Labcorp (NYSE:LH) Releases Quarterly Earnings Results, Beats Expectations By $0.21 EPS

Posted by Brenda Bartman on Jul 30th, 2026

Labcorp (NYSE:LH – Get Free Report) released its earnings results on Thursday. The medical research company reported $4.99 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.78 by $0.21, FiscalAI reports. The company had revenue of $3.73 billion for the quarter, compared to the consensus estimate of $3.71 billion. Labcorp had a net margin of 6.66% and a return on equity of 16.29%. Labcorp’s quarterly revenue was up 5.8% compared to the same quarter last year. During the same quarter in the previous year, the company earned $4.35 EPS. Labcorp updated its FY 2026 guidance to 18.100-18.550 EPS.

Here are the key takeaways from Labcorp’s conference call:

Strong Q2 performance: Revenue rose 5.8% to $3.7 billion, adjusted operating margin expanded 70 basis points to 15.8%, and adjusted EPS increased 14.9% to $4.99. Diagnostics and Biopharma Laboratory Services both delivered revenue growth and margin expansion.
Full-year guidance was raised: Labcorp increased the midpoint of its 2026 revenue outlook by $42 million and adjusted EPS outlook by $0.30 to $18.10–$18.55, implying more than 11% EPS growth at the midpoint.
Biopharma momentum improved: BLS revenue increased 6.5%, supported by strong Central Lab growth, a quarterly book-to-bill ratio of 1.14, and improving Early Development trends. The company raised its midpoint outlook for BLS revenue growth and expects continued segment margin expansion.
Specialty and consumer testing remain growth drivers: Specialty diagnostics grew at double-digit rates in the first half, while Labcorp OnDemand also delivered strong double-digit growth. New offerings include the nationwide ColoSense colorectal cancer screening test and the upcoming Marker by Labcorp biomarker and genetic testing panel.
Capital deployment and reimbursement risks remain in focus: Labcorp repurchased $354 million of shares, invested $226 million in acquisitions, and received a new $1 billion share-repurchase authorization. Management expects an approximately 30-basis-point 2026 diagnostic-volume headwind from ACA-related changes and continues to monitor potential PAMA reimbursement impacts.

Labcorp Price Performance

Shares of LH stock traded up $4.46 during trading on Thursday, hitting $311.61. The company had a trading volume of 631,594 shares, compared to its average volume of 684,950. Labcorp has a 52 week low of $244.52 and a 52 week high of $315.77. The stock has a market capitalization of $25.55 billion, a price-to-earnings ratio of 27.58, a price-to-earnings-growth ratio of 2.09 and a beta of 0.89. The company has a quick ratio of 1.54, a current ratio of 1.73 and a debt-to-equity ratio of 0.68. The stock’s 50-day moving average is $272.53 and its two-hundred day moving average is $270.29.

Labcorp Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, September 11th. Stockholders of record on Friday, August 28th will be issued a dividend of $0.72 per share. The ex-dividend date of this dividend is Friday, August 28th. This represents a $2.88 annualized dividend and a dividend yield of 0.9%. Labcorp’s payout ratio is presently 25.51%.

Labcorp News Summary

Here are the key news stories impacting Labcorp this week:

Positive Sentiment: Labcorp reported adjusted earnings of $4.99 per share, exceeding the roughly $4.78–$4.79 analyst consensus and rising from $4.35 a year earlier. Revenue increased 5.8% to $3.73 billion, also topping estimates. Labcorp raises annual profit forecast on strong testing demand
Positive Sentiment: Growth was broad-based: Diagnostics Laboratories revenue rose 5.5% to $2.90 billion, while Biopharma Laboratory Services revenue increased 6.5% to $836.2 million. Management cited steady diagnostic-testing demand and continued growth in drug-development services. Labcorp Announces 2026 Second Quarter Results
Positive Sentiment: Labcorp raised its fiscal 2026 adjusted EPS outlook to $18.10–$18.55, above the approximately $17.99 consensus, and issued revenue guidance of $14.71–$14.83 billion. It also increased its share-repurchase authorization by $1 billion and repurchased $353.8 million of stock during the quarter. Labcorp Holdings Surpasses Q2 Earnings and Revenue Estimates
Neutral Sentiment: Second-quarter organic revenue growth was 4.2%, indicating solid but moderate underlying expansion. Investors may want additional evidence that the higher forecast can be sustained through the remainder of 2026. Labcorp Reports Q2 CY2026 In Line With Expectations
Negative Sentiment: Despite the results and guidance increase, LH fell in premarket trading, likely reflecting elevated investor expectations after its strong run and concerns that the earnings beat was not large enough to support the valuation. The stock trades near its 52-week high with a forward earnings multiple in the high teens.
Negative Sentiment: Reported insider activity was entirely selling over the past six months, with executives including the CEO selling shares. While these transactions may be routine, the absence of insider purchases can weigh modestly on sentiment. Labcorp Q2 Revenue Rises 5.8 Percent

Insider Activity

In other news, CEO Adam H. Schechter sold 5,903 shares of Labcorp stock in a transaction on Monday, May 11th. The shares were sold at an average price of $254.50, for a total transaction of $1,502,313.50. Following the completion of the sale, the chief executive officer directly owned 107,234 shares of the company’s stock, valued at approximately $27,291,053. The trade was a 5.22% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Kathryn W. Kyle sold 92 shares of the stock in a transaction on Thursday, July 2nd. The shares were sold at an average price of $286.19, for a total value of $26,329.48. Following the completion of the transaction, the executive vice president directly owned 3,904 shares in the company, valued at approximately $1,117,285.76. This represents a 2.30% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 6,991 shares of company stock worth $1,796,696. 0.84% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Labcorp

Institutional investors have recently made changes to their positions in the business. JPL Wealth Management LLC bought a new stake in Labcorp in the third quarter worth $28,000. DV Equities LLC bought a new position in shares of Labcorp during the fourth quarter valued at about $29,000. Headlands Technologies LLC increased its holdings in shares of Labcorp by 300.0% in the second quarter. Headlands Technologies LLC now owns 128 shares of the medical research company’s stock worth $34,000 after buying an additional 96 shares during the period. EFG International AG bought a new stake in shares of Labcorp in the 4th quarter valued at about $33,000. Finally, Larson Financial Group LLC lifted its stake in shares of Labcorp by 37.5% in the 3rd quarter. Larson Financial Group LLC now owns 154 shares of the medical research company’s stock valued at $44,000 after acquiring an additional 42 shares during the last quarter. Hedge funds and other institutional investors own 95.94% of the company’s stock.

Analysts Set New Price Targets

Several research firms have weighed in on LH. Evercore reaffirmed an “outperform” rating and issued a $300.00 price target on shares of Labcorp in a research note on Wednesday, April 8th. Bank of America increased their price objective on shares of Labcorp from $300.00 to $320.00 and gave the stock a “buy” rating in a research report on Monday, July 13th. Weiss Ratings upgraded Labcorp from a “buy (b-)” rating to a “buy (b)” rating in a report on Friday, July 24th. Robert W. Baird increased their target price on Labcorp from $335.00 to $338.00 and gave the stock an “outperform” rating in a report on Monday, July 13th. Finally, Wall Street Zen upgraded shares of Labcorp from a “hold” rating to a “buy” rating in a report on Sunday, July 12th. Eight investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat.com, Labcorp presently has an average rating of “Moderate Buy” and an average target price of $315.33.

View Our Latest Report on LH

About Labcorp

(Get Free Report)

Laboratory Corporation of America Holdings, commonly known as Labcorp (NYSE: LH), is a global life sciences company that provides comprehensive clinical laboratory and drug development services. The company operates a broad network of laboratories, patient service centers and specialty testing sites to deliver diagnostic information and testing solutions that support patient care, clinical decision-making and population health initiatives.

Labcorp’s core businesses encompass clinical laboratory testing and pharmaceutical development services.