Quest Diagnostics Inc.
) is scheduled to report its fourth-quarter 2013 results before
the opening bell on Jan 30. Last quarter, Quest Diagnostics had
posted a negative earnings surprise of 1.92%. Let's see how
things are shaping up for this announcement.
Factors at Play
Quest Diagnostics has delivered negative earnings surprises in
all of the last four quarters with an average miss of 5.73%.
Although the company's massive organizational restructuring
strategy implemented since Jan 2013 to increase operational
efficiency and restore growth is encouraging, near-term
visibility remains a matter of concern. In addition, Quest
Diagnostics is continuously witnessing challenges with respect to
testing volume. Moreover, lower healthcare utilization and
reimbursement pressure from government and other payers continue
to pose threats.
Meanwhile, Quest Diagnostics has been focusing on
high-potential areas such as gene-based esoteric testing for
cancer, cardiovascular disease, infectious disease and
Our proven model does not conclusively show that Quest
Diagnostics is likely to beat earnings this quarter. That is
because a stock needs to have both a positive
(Expected Surprise Prediction) and a Zacks Rank #1, 2 or 3 for
this to happen. That is not the case here as you will see
Earnings ESP for Quest Diagnostics is 0.00% since the Most
Accurate estimate stands at $0.94, in line with the Zacks
Quest Diagnostics' Zacks Rank #4 (Sell) when combined with a
0.00% ESP, makes surprise prediction difficult.
Other Stocks to Consider
Here are some other companies you may want to consider as our
model shows that they have the right combination of elements,
i.e., a positive Zacks Earnings ESP and a Zacks Rank #1, #2 or
) has an Earnings ESP of +14.29% and holds a Zacks Rank #2 (Buy).
DexCom is expected to report its fourth quarter earnings on Feb
Cardinal Health, Inc.
) has an Earnings ESP of +2.41% and holds a Zacks Rank #2.
Cardinal Health will report second quarter fiscal 2014 earnings
on Jan 30.
Symmetry Medical, Inc.
) has an Earnings ESP of +14.29% and holds a Zacks Rank #3
(Hold). Symmetry Medical will be reporting fourth quarter
earnings on Feb 20.
CARDINAL HEALTH (CAH): Free Stock Analysis
QUEST DIAGNOSTC (DGX): Free Stock Analysis
DEXCOM INC (DXCM): Free Stock Analysis Report
SYMMETRY MEDICL (SMA): Free Stock Analysis
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