LH Stock Analysis: Laboratory of America | NYSE
Diagnostics & Research | NYSE, USA | Market Cap: 26.991m USD | 12M Return: 24.2% | US5049221055 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 205M
EPS Trend: 89.7%
Qual. Beats: 3
Rev. Trend: 94.2%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Labcorp Holdings Inc. (NYSE: LH) is a U.S.-based clinical laboratory services company operating through two segments: Diagnostics Laboratories and Biopharma Laboratory Services. The company provides a broad menu of routine and specialty tests, including blood chemistry, urinalysis, blood cell counts, thyroid and PSA tests, sexually transmitted disease panels, vitamin D testing, microbiology cultures, and substance abuse screening. Its specialty testing portfolio covers gene-based and esoteric diagnostics, anatomic pathology and oncology, cardiovascular disease, coagulation, diagnostic genetics, endocrinology, infectious disease, womens health, pharmacogenetics, parentage and donor testing, occupational testing, medical drug monitoring, chronic disease programs, and kidney stone prevention.
Labcorp has increasingly invested in digital and technology-enabled offerings, including digital pathology solutions that support the digitization and centralized review of pathology slides, online and mobile platforms for providers, managed care organizations, ACOs, and patients (covering scheduling, check-in, results access, and account management), as well as a Generative AI-enabled Test Selection tool. The company serves a diverse client base spanning individual patients, third-party payers, Medicare/Medicaid, pharmaceutical and biotechnology firms, medical device and diagnostic companies, and contract research organizations (CROs). It maintains strategic collaborations, including with the Childrens Hospital of Philadelphia to advance pediatric diagnostics and with the Alliance for Clinical Trials in Oncology to support a national colorectal cancer clinical trial.
As one of the largest clinical laboratory operators in the United States, Labcorps business model is anchored in high-volume routine testing combined with higher-margin specialty and esoteric testing, supplemented by biopharma services that support drug discovery, development, and commercialization. The U.S. clinical laboratory industry is heavily influenced by third-party reimbursement from Medicare, Medicaid, and private insurers, while also serving growing direct-pay and consumer-initiated testing channels. The company was founded in 1995 and is headquartered in Burlington, North Carolina.
- Biopharma Lab Services revenue grows on clinical trial demand
- Medicare reimbursement cuts pressure diagnostics segment margins
- Quest Diagnostics competition pressures routine testing market share
| Net Income: 1.00b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA -0.75 > 1.0 |
| NWC/Revenue: 11.78% < 20% (prev 10.16%; Δ 1.62% < -1%) |
| CFO/TA 0.09 > 3% & CFO 1.64b > Net Income 1.00b |
| Net Debt (7.53b) to EBITDA (2.15b): 3.50 < 3 |
| Current Ratio: 1.80 > 1.5 & < 3 |
| Outstanding Shares: last quarter (82.0m) vs 12m ago -2.50% < -2% |
| Gross Margin: 27.85% > 18% (prev 28.14%; Δ -0.29% > 0.5%) |
| Asset Turnover: 78.42% > 50% (prev 74.66%; Δ 3.76% > 0%) |
| Interest Coverage Ratio: 6.41 > 6 (EBIT TTM 1.46b / Interest Expense TTM 227.2m) |
| A: 0.09 (Total Current Assets 3.81b - Total Current Liabilities 2.12b) / Total Assets 18.5b |
| B: 0.47 (Retained Earnings 8.70b / Total Assets 18.5b) |
| C: 0.08 (EBIT TTM 1.46b / Avg Total Assets 18.3b) |
| D: 0.87 (Book Value of Equity 8.61b / Total Liabilities 9.91b) |
| Altman-Z'' = 3.58 = A |
| DSRI: 1.03 (Receivables 2.50b/2.28b, Revenue 14.3b/13.5b) |
| GMI: 1.01 (GM 28.14% / 27.85%) |
| AQI: 1.04 (AQ_t 0.63 / AQ_t-1 0.60) |
| SGI: 1.06 (Revenue 14.3b / 13.5b) |
| TATA: -0.03 (NI 1.00b - CFO 1.64b) / TA 18.5b) |
| Beneish M = -2.92 (Cap -4..+1) = A |
As of August 26, 2026, the stock is trading at USD 339.34 with a total of 466,287 shares traded. Over the past week, the price has changed by +4.95%, over one month by +14.34%, over three months by +31.66% and over the past year by +24.20%.
Current recommended Stop Loss: 328.80 (which is 3.1% or 1.3 ATR below the current price).
Laboratory of America has received a consensus analysts rating of 4.45. Therefore, it is recommended to buy LH.
- StrongBuy: 13
- Buy: 3
- Hold: 4
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 337.8 | -0.5% |
P/E Trailing = 27.5505
P/E Forward = 18.2149
P/S = 1.8812
P/B = 3.1137
P/EG = 1.3804
Revenue TTM = 14.3b USD
EBIT TTM = 1.46b USD
EBITDA TTM = 2.15b USD
Long Term Debt = 5.86b USD (from longTermDebt, last quarter)
Short Term Debt = 185.9m USD (from shortTermDebt, last quarter)
Debt = 7.67b USD (from shortLongTermDebtTotal, last quarter) + Leases 907.6m
Net Debt = 7.53b USD (calculated: Debt 7.67b - CCE 141.8m)
Enterprise Value = 34.5b USD (27.0b + Debt 7.67b - CCE 141.8m)
Interest Coverage Ratio = 6.41 (Ebit TTM 1.46b / Interest Expense TTM 227.2m)
EV/FCF = 29.88x (Enterprise Value 34.5b / FCF TTM 1.16b)
FCF Yield = 3.35% (FCF TTM 1.16b / Enterprise Value 34.5b)
FCF Margin = 8.05% (FCF TTM 1.16b / Revenue TTM 14.3b)
Net Margin = 6.99% (Net Income TTM 1.00b / Revenue TTM 14.3b)
Gross Margin = 27.85% ((Revenue TTM 14.3b - Cost of Revenue TTM 10.4b) / Revenue TTM)
Gross Margin QoQ = 29.80% (prev 26.52%)
Tobins Q-Ratio = 1.86 (Enterprise Value 34.5b / Total Assets 18.5b)
Interest Expense / Debt = 2.96% (Interest Expense 227.2m / Debt 7.67b)
Taxrate = 18.66% (230.2m / 1.23b)
NOPAT = 1.18b (EBIT 1.46b * (1 - 18.66%))
Current Ratio = 1.80 (Total Current Assets 3.81b / Total Current Liabilities 2.12b)
Debt / Equity = 0.89 (Debt 7.67b / totalStockholderEquity, last quarter 8.61b)
Debt / EBITDA = 3.50 (Net Debt 7.53b / EBITDA 2.15b)
Debt / FCF = 6.52 (Net Debt 7.53b / FCF TTM 1.16b)
Total Stockholder Equity = 8.66b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.48% (Net Income 1.00b / Total Assets 18.5b)
RoE = 11.57% (Net Income TTM 1.00b / Total Stockholder Equity 8.66b)
RoCE = 10.02% (EBIT 1.46b / Capital Employed (Equity 8.66b + L.T.Debt 5.86b))
RoIC = 7.20% (NOPAT 1.18b / Invested Capital 16.5b)
WACC = 5.73% (E(27.0b)/V(34.7b) * Re(6.67%) + D(7.67b)/V(34.7b) * Rd(2.96%) * (1-Tc(0.19)))
Discount Rate = 6.67% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -91.41 | Cagr: -1.43%
[DCF] Terminal Value 74.21% ; FCFF base≈1.20b ; Y1≈1.12b ; Y5≈1.02b
[DCF] Fair Price = 106.3 (EV 16.2b - Net Debt 7.53b = Equity 8.62b / Shares 81.1m; r=8.35% [WACC [floored]]; 5y FCF grow -8.45% → 2.50% )
EPS Correlation: 89.65 | EPS CAGR: 7.97% | SUE: 3.16 | # QB: 3
Revenue Correlation: 94.16 | Revenue CAGR: 6.01% | SUE: 0.48 | # QB: 0
EPS current Quarter (2026-09-30): EPS=4.65 | Chg30d=+1.03% | Revisions=+77% | Analysts=13
EPS current Year (2026-12-31): EPS=18.35 | Chg30d=+1.90% | Revisions=+80% | GrowthEPS=+11.6% | GrowthRev=+5.7%
EPS next Year (2027-12-31): EPS=19.78 | Chg30d=+1.76% | Revisions=+72% | GrowthEPS=+7.8% | GrowthRev=+4.9%
[Analyst] Revisions Ratio: +88% (up=36, down=1)