DGX · Intrinsic value
Is Quest Diagnostics Incorporated (DGX) overvalued or undervalued?
Quest Diagnostics Incorporated (DGX) trades at the delayed market price of $235.00 a share. That price already implies revenue growth of 6.2% a year for 5 years. TickerWorth's fair value is $238.96 a share (priced within our range of $99.30 – $327.21). We do not call it over- or undervalued from inside our range.
Model by Miraaj Patel · generated from SEC filings and market data · Updated Oct 19, 2026 · How these pages are made
Is DGX fairly valued?
- Fair value
- $238.96
- Market price
- $235.00
- Upside to fair value
- +1.7%
- Verdict
- Priced within our range of $99.30 – $327.21
Reverse DCF: Today's price implies revenue growth of 6.2% a year for 5 years; our model assumes 5.9% a year on average over the same horizon.
What is DGX's TickerWorth Score?
Middle of the pack — real strengths and real weaknesses
Compared with Healthcare companies in US
Its strongest point: looks cheap on the numbers. Its weakest: balance sheet looks stretched.
- Value · 64 of 100
Cheaper than 64% of Healthcare companies in US
- Price vs worth · 51 of 100
- Quality · 51 of 100
More profitable than 51% of Healthcare companies in US
- Financial health · 28 of 100
Financially stronger than 28% of Healthcare companies in US
- Growth · 45 of 100
Growing faster than 45% of Healthcare companies in US
- Momentum · 63 of 100
Outperformed 63% of Healthcare companies in US over the past year
Confidence: High confidence · Scored
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DGX DCF valuation, input by input
At a recent price of $235.00, Quest Diagnostics Incorporated (DGX) trades roughly at TickerWorth's blended fair value of $238.96 per share — a discounted-cash-flow model cross-checked against peer multiples and asset value — meaning the market currently prices DGX in line with our estimate of what the business is intrinsically worth. Our fair value sits above the market, an implied +1.7% move to close the gap if the business performs in line with our assumptions. This is an educational model, not a price target or a recommendation — the value moves with the inputs, which you can test yourself using the WACC slider below.
Read the full reasoning
One of the lenses behind that blended figure is a discounted-cash-flow model, which on its own values DGX at about $232.38 per share. The rest of this page walks through that DCF — its assumptions, reverse-DCF and discount-rate sensitivity — because it is the auditable anchor of the blend.
The valuation discounts Quest Diagnostics Incorporated's projected free cash flows at a weighted-average cost of capital (WACC) of 7.2%, with a long-run terminal growth rate of 2.5%. About 81% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.
Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly 6.2% annual revenue growth for DGX. Our base case instead compounds to about 5.9% a year over the same forecast, so the market's implied growth is broadly in line with our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, DGX's modeled DCF value ranges from about $141.25 to $526.01 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.
How to read this page: the DCF fair value is what Quest Diagnostics Incorporated would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of DGX's intrinsic value. Figures update as new filings and prices come in.
Every input behind DGX's DCF
| Input | Value |
|---|---|
| Base-year revenueQuest Diagnostics Inc FY2025 10-K (accession 0001022079-26-000015): us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax, FY2025 full year. | $11,035,000,000 |
| Base EBIT marginQuest Diagnostics Inc FY2025 10-K (accession 0001022079-26-000015): us-gaap:OperatingIncomeLoss 1,556,000,000 / revenue 11,035,000,000 = 14.10%, FY2025. | 14.1% |
| Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast | 8% → 7% → 6% → 5% → 4% |
| Risk-free rateLive feed — US 10-year Treasury yield (^TNX) | 5.1% |
| BetaLive feed — yfinance, 5-year monthly beta vs the S&P 500 (clamped to 0.4–2.5) | 0.54 |
| Terminal growthESTIMATEAssumption — TickerWorth house default 2.5%, held below WACC | 2.5% |
| Diluted sharesQuest Diagnostics Inc FY2025 10-K (accession 0001022079-26-000015): WeightedAverageNumberOfDilutedSharesOutstanding = 113,000,000 shares, FY2025. | 113M |
| Market priceBackup price feed · as of 2026-10-19 12:47 UTC | $235.00 |
Change DGX's assumptions
The discount-rate dial and the editable model
ProChange growth, margin and WACC yourself — Pro (7-day free trial, card required).
What does Quest Diagnostics Incorporated do?
What does it do?
Quest Diagnostics Incorporated provides diagnostic testing and services in the United States. The company develops and delivers diagnostic information services, such as routine, non-routine and advanced clinical testing, anatomic pathology testing, and other diagnostic information services. It operates in the Diagnostics & Research industry (Healthcare sector), headquartered in United States. The company employs roughly 46,000 people.
How does it make money?
The business turns $11.6B in annual revenue into profit. Out of every $100 of sales, about $15 is left as operating profit (operating margin of 15.2%), after a 33% gross margin on the products/services it sells. After all costs, taxes and interest, 9.2% of revenue becomes bottom-line net profit.
Is it financially healthy?
Financially it looks mixed: carries modest debt (0.8× equity), comfortably covers its short-term bills (1.6× current ratio), and is currently profitable.
Who at DGX filed insider trades?
| Date | Insider | Relationship | What happened | Value | Filing |
|---|---|---|---|---|---|
| Davis J. E. | Director, CEO and President | Open-market sale | $2,427,200.00 | Form 4 for Davis J. E. (opens sec.gov in a new tab) | |
| PREVOZNIK MICHAEL E | SVP & General Counsel | Option exercise | $2,543,679.09 | Form 4 for PREVOZNIK MICHAEL E (opens sec.gov in a new tab) | |
| PREVOZNIK MICHAEL E | SVP & General Counsel | Open-market sale | $3,888,436.76 | Form 4 for PREVOZNIK MICHAEL E (opens sec.gov in a new tab) | |
| PREVOZNIK MICHAEL E | SVP & General Counsel | Open-market sale | $1,519,504.72 | Form 4 for PREVOZNIK MICHAEL E (opens sec.gov in a new tab) | |
| PREVOZNIK MICHAEL E | SVP & General Counsel | Open-market sale | $105,141.36 | Form 4 for PREVOZNIK MICHAEL E (opens sec.gov in a new tab) | |
| PREVOZNIK MICHAEL E | SVP & General Counsel | Gift | — | Form 4 for PREVOZNIK MICHAEL E (opens sec.gov in a new tab) |
A disclosure, not a signal to trade. Source: SEC EDGAR (Form 4). Older filings and the 90-day buying-and-selling read are part of Pro. See plans
Common questions
What is DGX's intrinsic value?
TickerWorth's blended fair value for Quest Diagnostics Incorporated (DGX) is $238.96 per share, versus a market price of $235.00 (roughly at fair value).
Is DGX overvalued or undervalued?
On our blended fair value DGX looks in line with fair value at $235.00. This is an educational estimate, not advice.
What discount rate is used for DGX?
A WACC of 7.2% and a terminal growth rate of 2.5%.
Is Quest Diagnostics stock undervalued?
TickerWorth's fair value for Quest Diagnostics Incorporated (DGX) is $238.96 against a market price of $235.00. Our read: Priced within our range of $99.30 – $327.21. This is a model estimate, not investment advice.
Quest Diagnostics (DGX) DCF valuation and fair value
Our fair value for Quest Diagnostics Incorporated (DGX) is $238.96, built on a 7.2% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into Quest Diagnostics stock?
Today's price implies revenue growth of 6.2% a year for 5 years; our model assumes 5.9% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $235.00. A model estimate, not investment advice.
Quest Diagnostics (DGX) insider trading
The most recent insider filing (SEC Form 4) for Quest Diagnostics Incorporated (DGX): Davis J. E., Director, CEO and President, open-market sale on 2026-09-01. The latest filings are listed on this page. A disclosure, not a signal to trade.
Not investment advice. TickerWorth Score is a model output.
Educational tool. Every output reflects the assumptions shown — not a prediction and not investment advice. TickerWorth is not a licensed investment adviser, and these figures are estimates from public filings and market data that can be wrong.