NAS10029,447+1.73%S&P7,638+1.14%GOLD$4,412+0.27%BTC$77,965+2.04%VIX15.48+0.26%live tape · as of 19:00 UTC
The Screen · Healthcare · Diagnostics & Research
Quest Diagnostics
DGX · a US exchange · USD · Market cap $26.0B · 57,000 employees
Quest Diagnostics Incorporated provides diagnostic testing and services in the United States.
FAIL · Does not pass the screen
235.46 USD
At the last full screen 2026-09-09
Screened 2026-09-09 · the tape above runs as of 19:00 UTC · two dates, stated on purpose · verdict and workings shown in full · never trimmed
The Label · The Season, Not the Day
This name holds its markup label.
Quest Diagnostics holds its Markup at $235.46. Consolidating, no directional conviction, held for 30 days.
As held on the ledger · 2026-09-09
Phase
Markup
Quantitative state
Consolidating, no directional conviction, held for 30 days
Price at the screen
$235.46
Valuation
25.00 trailing · 19.53 forward price to earnings
Values screen
FAIL· score 10.0
Beta
0.55
The Workings
Five Screens, Shown in Full
Does not pass. Debt ratio
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
40.59%
Below 33%
Interest-bearing debt is 40.6% of its assets, above the one-third ceiling the screen allows.
Fail
Interest-bearing cash
0.84%
Below 33%
Cash held in interest-bearing accounts and securities is 0.8% of assets, under the one-third limit.
Pass
Receivables
11.27%
Below 49%
Money owed to the company is 11.3% of assets, under the 49% limit.
Pass
Revenue purity
0.12%
Below 5%
Only 0.1% of revenue comes from non-compliant sources, under the 5% line.
Pass
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
What the Numbers Say It Is Worth
The Fair Value Range
Our framework reads AVOID: it trades at roughly a 9% discount to our $257.63 fair value, narrow competitive moat, 10.20% revenue growth.
Fair value range in USD, drawn from the 2026-09-09 screen. The gold marker is the market price at the same screen. A 9.4% margin of safety to the base estimate.
Third-party analyst targets: 15 covering, consensus Buy. The average target sits +6% from the screen price.
Reading the gap · Both our model and the analysts see meaningful upside from here.
Price History & Projections
Where it has been, where the models see it going. History from market close data; projection points are our fair-value estimates and third-party analyst targets, dated to the 2026-09-09 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
Quest Diagnostics trips on its own debt
Picture a routine blood test or cancer screen, the kind millions rely on each year. Quest runs those labs across the US and pulls in steady demand, yet the business still fails our ethical screen on debt ratio. That single red flag is enough to keep us away even though revenue is growing 9 percent and ROE sits at 15 percent.
We pass because the ethical test comes first. A narrow moat and forward P/E of 18.1 times do not change the fact that leverage sits outside our limits. Analyst chatter and a modest gap to fair value cannot override that hard rule.
The real risk is that high debt leaves little room if volumes soften or reimbursement rates tighten. A 9 percent profit margin offers thin protection in a sector where pricing pressure never really goes away. Analysis, not advice.
The risks · The main risks here are ordinary market swings and the chance our fair-value read proves too optimistic.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
DGX trades on a US exchange. As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The framework has shifted from markdown to accumulation since the last review. Smart money appears to be quietly building positions. This typically precedes a markup phase. Price has moved up 16.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it B, carrying a low risk profile. Technically it is holding around 3% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 17%. Our forward projection puts the odds of a 10% gain over the next month near 16%. The street (16 analysts) rates it buy, with a mean price target of $223.
2026-07-26Markdown$210.68+5.2%Entry 4
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved up 5.2% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is holding around 3% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 17%. Our forward projection puts the odds of a 10% gain over the next month near 16%. The street (16 analysts) rates it buy, with a mean price target of $223.
2026-07-18Markdown$200.29+0.0%Entry 3
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is holding around 3% above its long-term trend line with momentum reading neutral. Over the past year the shares are up 17%. Our forward projection puts the odds of a 10% gain over the next month near 16%. The street (16 analysts) rates it buy, with a mean price target of $223.
2026-07-03Markdown$200.29+0.0%Entry 2
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns.
2026-07-02Markdown$200.29Entry 1
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
