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Laboratory Corporation of America Holdings (LH)

Upturn stock ratingUpturn stock rating
$260
Last Close (24-hour delay)
Profit since last BUY6.12%
upturn advisory
Consider higher Upturn Star rating
BUY since 37 days
  • BUY Advisory
  • SELL Advisory (Profit)​
  • SELL Advisory (Loss)​
  • Profit
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Upturn Stock infoUpturn Stock info Stock price based on last close
*as per simulation
(see disclosures)
Time period over
  • ALL
  • YEAR
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Upturn Advisory Summary

07/02/2025: LH (1-star) has a low Upturn Star Rating. Not recommended to BUY.

Upturn Star Rating

rating

Not Recommended Performance

These Stocks/ETFs, based on Upturn Advisory, consistently fall short of market performance, signaling caution before investing.

Number of Analysts

rating

20 Analysts rated it

Well-followed company, solid analyst reports, reliable data for confident investing.

1 Year Target Price $277.23

1 Year Target Price $277.23

Analysts Price Target For last 52 week
$277.23Target price
Low$196.61
Current$260
high$265.72

Analysis of Past Performance

Type Stock
Historic Profit 10.85%
Avg. Invested days 46
Today’s Advisory Consider higher Upturn Star rating
Upturn Star Rating Upturn stock ratingUpturn stock rating
Upturn Advisory Performance Upturn Advisory Performance 4.0
Stock Returns Performance Upturn Returns Performance 2.0
Upturn Profits based on simulationUpturn Profits based on simulation Profits based on simulation
Upturn Profits based on simulationUpturn Profits based on simulation Last Close 07/02/2025

Key Highlights

Company Size Large-Cap Stock
Market Capitalization 22.12B USD
Price to earnings Ratio 30.48
1Y Target Price 277.23
Price to earnings Ratio 30.48
1Y Target Price 277.23
Volume (30-day avg) 20
Beta 0.79
52 Weeks Range 196.61 - 265.72
Updated Date 07/2/2025
52 Weeks Range 196.61 - 265.72
Updated Date 07/2/2025
Dividends yield (FY) 1.10%
Basic EPS (TTM) 8.67

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

Revenue by Geography

Geography revenue - Year on Year

Earnings Date

Report Date -
When -
Estimate -
Actual -

Profitability

Profit Margin 5.55%
Operating Margin (TTM) 9.94%

Management Effectiveness

Return on Assets (TTM) 4.18%
Return on Equity (TTM) 8.98%

Valuation

Trailing PE 30.48
Forward PE 16.47
Enterprise Value 28268762000
Price to Sales(TTM) 1.68
Enterprise Value 28268762000
Price to Sales(TTM) 1.68
Enterprise Value to Revenue 2.15
Enterprise Value to EBITDA 15.61
Shares Outstanding 83700000
Shares Floating 83247183
Shares Outstanding 83700000
Shares Floating 83247183
Percent Insiders 0.36
Percent Institutions 96.44

Analyst Ratings

Rating 4
Target Price 277.23
Buy 3
Strong Buy 13
Buy 3
Strong Buy 13
Hold 4
Sell -
Strong Sell -
Strong Sell -

ai summary icon Upturn AI SWOT

Laboratory Corporation of America Holdings

stock logo

Company Overview

overview logo History and Background

Laboratory Corporation of America Holdings (Labcorp) was formed in 1995 through the merger of Roche Biomedical Laboratories and National Health Laboratories. It has grown through acquisitions and organic growth to become one of the largest clinical laboratory networks globally.

business area logo Core Business Areas

  • Diagnostics: Provides a broad range of routine and specialized clinical laboratory tests and services to healthcare providers, hospitals, managed care organizations, and pharmaceutical companies. Includes testing for infectious diseases, cancer, cardiovascular diseases, and other conditions.
  • Drug Development: Offers drug development services to pharmaceutical and biotechnology companies, including clinical trial management, central laboratory services, and bioanalytical testing.

leadership logo Leadership and Structure

Adam Schechter is the Chairman and CEO. The company operates with a corporate structure that includes various executive vice presidents overseeing different business segments and functions.

Top Products and Market Share

overview logo Key Offerings

  • Routine Clinical Testing: Comprehensive suite of standard blood, urine, and other tests used for diagnosis and monitoring. Labcorp holds a significant share in this market. Competitors include Quest Diagnostics and smaller regional labs. Revenue difficult to isolate as part of broader diagnostics segment.
  • Specialty Testing: Advanced diagnostic tests in areas such as genetics, oncology, and immunology. This is a high-growth area with strong demand. Competitors include NeoGenomics and Myriad Genetics. Revenue difficult to isolate as part of broader diagnostics segment.
  • Drug Development Services: Clinical trial management and laboratory services for pharmaceutical companies. Labcorp is a major player in this market. Competitors include IQVIA and PPD. Revenue can be found on Labcorp's quarterly/annual reports.

Market Dynamics

industry overview logo Industry Overview

The clinical laboratory services industry is characterized by consolidation, technological advancements, and increasing demand for diagnostic testing. Factors driving growth include an aging population, rising prevalence of chronic diseases, and personalized medicine.

Positioning

Labcorp is a leading provider of clinical laboratory services, with a strong national presence and a comprehensive test menu. Its competitive advantages include its extensive network, scale, and expertise in specialized testing.

Total Addressable Market (TAM)

The global clinical laboratory services market is estimated to be worth over $250 billion. Labcorp is well-positioned to capture a significant share of this TAM through its diverse service offerings and strong market presence.

Upturn SWOT Analysis

Strengths

  • Extensive laboratory network
  • Comprehensive test menu
  • Strong brand reputation
  • Established relationships with healthcare providers
  • Large scale and economies of scale

Weaknesses

  • High debt levels
  • Reliance on reimbursement rates
  • Exposure to regulatory changes
  • Competition from smaller, more specialized labs
  • Past legal settlements related to billing practices

Opportunities

  • Expanding into emerging markets
  • Developing new diagnostic tests
  • Acquiring smaller labs
  • Leveraging technology for efficiency improvements
  • Partnering with pharmaceutical companies for drug development

Threats

  • Decreasing reimbursement rates
  • Increasing competition
  • Technological disruptions
  • Regulatory changes
  • Economic downturns

Competitors and Market Share

competitor logo Key Competitors

  • QDEL
  • DGX
  • HOLX

Competitive Landscape

Labcorp faces intense competition from Quest Diagnostics, as well as from smaller regional and specialized labs. Its advantages include its scale, comprehensive test menu, and strong brand reputation.

Major Acquisitions

Personal Genome Diagnostics

  • Year: 2022
  • Acquisition Price (USD millions): 575
  • Strategic Rationale: Expanding cancer genomic profiling capabilities.

Growth Trajectory and Initiatives

Historical Growth: Labcorp has experienced moderate growth over the past several years, driven by acquisitions and organic expansion.

Future Projections: Analyst estimates project continued growth, although the pace may be affected by economic conditions and regulatory changes.

Recent Initiatives: Recent initiatives include expanding its specialty testing capabilities, investing in technology, and pursuing strategic acquisitions.

Summary

Labcorp is a major player in the clinical laboratory services industry, characterized by a strong network and comprehensive test offerings. Decreasing reimbursement rates from payers may be a concern. The company is exposed to the risk of increasing debt levels. Future opportunities include expansion into emerging markets and partnerships with pharma companies.

Peer Comparison

Sources and Disclaimers

Data Sources:

  • Company SEC Filings (10-K, 10-Q)
  • Company Website
  • Industry Reports
  • Analyst Reports
  • Press Releases

Disclaimers:

This analysis is for informational purposes only and should not be considered financial advice. Market data and analyst estimates are subject to change.

Upturn AI SummarizationUpturn AI Summarization AI Summarization is directionally correct and might not be accurate.

Upturn AI SummarizationUpturn AI Summarization Summarized information shown could be a few years old and not current.

Upturn AI SummarizationUpturn AI Summarization Fundamental Rating based on AI could be based on old data.

Upturn AI SummarizationUpturn AI Summarization AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.

About Laboratory Corporation of America Holdings

Exchange NYSE
Headquaters Burlington, NC, United States
IPO Launch date 1990-03-29
President, CEO & Chairman Mr. Adam H. Schechter
Sector Healthcare
Industry Diagnostics & Research
Full time employees 60900
Full time employees 60900

Labcorp Holdings Inc. provides laboratory services. It operates through two segments, Diagnostics Laboratories and Biopharma Laboratory Services. The company offers various tests, such as blood chemistry analyses, urinalyses, blood cell counts, thyroid, PAP, hemoglobin A1C, prostate-specific antigens, sexually transmitted diseases, hepatitis C, vitamin D, microbiology cultures and procedures, and alcohol and other substance-abuse tests. It also provides specialty testing services comprising gene-based and esoteric testing; advanced tests target specific diseases; services related to anatomic pathology/oncology, cardiovascular disease, coagulation, diagnostic genetics, endocrinology, infectious disease, women's health, pharmacogenetics, parentage and donor testing, occupational testing services, medical drug monitoring services, chronic disease programs, and kidney stone prevention tests; and health and wellness services to employers and managed care organizations (MCOs). In addition, the company offers online and mobile applications that enable patients to check offerings, schedule PSC visits, check-in upon PSC arrival, complete documentation, access tests and test results, and manage their accounts; online applications for providers, MCOs, and accountable care organizations; specimen collection services; and drug development, medical device, and companion diagnostic development solutions, as well as support for crop protection and chemical testing. It serves pharmaceutical, biotechnology, medical device, and diagnostics companies; and MCOs, employer plans, other health insurance providers, governments, physician, large provider organizations, other healthcare providers, hospitals and health systems, patients and consumers, crop protection and chemical companies, academic institutions, independent clinical laboratories, and retailers. The company was founded in 1995 is headquartered in Burlington, North Carolina.