#4 - Laboratory Corp. (NYSE:LH)
Laboratory Corp. (NYSE: LH), or LabCorp, as it's more commonly known, is one of the leading providers of diagnostic (lab) testing and drug development. It's a business model that provides predictable revenue that has seemed to be a good investment with the aging of America.
The company saw revenue and earnings surge in 2021 based on a need for Covid-19 testing. But the story now is one of normalization. In the quarter just passed, LabCorp saw a 3.5% decrease in revenue from its Covid-19 testing. And that was a key reason why revenue and earnings were lower year-over-year.
This creates a scenario where revenue and earnings are around 2019 levels, but LH stock is trading well above those levels. On the other hand, the RSI for the stock is around 25.7.
Something has to give, and analysts may provide the answer. There is broad bullish sentiment for LH stock with a consensus price target of $243.50, giving investors about 20% growth from the stock's April 17, 2024 price.
About Laboratory Co. of America
Labcorp Holdings, Inc engages in providing medical testing services. The company was founded on April 16, 2024 and is headquartered in Burlington, NC.
- Current Price
- $249.87
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 13 Buy Ratings, 3 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $263.46 (5.4% Upside)
