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Quest Diagnostics (DGX) Stock Moves -0.08%: What You Should Know

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Quest Diagnostics (DGX - Free Report) closed the most recent trading day at $118.40, moving -0.08% from the previous trading session. This move was narrower than the S&P 500's daily loss of 0.22%. At the same time, the Dow lost 0.23%, and the tech-heavy Nasdaq lost 0.38%.

Heading into today, shares of the medical laboratory operator had lost 4.42% over the past month, lagging the Medical sector's gain of 3.32% and the S&P 500's gain of 2.78% in that time.

DGX will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $3.96, up 137.13% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.83 billion, up 47.14% from the year-ago period.

DGX's full-year Zacks Consensus Estimates are calling for earnings of $10.71 per share and revenue of $9.39 billion. These results would represent year-over-year changes of +63.26% and +21.58%, respectively.

Investors should also note any recent changes to analyst estimates for DGX. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 8.98% higher. DGX is currently sporting a Zacks Rank of #2 (Buy).

Looking at its valuation, DGX is holding a Forward P/E ratio of 11.07. This valuation marks a discount compared to its industry's average Forward P/E of 38.95.

We can also see that DGX currently has a PEG ratio of 0.42. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Medical - Outpatient and Home Healthcare industry currently had an average PEG ratio of 2.95 as of yesterday's close.

The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 125, which puts it in the top 50% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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