DGXQUEST DIAGNOSTICS INC

Services-Medical Laboratories

Revenue: $11.0B; 12% YoY
Operating margin: 14.1%; 3.4% YoY
EBITDA: $2.1B; 16% YoY
Market cap: $27.7B
Employees: 57,000; $194K revenue each
Net debt / EBITDA: 2.2×; $4.7B net debt
AI in 10-K: 6.8; mentions per 10K words

Takeover score 2 of 13

Fixable underperformance 1 of 7

TSR below peersNo
1 of 5 years
3+ of last 5 years
High CEO pay despite TSRNo
—
Median CEO pay ≥ $15M while TSR trails
Earnings not backed by cashNo
190% of net income
Cash flow under 80% of net income
Dilutive SBCNo
1% of revenue
Over 10% of revenue
Payouts exceed cash flowNo
43% of cash flow
Buybacks + dividends over cash flow
Goodwill-heavyYes
53% of assets
Over 40% of assets
Shareholder dissentNo
92% lowest support
Any vote under 80% support

Buyer economics 0 of 4

Low revenue per employeeNo
$194K · 38th pct
Bottom quartile of its SIC industry
Quiet on AINo
6.8 per 10K words · 87th pct
Bottom quartile of AI mentions in 10-Ks
Net cashNo
2.2× EBITDA net debt
More cash than debt, positive EBITDA
Buyout-sizedNo
$27.7B market cap
Market cap $500M–$5B

Catalysts 1 of 2

Active 13DNo
0 filings
Active-intent 13D in 18 months
Net insider sellingYes
−$37M net
Net sales over $10M in 12 months

Financials

Metric	FY2021	FY2022	FY2023	FY2024	FY2025	YoY	Trend
Revenue	$10.8B	$9.9B	$9.3B	$9.9B	$11.0B	12%
Operating income	$2.4B	$1.4B	$1.3B	$1.3B	$1.6B	16%
Net income	$2.0B	$946M	$854M	$871M	$992M	14%
Operating cash flow	$2.2B	$1.7B	$1.3B	$1.3B	$1.9B	41%
Capex	$403M	$404M	$408M	$425M	$527M	24%
Stock-based comp	$79M	$77M	$77M	$88M	$88M	0.0%
Buybacks	$2.2B	$1.4B	$275M	$151M	$450M	198%
Dividends	$309M	$305M	$314M	$331M	$353M	6.6%

Deal filings

None.

13D filers

None on file.

Insider trading

Open-market buys, 12 mo: $0 · 0
Open-market sells, 12 mo: $37M · 30
Net: −$37M

Pay vs performance

Year	CEO total comp	Comp actually paid	TSR (indexed)	Peer TSR
FY2025	—	—	161	148
FY2024	—	—	137	129
FY2023	—	—	123	126
FY2022	—	—	136	124
FY2021	—	—	148	126