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DGX · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Quest Diagnostics Inc. (DGX) stock moving?
Quest's Q3 2026 report on Oct 22 is the main fundamental event: revenue grew 10.0% to $3.10B, organic requisition volume rose 14.4%, and management raised full-year revenue and adjusted EPS guidance. The stock rose from a 226.22 low that day to close at 243.28 on about 1.69M shares, well above the typical 0.9-1.0M, and has since climbed steadily to 259.67 on Nov 9 and 258.44 on Nov 10. Price now sits above the newest $240 Evercore target, and recent closes have held in the 250-256 zone, with 259-260 acting as the recent ceiling. Negatives are a cybersecurity incident disclosed Oct 22 in which patient records were accessed, with scope still under investigation; a $13M DOJ kickback settlement on Nov 6, small against annual revenue but a compliance reminder; and insider sales, including a reported $5.48M sale and a Form 144 for 11,700 shares on Nov 9. The Stryker board nomination for CEO Jim Davis is a governance headline without direct operating impact. Upcoming items include CFO conference appearances on Dec 1 and the 2027 Investor Day on March 25, 2027.
News behind the analysis
- Stryker Nominates Quest Diagnostics CEO Jim Davis to Board of DirectorsStryker Corporation said it intends to nominate Quest Diagnostics Chairman, CEO and President Jim Davis to its board, effective January 1, 2027.
- Quest Diagnostics Settles Illegal Kickback Allegations for $13 MillionQuest agreed to pay $13 million to the U.S. Department of Justice to resolve allegations of providing illegal kickbacks to healthcare providers.
- Quest Diagnostics Insider Sold Shares Worth $5.48 MillionA recent SEC filing shows an insider at Quest sold company shares worth about $5.48 million.
- Quest Diagnostics Executive Sells SharesA Form 144 filing shows executive Patrick Plewman proposed to sell 11,700 shares of common stock on November 9, 2026.
- Quest Diagnostics Reports Third Quarter 2026 Financial Results Raises Revenue and EPS Guidance for Full Year 2026Q3 revenue rose 10.0% to $3.10B and adjusted diluted EPS rose 15.4% to $3.00; full-year 2026 revenue guidance raised to $12.065B-$12.105B and adjusted EPS guidance to $11.25-$11.35.
- Quest Diagnostics Discloses Unauthorized Access to Quanum LSM SystemQuest said unauthorized access to its Quanum LSM test-ordering system exposed certain patient records; federal law enforcement was notified and the business was not materially disrupted.
- Evercore ISI Adjusts Price Target on Quest Diagnostics to $240 From $235Evercore ISI raised its price target on Quest Diagnostics from $235 to $240.
- DOT Consortium Integrates with Quest Diagnostics for New Compliance Testing PackagesDOT Consortium launched return-to-duty and follow-up testing packages on a platform that integrates with Quest's laboratory network.
- Quest Diagnostics CFO to Participate in 9th Annual Evercore Healthcare ConferenceCFO Sam Samad will hold a fireside chat at the 9th Annual Evercore Healthcare Conference in Miami on December 1, 2026.
About Quest Diagnostics Inc.
Quest Diagnostics, based in Secaucus, New Jersey, is one of the two largest clinical lab companies in the US. It runs medical tests for doctors, hospitals, insurers and consumers, from routine blood work to advanced tests like its AD-Detect blood tests for Alzheimer's disease. Together with a large network of patient service centers, this gives it national scale.
How it makes money
Almost all of its revenue (well over 90%) comes from Diagnostic Information Services, which means running lab tests and getting paid per test, or per requisition, by health insurers, Medicare and Medicaid, patients and hospitals. Its customers include physician practices, hospital systems that send out tests or have Quest run their labs, employers, and a growing direct-to-consumer business. The company has guided to roughly $12.1 billion in revenue for 2026, about 9-10% growth. Part of that growth comes from deals with Corewell Health and Fresenius.
What usually moves DGX
- Testing volumes and physician office visits
- Medicare reimbursement changes (PAMA lab fee cuts)
- Hospital lab outsourcing deals and acquisitions
- Growth in advanced and consumer-initiated testing
- Cost savings from automation and AI