Is Quest Diagnostics, Inc. overvalued or undervalued?

As of 30 June 2025, the valuation grade for Quest Diagnostics, Inc. has moved from attractive to fair. This suggests that the company is fairly valued at present. Key valuation ratios include a P/E ratio of 28, an EV to EBITDA of 17.29, and a Price to Book Value of 4.09. In comparison, peers such as IQVIA Holdings, Inc. have a higher P/E of 36.39, while Laboratory Corp. of America Holdings has a P/E of 29.20, indicating that Quest Diagnostics is positioned competitively within its industry.
In terms of recent performance, Quest Diagnostics has achieved a year-to-date return of 21.52%, significantly outperforming the S&P 500's 12.22% during the same period, although it lags behind the S&P 500 over longer horizons like 3 years and 5 years. Overall, the current valuation metrics suggest that Quest Diagnostics is fairly valued in the market.