Quest Diagnostics Shareholders Elect Directors, Approve Proposals

Published 22/05/2025, 11:34
Quest Diagnostics Shareholders Elect Directors, Approve Proposals

Quest Diagnostics Incorporated (NYSE:DGX), a leading provider of diagnostic information services with a market capitalization of $19 billion, has announced the results of its 2025 Annual Meeting of Stockholders held on May 15. The company, which has maintained dividend payments for 22 consecutive years and achieved 9.38% revenue growth in the last twelve months, gathered shareholders to vote on several key issues, including the election of directors, executive compensation, and ratification of the independent auditor. According to InvestingPro analysis, Quest Diagnostics currently trades near its 52-week high of $179.99, reflecting strong market confidence.

All nominated directors were elected to serve until the 2026 Annual Meeting. The votes for each director showed a significant majority in favor, with a small percentage against and abstentions, along with broker non-votes. The directors elected include Robert B. Carter, James E. Davis, Luis A. Diaz, Jr., M.D., Tracey C. Doi, Vicky B. Gregg, Wright L. Lassiter, III, Timothy L. Main, Denise M. Morrison, Gary M. Pfeiffer, Timothy M. Ring, and others. This strong shareholder support comes as Quest maintains a solid financial health score of "GOOD" according to InvestingPro metrics, with nine analysts recently revising earnings estimates upward for the upcoming period.

The advisory resolution to approve executive officer compensation was passed with over 85 million votes for, 8.5 million against, and approximately 308,000 abstentions. A significant number of broker non-votes were also recorded.

Additionally, the appointment of PricewaterhouseCoopers as the company’s independent registered public accounting firm for 2025 was ratified with a substantial majority of over 95 million votes for and under 7 million against.

A stockholder proposal regarding the ability to call a special meeting was not approved, with over 84 million votes against, 9.4 million for, and about 910,000 abstentions.

The results of the meeting reflect shareholder confidence in the current board and management, as well as approval of the company’s executive compensation approach and the choice of auditors. The filing also noted that the information is based on a press release statement. For investors seeking deeper insights, InvestingPro offers comprehensive analysis of Quest Diagnostics’ performance, including 8 additional ProTips and detailed financial metrics in its Pro Research Report, part of its coverage of over 1,400 US equities.

In other recent news, Quest Diagnostics has reported a strong performance in its first-quarter 2025 earnings, surpassing market expectations. The company achieved an adjusted earnings per share (EPS) of $2.21, exceeding the projected $2.16, and reported revenues of $2.65 billion, slightly above the anticipated $2.64 billion. Additionally, Fitch Ratings upgraded Quest Diagnostics’ Long-Term Issuer Default Rating from ’BBB’ to ’BBB+’, citing stable operational performance and a strong market position in the U.S. clinical laboratory sector. Meanwhile, JPMorgan has adjusted its price target for Quest Diagnostics to $190, maintaining a neutral rating, reflecting confidence in the company’s stable investment potential amidst market volatility. The firm’s projections for adjusted EPS in fiscal years 2025 and 2026 have been slightly increased, indicating a positive outlook. Quest Diagnostics also reaffirmed its full-year 2025 revenue guidance, projecting between $10.7 billion and $10.85 billion, with an expected organic revenue growth of 3%. Fitch anticipates that the company’s mergers and acquisitions (M&A) activities will be more measured, aligning with historical levels. The company is also investing in Project NOVA to enhance its order-to-cash processes, with a planned capital expenditure of $2.2 billion between 2025 and 2028.

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