Quest Diagnostics raises 2026 EPS and revenue guidance

What happened: Quest Diagnostics (DGX) raised its 2026 EPS guidance to $10.63-$10.83, up from $10.50-$10.70, and revenue guidance to $11.78-$11.90 billion, from $11.70-$11.80 billion. BioMerieux (EYWN.MU, BIM.PA) reported a 3.9% organic sales decline in Q1, revising its 2026 guidance. Quest's Q1 earnings call highlighted 9% organic revenue growth driven by clinical innovations.

Market impact: The diagnostics sector is affected. Quest's guidance raise signals strong demand for clinical services, boosting investor confidence. BioMerieux's sales decline and guidance revision, due to a weaker respiratory season, contrasts with Quest's performance, potentially differentiating these companies in investors' minds.

What to watch next: Quest Diagnostics' Q2 earnings call on July 27, 2023, and BioMerieux's Q2 earnings release on July 28, 2023, will provide further insights into each company's performance and guidance. Additionally, monitor the respiratory season's progress, as it significantly impacts BioMerieux's sales.