Quest Diagnostics (Quest Diagnostics (DGX)) stock surged Thursday after the diagnostic testing company reported second-quarter results that topped Wall Street expectations and raised its full-year 2026 guidance.

Earnings And Revenue Top Estimates

Adjusted earnings rose to $3.12 per share, beating the analyst consensus estimate of $2.83. Revenue increased 10.2% year over year to $3.043 billion, ahead of the $2.973 billion consensus estimate. Consolidated organic revenue grew 10%.

Adjusted operating income climbed 7.8% to $502 million.

Quest Diagnostics' second-quarter results showed growth across every major customer channel, with strong demand from physicians, hospitals and consumers driving a 10% increase in organic revenue.

Management also highlighted robust momentum in preventive healthcare, saying its consumer wellness business continued to expand as more people sought health screening and diagnostic tests, reinforcing the company's long-term growth strategy.

Quest Diagnostics Sees Broad-Based Volume Growth

Total requisition volume increased 13.1% from a year earlier, while organic volume rose 13%, driven by broad clinical demand from physicians, hospitals and consumers, as well as higher testing volumes from collaborations with Corewell Health and Fresenius Medical Care.

The Corewell Health and Fresenius relationships contributed about 9% of total volume during the quarter. Excluding those partnerships, requisition volume increased 4.1%.

Revenue per requisition declined 2.8% year over year, reflecting the business mix from the two partnerships. Excluding that impact, revenue per requisition increased 2.9%, primarily due to a higher number of tests per requisition. Unit price reimbursement was flat from a year earlier, in line with company expectations.

Quest Diagnostics Raises Full-Year Outlook

“With strong growth and sustained demand for our diagnostic insights, we are again raising our full-year guidance,” Chairman, President and CEO Jim Davis said.

Quest Diagnostics raised its fiscal 2026 adjusted earnings guidance to $11.05 to $11.25 per share, up from its previous forecast of $10.63 to $10.83, and above the Wall Street consensus estimate of $10.76.

The company also increased its full-year revenue outlook to $11.95 billion to $12.05 billion, from a prior range of $11.78 billion to $11.90 billion. The updated forecast exceeds the analyst consensus estimate of $11.851 billion.

DGX Price Action: Quest Diagnostics shares were up 6.14% at $222.71 at the time of publication on Thursday. The stock is trading at a new 52-week high.