Shares of Quest Diagnostics ( DGX ) are falling Tuesday after the medical laboratories company shared mixed earnings results.

DGX is feeling the pressure from bearish momentum. See the trading setup here.

What To Know: While Quest Diagnostics ( DGX ) raised its revenue and adjusted earnings guidance for full-year 2025, the company lowered its GAAP earnings per share guidance to a range of $8.58 to $8.66 from a prior range of $8.60 to $8.80, which may be weighing on shares.

Quest Diagnostics ( DGX ) stock dropped nearly 4% after the company’s earnings results were released, according to Benzinga Pro.

The company brought in $2.82 billion in revenue, which was up 13.1% from last year and ahead of estimates of $2.74 billion. Quest also reported adjusted earnings per share of $2.60, beating estimates of $2.50. Growth was driven by broad-based adoption of clinical innovations, contributions from acquisitions and growth in the consumer channel.

“We delivered another quarter of robust top- and bottom-line growth, underscoring strong demand for our clinical solutions and diligent execution of our strategy,” said Jim Davis, chairman, president and CEO of Quest Diagnostics ( DGX ).

Quest noted that it recently entered into an agreement with Corewell Health to establish a lab services joint venture in Michigan. Annual revenues from this collaboration are expected to reach approximately $1 billion next year as services scale across 21 Corewell hospitals.

DGX Analysis: Quest Diagnostics ( DGX ) is trading slightly below its 50-day moving average, suggesting some bearish sentiment in the short term. The 200-day moving average stands at $172.77, providing a potential area of support should the stock continue to decline.

The relative strength index (RSI) of 63.60 suggests that the stock is in neutral territory, indicating that it is neither overbought nor oversold at this time. Quest has a strong year-to-date performance of 22.8%, indicating that despite the pullback, the stock has maintained a solid upward trajectory throughout the year.

DGX Price Action: Quest Diagnostics ( DGX ) shares were down 2.49% at $185.67 at the time of publication on Tuesday. The stock is trading within its 52-week range of $146.91 to $197.52, according to Benzinga Pro.

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