Labcorp (NYSE:LH) Shares Gap Down – Time to Sell?

Labcorp Holdings Inc. (NYSE:LH)’s share price gapped down prior to trading on Tuesday . The stock had previously closed at $320.99, but opened at $303.46. Labcorp shares last traded at $313.95, with a volume of 129,255 shares changing hands.

Wall Street Analysts Forecast Growth

LH has been the subject of a number of research reports. Mizuho set a $355.00 price objective on Labcorp in a research report on Monday, August 10th. UBS Group boosted their price objective on Labcorp from $361.00 to $380.00 and gave the company a “buy” rating in a research report on Friday, September 11th. Bank of America upped their target price on Labcorp from $300.00 to $320.00 and gave the company a “buy” rating in a research note on Monday, July 13th. Truist Financial raised their target price on Labcorp from $350.00 to $365.00 and gave the stock a “buy” rating in a research report on Monday. Finally, Barclays lifted their price target on shares of Labcorp from $320.00 to $330.00 and gave the stock an “equal weight” rating in a research note on Friday, September 11th. Nine research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $337.73.

Labcorp Trading Down 3.2%

The company has a debt-to-equity ratio of 0.69, a current ratio of 1.80 and a quick ratio of 1.53. The business’s 50 day simple moving average is $315.41 and its 200 day simple moving average is $283.41. The stock has a market cap of $25.19 billion, a P/E ratio of 25.74, a PEG ratio of 1.82 and a beta of 0.88.

Labcorp (NYSE:LH) last issued its earnings results on Thursday, July 30th. The medical research company reported $4.99 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.78 by $0.21. The business had revenue of $3.73 billion during the quarter, compared to analysts’ expectations of $3.71 billion. Labcorp had a return on equity of 16.74% and a net margin of 6.99%.Labcorp’s quarterly revenue was up 5.8% compared to the same quarter last year. During the same period in the prior year, the firm posted $4.35 EPS. Labcorp has set its FY 2026 guidance at 18.100-18.550 EPS. On average, analysts expect that Labcorp Holdings Inc. will post 18.32 earnings per share for the current fiscal year.

Labcorp Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, September 11th. Shareholders of record on Friday, August 28th were paid a dividend of $0.72 per share. This represents a $2.88 annualized dividend and a yield of 0.9%. The ex-dividend date was Friday, August 28th. Labcorp’s dividend payout ratio is currently 23.82%.

Insider Activity at Labcorp

In related news, EVP Amy B. Summy sold 924 shares of the stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $306.74, for a total transaction of $283,427.76. Following the completion of the sale, the executive vice president owned 6,956 shares in the company, valued at $2,133,683.44. This trade represents a 11.73% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, EVP Kathryn W. Kyle sold 92 shares of the stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $286.19, for a total transaction of $26,329.48. Following the sale, the executive vice president owned 3,904 shares of the company’s stock, valued at $1,117,285.76. This trade represents a 2.30% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 8,919 shares of company stock valued at $2,826,593. Insiders own 0.84% of the company’s stock.

Institutional Trading of Labcorp

Large investors have recently added to or reduced their stakes in the company. REAP Financial Group LLC lifted its stake in Labcorp by 20.4% during the fourth quarter. REAP Financial Group LLC now owns 218 shares of the medical research company’s stock worth $55,000 after purchasing an additional 37 shares during the last quarter. V Square Quantitative Management LLC increased its stake in Labcorp by 1.7% during the first quarter. V Square Quantitative Management LLC now owns 2,418 shares of the medical research company’s stock valued at $645,000 after purchasing an additional 40 shares during the last quarter. Meeder Advisory Services Inc. raised its holdings in shares of Labcorp by 4.5% during the first quarter. Meeder Advisory Services Inc. now owns 1,021 shares of the medical research company’s stock worth $272,000 after purchasing an additional 44 shares during the period. Cary Street Partners Investment Advisory LLC raised its holdings in shares of Labcorp by 7.6% during the fourth quarter. Cary Street Partners Investment Advisory LLC now owns 668 shares of the medical research company’s stock worth $168,000 after purchasing an additional 47 shares during the period. Finally, Moss Adams Wealth Advisors LLC lifted its position in shares of Labcorp by 3.6% in the 1st quarter. Moss Adams Wealth Advisors LLC now owns 1,364 shares of the medical research company’s stock worth $364,000 after buying an additional 47 shares during the last quarter. 95.94% of the stock is owned by institutional investors.

Labcorp Company Profile

Labcorp (NYSE: LH), formerly Laboratory Corporation of America Holdings, is a global life sciences and laboratory services company headquartered in Burlington, North Carolina. The company provides diagnostic testing and related services to physicians, hospitals, health systems, employers, government agencies and consumers.

Its diagnostics business offers routine and specialty laboratory testing, including molecular, genetic, oncology, women’s health, infectious disease and pathology services.