Earnings ESP and a strong Zacks Rank have historically shown a nearly 70% success rate in beating earnings expectations [8]. Historical Performance - Quest Diagnostics has beaten consensus EPS estimates in the last four quarters, with a recent surprise of +1.73% in the last reported quarter [11][12]. - Despite a history of earnings beats, other factors can influence stock performance, making it essential to consider broader market conditions [13]. Investment Considerations - While Quest Diagnostics may not appear to be a compelling earnings-beat candidate, investors should monitor additional factors before making investment decisions [15].