Peet Serfontein & Khumbulani Kunene
We enter a long position with a target price of $205.00 and a stop-loss of $177.00.
Quest Diagnostics Incorporated is a leading United States (US)-based provider of diagnostic testing, information and services. The company operates a national network of full-service laboratories, rapid response laboratories, and patient service centres.
Quest provides insights that empower and enable a broad range of customers, including patients, clinicians, hospitals, health plans and employers. The company serves about one-third of the adult population in the US annually and ~50% of the physicians and hospitals in the US per year.
Technically, the combination of a bullish regime classification, positive trend and momentum signals, as well as an improving composite score, signals a potential investment opportunity. The pattern on the main chart illustrates the bullish support because all three regime components (trend, momentum and cycles) point to a constructive market environment.
A series of green Heikin-Ashi candles supports upside potential as well. This modified candlestick technique averages price data to smooth out market noise and better highlights trend direction. Fading downside price momentum according to the Moving Average Convergence Divergence (MACD), and the recent upward trajectory of the on-balance volume (OBV) indicator also supports our bullish view.
Fading downside price momentum according to the Moving Average Convergence Divergence (MACD), and the recent upward trajectory of the on-balance volume (OBV) indicator also supports our bullish view.
| Share Information | |
|---|---|
| Share Code | DGX US |
| Industry | Health Care Equipment & Services |
| Market Capital (USD) | 20.6 billion |
| One Year Total Return | 15.45% |
| Return Year-to-date | .18% |
| Current Price (USD) | 185.17 |
| 52 Week High (USD) | 197.55 |
| 52 Week Low (USD) | 157.20 |
| Financial Year End | December |
| The price is above its 200-day simple moving average (SMA) and above its 200-week SMA, which also supports a bull case for the stock, highlighting long-term structural demand. | |
| Consensus Expectations (Bloomberg) | ||||
|---|---|---|---|---|
| FY24 | FY25E | FY26E | FY27E | |
| Headline Earnings per Share (USD) | 8.93 | 9.81 | 10.41 | 11.36 |
| Growth (%) | 9.84 | 6.15 | 9.11 | |
| Dividend Per Share (USD) | 3.00 | 3.07 | 3.13 | 3.20 |
| Growth (%) | 2.37 | 1.86 | 2.30 | |
| Forward PE (times) | 17.63 | 16.12 | 16.30 | |
| Forward Dividend Yield (%) | 1.66 | 1.69 | 1.73 | |
| The company is expected to deliver steady earnings growth over the medium term, which remain supportive of our bullish outlook. Management also upgrade FY25 expectations following a strong performance over 3Q25. | ||||
Buy/Sell Rationale:
Technical Analysis:
Fundamental view:
| Share Name and Position | AXON - Buy (Close the position) |
BKNG - Buy (Close the position) |
KO - Buy (Continue to hold) |
GNRC - Buy (Continue to hold) |
|---|---|---|---|---|
| Entry | 620.52 | 5 195.76 | 71.24 | 170.45 |
| Current Price | 459.86 | 4 644.64 | 76.89 | 173.28 |
| Movement | -25.9% | -10.6% | +7.9% | +1.7% |
| Comment | The stock hit our stop-loss level, prompting us to close the position. | The stock hit our stop-loss level, prompting us to close the position. |
An upward-sloping expected price path across some AI forecast horizons remains of interest. Remains above its 200-day simple moving average. Strong upside momentum is supportive.
Our profit target is $80.00, with a trailing stop at $75.70. |
The price remains in a developing inclining channel pattern and above its 200-day simple moving average. The start of upside price momentum supports the trade strategy.
Our profit target is $202.00 with a trailing stop-loss at $165.50. |
| Time to exit | 21 April 2026 | 29 April 2026 |
| Share Name and Position | ARKK - Buy (Continue to hold) |
|---|---|
| Entry | 78.22 |
| Current Price | 79.77 |
| Movement | +2.0% |
| Comment | <
A developing broadening-bottom pattern in the price remains of interest. Remains above its 200-day simple moving average. Fading downside price momentum is supportive.
Our profit target is $98.00 with a trailing stop-loss at $75.15. |
| Time to exit | 8 July 2026 |
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