Quest Diagnostics recently introduced the AD-Detect™ blood test, a significant development aimed at confirming Alzheimer's-related amyloid brain pathology. Over the last quarter, the company's stock price moved up by 4%, despite broader market declines of 12% driven by tariff-related uncertainties. Quest's robust performance, alongside its collaboration with GRAIL and a 6.7% dividend increase, provided a counterbalance to the volatile market conditions. While the healthcare sector faced overall challenges, Quest's innovative product developments and strategic partnerships contributed positively to its returns in a challenging economic backdrop.

We've identified 1 weakness for Quest Diagnostics that you should be aware of.

Explore 21 top quantum computing companies leading the revolution in next-gen technology and shaping the future with breakthroughs in quantum algorithms, superconducting qubits, and cutting-edge research.

The recent introduction of Quest Diagnostics' AD-Detect™ blood test could substantially influence the company's narrative and future trajectory. This innovation aligns with the firm's strategy to focus on advanced diagnostics, which is expected to fuel growth. By expanding its product offerings in brain health, Quest may positively impact its revenue and earnings forecasts. Analysts predict revenue growth driven by new diagnostic tests and strategic partnerships. The company's collaboration with GRAIL could further bolster its revenue streams by enabling diversification and enhancing overall operational efficiencies through technology.

Over the past five years, Quest Diagnostics achieved an impressive total return of 95.79%, reflecting its robust long-term performance. This is in contrast to its one-year return, which surpassed the US Healthcare industry's 0.3% increase and the broader market's 3.8% decline. This discrepancy highlights Quest's ability to maintain resilience amid market challenges.

While the company's recent 4% increase in share price within the last quarter underscores its positive short-term momentum against broader market declines, it remains slightly below the price target of US$177.10, with a current share price of US$169.28. Despite a modest 4.4% discount to the consensus price target, analysts generally view the stock as fairly priced, suggesting a degree of confidence in its forecasted growth and profit margins. Potential improvements through strategic initiatives, such as expanded Medicare Advantage access and international market presence, may further support revenue growth projections.

Gain insights into Quest Diagnostics' future direction by reviewing our growth report.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include NYSE:DGX.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com