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LH Stock Up in Pre-Market on Q1 Earnings & Revenue Beat, 2026 View Up
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Key Takeaways
Labcorp reported Q1 EPS of $4.25 and revenues of $3.54B, both beating estimates and rising year over year.
LH saw growth across Diagnostics and Biopharma segments, driven by organic gains, volumes and FX tailwinds.
Labcorp raised 2026 revenue and EPS guidance following strong results and ongoing strategic initiatives.
Labcorp Holdings (LH - Free Report) or Labcorp reported first-quarter 2026 adjusted earnings per share (EPS) of $4.25, which beat the Zacks Consensus Estimate by 3.8%. The figure rose 10.6% from the year-ago level.
The adjusted figure excludes the impact of certain amortization expenses and restructuring charges, among others.
On a GAAP basis, EPS was $3.35 compared with $2.52 in the year-ago period.
LH Revenues
First-quarter revenues rose 5.8% year over year to $3.54 billion. The figure surpassed the Zacks Consensus Estimate by 1%.
The year-over-year increase was driven by organic revenue growth of 3.1%, acquisitions (net of divestitures) of 1.4% and a foreign currency translation gain of 1.3%.
Following the announcement, Labcorp’s shares edged up 0.7% in the pre-market session today.
Labcorp’s Q1 Performance by Segments
The company currently operates under two segments — Diagnostics Laboratories and Biopharma Laboratory Services (comprised of its Central Laboratories and Early Development Research Laboratories).
Diagnostics Laboratories reported revenues of $2.76 billion, reflecting a 5% improvement year over year.
On an organic basis, revenues were up 2.9%. The company’s total volumes (measured by requisitions) increased 2.5%, as acquisition volumes contributed 1.4% and organic volumes rose 1.1%.
Biopharma Laboratory Services revenues rose 8.2% to $780.6 million in the quarter. The year-over-year increase was primarily driven by organic growth of 3.7% and a foreign currency translation gain of 5.5%.
Labcorp’s Margin Performance
The gross margin expanded 32 basis points (bps) to 28.7% in the first quarter despite a 5.3% rise in the cost of revenues.
The adjusted operating income improved 15.1% year over year to $462.8 million. The adjusted operating margin expanded 106 bps year over year to 13.1% despite 0.9% rise in SG&A expenses ($551 million).
Labcorp’s Cash Position
Labcorp exited the first quarter of 2026 with cash and cash equivalents of $981.1 million compared with $532.3 million at the end of the fourth quarter of 2025. Long-term debt totaled $5.83 billion in the quarter.
Cumulative net cash provided by operating activities at the end of the first quarter was $191.5 million compared with $18.5 million a year ago.
Labcorp Holdings Inc. Price, Consensus and EPS Surprise
Labcorp raised full-year 2026 enterprise revenue and adjusted EPS guidance. Enterprise-level guidance includes the estimated impact from currently anticipated capital allocation, including acquisitions, share repurchases and dividends.
Total revenues for 2026 are now expected to be in the range of $14.65-$14.80 billion (up from $14.61-$14.79 billion), representing growth of 5-6.1% (up from 4.7-6%). The Zacks Consensus Estimate for full-year revenues is pegged at $14.67 billion, representing growth of 5.2%.
Labcorp now expects 2026 adjusted EPS to be in the band of $17.70-$18.35 (up from $17.55-$18.25). The Zacks Consensus Estimate for the metric is pegged at $17.67.
Our View on LH Stock
Labcorp exited the first quarter of 2026 with better-than-expected results, with both earnings and revenues beating estimates. All the business segments reported growth in the quarter.
Key growth drivers include the launch of an AI-powered real-world data platform with Amazon Web Services and Datavant to advance Alzheimer’s research, alongside the FDA-cleared Labcorp Fentanyl Visual Urine Test for rapid screening. During the first quarter, collaborations with PathAI enable the deployment of AISight, while work with Illumina expands access to advanced oncology genomic testing, improving precision in biomarker insights. Supported by the strong quarterly performance and multiple catalysts, management raised its 2026 outlook.
Meanwhile, expansion of both margins is encouraging.
LH’s Zacks Rank & Key Picks
Labcorp currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Globus Medical (GMED - Free Report) , Intuitive Surgical (ISRG - Free Report) and Phibro Animal Health (PAHC - Free Report) .
Globus Medical, currently sporting a Zacks Rank #1 (Strong Buy), reported a fourth-quarter 2025 adjusted EPS of $1.28, which surpassed the Zacks Consensus Estimate by 20.8%. Revenues of $826.4 million beat the Zacks Consensus Estimate by 4.9%. You can see the complete list of today’s Zacks #1 Rank stocks here.
GMED has an earnings yield of 4.7% compared with the industry’s negative yield of 1.4%. The company’s earnings beat estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 18.79%.
Intuitive Surgical, carrying a Zacks Rank #2 (Buy) at present, posted a first-quarter 2026 adjusted EPS of $2.50, exceeding the Zacks Consensus Estimate by 20.2%. Revenues of $2.77 billion topped the Zacks Consensus Estimate by 6.2%.
ISRG has an earnings yield of 2.1% in contrast to the industry’s negative yield of 0.9%. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 16.82%.
Phibro Animal Health, carrying a Zacks Rank #2 at present, posted a second-quarter fiscal 2026 adjusted EPS of 87 cents, exceeding the Zacks Consensus Estimate by 27.01%. Revenues of $373.9 million outperformed the Zacks Consensus Estimate by 4.72%.
PAHC has an estimated long-term earnings growth rate of 21.5% compared with the industry’s 12.1% growth. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 20.15%.
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LH Stock Up in Pre-Market on Q1 Earnings & Revenue Beat, 2026 View Up
Key Takeaways
Labcorp Holdings (LH - Free Report) or Labcorp reported first-quarter 2026 adjusted earnings per share (EPS) of $4.25, which beat the Zacks Consensus Estimate by 3.8%. The figure rose 10.6% from the year-ago level.
The adjusted figure excludes the impact of certain amortization expenses and restructuring charges, among others.
On a GAAP basis, EPS was $3.35 compared with $2.52 in the year-ago period.
LH Revenues
First-quarter revenues rose 5.8% year over year to $3.54 billion. The figure surpassed the Zacks Consensus Estimate by 1%.
The year-over-year increase was driven by organic revenue growth of 3.1%, acquisitions (net of divestitures) of 1.4% and a foreign currency translation gain of 1.3%.
Following the announcement, Labcorp’s shares edged up 0.7% in the pre-market session today.
Labcorp’s Q1 Performance by Segments
The company currently operates under two segments — Diagnostics Laboratories and Biopharma Laboratory Services (comprised of its Central Laboratories and Early Development Research Laboratories).
Diagnostics Laboratories reported revenues of $2.76 billion, reflecting a 5% improvement year over year.
On an organic basis, revenues were up 2.9%. The company’s total volumes (measured by requisitions) increased 2.5%, as acquisition volumes contributed 1.4% and organic volumes rose 1.1%.
Biopharma Laboratory Services revenues rose 8.2% to $780.6 million in the quarter. The year-over-year increase was primarily driven by organic growth of 3.7% and a foreign currency translation gain of 5.5%.
Labcorp’s Margin Performance
The gross margin expanded 32 basis points (bps) to 28.7% in the first quarter despite a 5.3% rise in the cost of revenues.
The adjusted operating income improved 15.1% year over year to $462.8 million. The adjusted operating margin expanded 106 bps year over year to 13.1% despite 0.9% rise in SG&A expenses ($551 million).
Labcorp’s Cash Position
Labcorp exited the first quarter of 2026 with cash and cash equivalents of $981.1 million compared with $532.3 million at the end of the fourth quarter of 2025. Long-term debt totaled $5.83 billion in the quarter.
Cumulative net cash provided by operating activities at the end of the first quarter was $191.5 million compared with $18.5 million a year ago.
Labcorp Holdings Inc. Price, Consensus and EPS Surprise
Labcorp Holdings Inc. price-consensus-eps-surprise-chart | Labcorp Holdings Inc. Quote
LH’s 2026 Guidance
Labcorp raised full-year 2026 enterprise revenue and adjusted EPS guidance. Enterprise-level guidance includes the estimated impact from currently anticipated capital allocation, including acquisitions, share repurchases and dividends.
Total revenues for 2026 are now expected to be in the range of $14.65-$14.80 billion (up from $14.61-$14.79 billion), representing growth of 5-6.1% (up from 4.7-6%). The Zacks Consensus Estimate for full-year revenues is pegged at $14.67 billion, representing growth of 5.2%.
Labcorp now expects 2026 adjusted EPS to be in the band of $17.70-$18.35 (up from $17.55-$18.25). The Zacks Consensus Estimate for the metric is pegged at $17.67.
Our View on LH Stock
Labcorp exited the first quarter of 2026 with better-than-expected results, with both earnings and revenues beating estimates. All the business segments reported growth in the quarter.
Key growth drivers include the launch of an AI-powered real-world data platform with Amazon Web Services and Datavant to advance Alzheimer’s research, alongside the FDA-cleared Labcorp Fentanyl Visual Urine Test for rapid screening. During the first quarter, collaborations with PathAI enable the deployment of AISight, while work with Illumina expands access to advanced oncology genomic testing, improving precision in biomarker insights. Supported by the strong quarterly performance and multiple catalysts, management raised its 2026 outlook.
Meanwhile, expansion of both margins is encouraging.
LH’s Zacks Rank & Key Picks
Labcorp currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Globus Medical (GMED - Free Report) , Intuitive Surgical (ISRG - Free Report) and Phibro Animal Health (PAHC - Free Report) .
Globus Medical, currently sporting a Zacks Rank #1 (Strong Buy), reported a fourth-quarter 2025 adjusted EPS of $1.28, which surpassed the Zacks Consensus Estimate by 20.8%. Revenues of $826.4 million beat the Zacks Consensus Estimate by 4.9%. You can see the complete list of today’s Zacks #1 Rank stocks here.
GMED has an earnings yield of 4.7% compared with the industry’s negative yield of 1.4%. The company’s earnings beat estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 18.79%.
Intuitive Surgical, carrying a Zacks Rank #2 (Buy) at present, posted a first-quarter 2026 adjusted EPS of $2.50, exceeding the Zacks Consensus Estimate by 20.2%. Revenues of $2.77 billion topped the Zacks Consensus Estimate by 6.2%.
ISRG has an earnings yield of 2.1% in contrast to the industry’s negative yield of 0.9%. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 16.82%.
Phibro Animal Health, carrying a Zacks Rank #2 at present, posted a second-quarter fiscal 2026 adjusted EPS of 87 cents, exceeding the Zacks Consensus Estimate by 27.01%. Revenues of $373.9 million outperformed the Zacks Consensus Estimate by 4.72%.
PAHC has an estimated long-term earnings growth rate of 21.5% compared with the industry’s 12.1% growth. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 20.15%.