Market Overview

Bank of America Merrill Lynch Reiterates Buy Rating, $64 PT on Quest Diagnostics

Share:
Related DGX
MKM Looked To The Options Market To Find Its Top 10 M&A Targets
Benzinga's Top Downgrades

In a report published Wednesday, Bank of America Merrill Lynch reiterated its Buy rating and $64.00 price target on Quest Diagnostics (NYSE: DGX).

BofA Merrill Lynch noted, “We were pleased to see DGX follow through on its objective to refocus on its core diagnostic services business, as we continue to believe streamlining the business model, deleveraging, and returning more to shareholders sooner is the right response to a challenging industry environment. Near term, commercial and government reimbursement pressures and light volume will pressure earnings growth, but a few years down the road, expanded health care coverage, a growing focus on outcomes based care, and substantial cost cutting and share repurchases may facilitate a return to double-digit earnings growth and an attractive ROIC profile, in our view. In the interim, our focus is on strong, continuing cash flow. We reiterate our positive outlook.”

Quest Diagnostics closed on Monday at $58.27.

Latest Ratings for DGX

DateFirmActionFromTo
Jun 2015Goldman SachsDowngradesBuyNeutral
Jun 2015KeyBancInitiates Coverage onSector Weight
Mar 2015JMP SecuritiesInitiates Coverage onMarket Perform

View More Analyst Ratings for DGX
View the Latest Analyst Ratings

Posted-In: Bank of America Merrill LynchAnalyst Color Reiteration Analyst Ratings

 

Related Articles (DGX)

Around the Web, We're Loving...

Get Benzinga's Newsletters