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HOLX vs. DGX: Which Healthcare Diagnostics Stock Is the Better Bet?
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Key Takeaways
DGX has risen 25.7% YTD, outpacing its peer as the diagnostics market continues to expand.
HOLX sees growth in Breast Health, GYN Surgical and Molecular Diagnostics across key global markets.
DGX gains from advanced diagnostics demand, strategic acquisitions and its Invigorate cost-saving program.
In the fast-growing diagnostics testing market, Hologic (HOLX - Free Report) and Quest Diagnostics (DGX - Free Report) stand out as two prominent players, each with its own niche. Hologic focuses on women’s health, providing a wide range of molecular diagnostics and cytology products for cervical, sexual and vaginal testing, as well as for several acute respiratory infections. On the other hand, Quest Diagnostics delivers affordable diagnostic testing insights and services for customers across the healthcare ecosystem, including physicians, hospitals, health plans and government agencies. Let’s find out which one of them currently deserves a spot in your portfolio.
Year to date, shares of Hologic have risen 3.7%, while DGX shares have rallied 25.7%.
Image Source: Zacks Investment Research
Positive Trends for Hologic
Strength in Breast Health: The segment returned to growth in the fourth quarter of fiscal 2025, driven by strong U.S. sales execution, the inclusion of Endomagnetics and contribution from interventional products. The larger share of revenues now comes from recurring service contracts tied to Hologic’s global installed base of gantries, providing steadier growth than gantry sales. On the innovation side, Hologic is set to commercially launch the Envision Mammography Platform this year, offering patients a high-speed 3D mammogram with an industry-leading 2.5-second scan time.
GYN Surgical Momentum: Within this, Myosure continues to gain more market share internationally than in the United States, underscoring the vast untapped markets where demand for minimally invasive options for treating uterine polyps and fibroids remains high. NovaSure has consistently delivered double-digit growth in international markets, primarily Europe, which is mainly attributed to its go-direct strategy and improved reimbursement in certain European countries. Hologic acquired Gynesonics, which bolstered its fibroid treatment portfolio and contributed $22.4 million in fiscal 2025. Fluent fluid management systems are also contributing to the higher demand.
Molecular Diagnostics Resilient: In fiscal 2025, the business benefited from higher sales volumes of the BV/CV assays, Hologic’s second largest globally. The company is strongly acting on its vast U.S. vaginitis market opportunity by driving awareness and securing reimbursement for this high-throughput test. The Panther Fusion portfolio of respiratory assays has seen strong traction as well. Last month, Hologic secured FDA Clearance and CE Mark for the Panther Fusion Gastrointestinal Bacterial and Expanded Bacterial Assays. Also, Biotheranostics is a huge opportunity, thanks to the strong uptake of its Breast Cancer Index test.
Tailwinds Supporting DGX
Strength in Advanced Diagnostics: The company drives growth across its customer channels through fast-growing, advanced diagnostics in five key clinical areas — advanced cardiometabolic, autoimmune, brain health, oncology and women's and reproductive health. Demand for the Quest AD-Detect blood test for Alzheimer's more than doubled in the third quarter of 2025. The company also earned FDA breakthrough device designation for Haystack MRD, a test for assessing early risk of cancer recurrence. Also, its analyzer autoimmune solution is seeing strong growth as primary care physicians use it to direct high-risk patients to specialty care.
Contributions From Acquisitions: Quest Diagnostics’ acquisition strategy focuses on purchases of accretive hospital outreach and independent labs.In August, it acquired clinical testing assets from Fresenius Medical Care, positioning it to offer lab testing used in dialysis delivery to independent U.S. dialysis clinics. In 2024, the company completed acquisitions for an aggregate purchase price of $2.2 billion, including select outreach laboratory assets from Allina Health and OhioHealth, as well as the outreach laboratory services business of University Hospitals, which each serve providers and patients in Ohio.
Focus on Operational Excellence: Quest Diagnostics is gaining from its Invigorate program, which includes structured plans to drive savings and improve productivity across the value chain. The program targets 3% in annual cost savings and productivity improvements. The company also continues to deploy automation and AI technologies to improve quality, service, efficiency and the workforce experience. In September, Quest Diagnostics announced Epic as its technology partner for Project Nova — a new initiative to modernize its systems architecture and reduce IT costs over the long term.
Price Targets for HOLX and DGX
Based on short-term price targets by 14 analysts, the average price target for Hologic comes to $77.14, implying a 3.02% increase from the last close.
Image Source: Zacks Investment Research
Based on short-term price targets by 17 analysts, the average price target for Quest Diagnostics of $198.76 implies a 3.33% upside from the last close.
Image Source: Zacks Investment Research
HOLX and DGX’s Valuation
Hologic trades at a forward five-year price-to-sales (P/S) of 3.87X, lower than its median but above Quest Diagnostics’ P/S of 1.87X. Both HOLX and DGX carry a Value Score of B.
Image Source: Zacks Investment Research
Endnote on HOLX and DGX
Both companies hold a solid footing with distinct advantages. Hologic’s strength across its divisions continues to fuel growth, which existing investors will continue to benefit from. Quest Diagnostics is building momentum for its expanding Advanced Diagnostics portfolio, while acquisitions remain a growth driver as well. However, based on impressive YTD performance and cheap valuation, Quest Diagnostics appears to be the more compelling option.
Image: Bigstock
HOLX vs. DGX: Which Healthcare Diagnostics Stock Is the Better Bet?
Key Takeaways
In the fast-growing diagnostics testing market, Hologic (HOLX - Free Report) and Quest Diagnostics (DGX - Free Report) stand out as two prominent players, each with its own niche. Hologic focuses on women’s health, providing a wide range of molecular diagnostics and cytology products for cervical, sexual and vaginal testing, as well as for several acute respiratory infections. On the other hand, Quest Diagnostics delivers affordable diagnostic testing insights and services for customers across the healthcare ecosystem, including physicians, hospitals, health plans and government agencies. Let’s find out which one of them currently deserves a spot in your portfolio.
Year to date, shares of Hologic have risen 3.7%, while DGX shares have rallied 25.7%.
Image Source: Zacks Investment Research
Positive Trends for Hologic
Strength in Breast Health: The segment returned to growth in the fourth quarter of fiscal 2025, driven by strong U.S. sales execution, the inclusion of Endomagnetics and contribution from interventional products. The larger share of revenues now comes from recurring service contracts tied to Hologic’s global installed base of gantries, providing steadier growth than gantry sales. On the innovation side, Hologic is set to commercially launch the Envision Mammography Platform this year, offering patients a high-speed 3D mammogram with an industry-leading 2.5-second scan time.
GYN Surgical Momentum: Within this, Myosure continues to gain more market share internationally than in the United States, underscoring the vast untapped markets where demand for minimally invasive options for treating uterine polyps and fibroids remains high. NovaSure has consistently delivered double-digit growth in international markets, primarily Europe, which is mainly attributed to its go-direct strategy and improved reimbursement in certain European countries. Hologic acquired Gynesonics, which bolstered its fibroid treatment portfolio and contributed $22.4 million in fiscal 2025. Fluent fluid management systems are also contributing to the higher demand.
Molecular Diagnostics Resilient: In fiscal 2025, the business benefited from higher sales volumes of the BV/CV assays, Hologic’s second largest globally. The company is strongly acting on its vast U.S. vaginitis market opportunity by driving awareness and securing reimbursement for this high-throughput test. The Panther Fusion portfolio of respiratory assays has seen strong traction as well. Last month, Hologic secured FDA Clearance and CE Mark for the Panther Fusion Gastrointestinal Bacterial and Expanded Bacterial Assays. Also, Biotheranostics is a huge opportunity, thanks to the strong uptake of its Breast Cancer Index test.
Tailwinds Supporting DGX
Strength in Advanced Diagnostics: The company drives growth across its customer channels through fast-growing, advanced diagnostics in five key clinical areas — advanced cardiometabolic, autoimmune, brain health, oncology and women's and reproductive health. Demand for the Quest AD-Detect blood test for Alzheimer's more than doubled in the third quarter of 2025. The company also earned FDA breakthrough device designation for Haystack MRD, a test for assessing early risk of cancer recurrence. Also, its analyzer autoimmune solution is seeing strong growth as primary care physicians use it to direct high-risk patients to specialty care.
Contributions From Acquisitions: Quest Diagnostics’ acquisition strategy focuses on purchases of accretive hospital outreach and independent labs.In August, it acquired clinical testing assets from Fresenius Medical Care, positioning it to offer lab testing used in dialysis delivery to independent U.S. dialysis clinics. In 2024, the company completed acquisitions for an aggregate purchase price of $2.2 billion, including select outreach laboratory assets from Allina Health and OhioHealth, as well as the outreach laboratory services business of University Hospitals, which each serve providers and patients in Ohio.
Focus on Operational Excellence: Quest Diagnostics is gaining from its Invigorate program, which includes structured plans to drive savings and improve productivity across the value chain. The program targets 3% in annual cost savings and productivity improvements. The company also continues to deploy automation and AI technologies to improve quality, service, efficiency and the workforce experience. In September, Quest Diagnostics announced Epic as its technology partner for Project Nova — a new initiative to modernize its systems architecture and reduce IT costs over the long term.
Price Targets for HOLX and DGX
Based on short-term price targets by 14 analysts, the average price target for Hologic comes to $77.14, implying a 3.02% increase from the last close.
Image Source: Zacks Investment Research
Based on short-term price targets by 17 analysts, the average price target for Quest Diagnostics of $198.76 implies a 3.33% upside from the last close.
Image Source: Zacks Investment Research
HOLX and DGX’s Valuation
Hologic trades at a forward five-year price-to-sales (P/S) of 3.87X, lower than its median but above Quest Diagnostics’ P/S of 1.87X. Both HOLX and DGX carry a Value Score of B.
Image Source: Zacks Investment Research
Endnote on HOLX and DGX
Both companies hold a solid footing with distinct advantages. Hologic’s strength across its divisions continues to fuel growth, which existing investors will continue to benefit from. Quest Diagnostics is building momentum for its expanding Advanced Diagnostics portfolio, while acquisitions remain a growth driver as well. However, based on impressive YTD performance and cheap valuation, Quest Diagnostics appears to be the more compelling option.
Both Hologic and Quest Diagnostics carry a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.