NYSE · Healthcare

Labcorp Holdings Inc.

LH · Diagnostics & Research

$252.46

▼ -3.38 (-1.32%)

Data cached · refreshes every 10 min

Mr. Market is currently offering Labcorp Holdings Inc. at $252.46.

The business passes only 3 of 7 of Graham's defensive criteria — well below his required standard.

Overall Grade

Defensive

Enterprising

Profitability C

Gross Profit Margin 28.8%

Operating Margin 10.9%

Net Income Margin 6.3%

Fin. Health D

Years to Pay Off Debt 7.4 yrs

Working Capital vs Long-Term Debt -$3.9B

Working Capital $1.2B

Valuation F

Margin of Safety 0.0%

Price-to-Book 2.41x

Cash Flow C

Free Cash Flow $1.2B

CapEx % of Net Income 49.6%

Owner Earnings $2.0B

3/7

Graham Score

Speculative

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $20.8B

Enterprise Value $27.3B

P/E (TTM) 22.38

Dividend Yield 1.13%

Exchange NYSE

Key Margins

Gross Profit 28.8%

Operating Margin 10.9%

Net Margin 6.3%

Company Info

Sector Healthcare

Industry Diagnostics & Research

Employees 71000

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Labcorp Holdings Inc. at $252.46.

The business passes only 3 of 7 of Graham's defensive criteria — well below his required standard.

At $252.46, the stock trades at a 61% premium to its Graham Number of $157.00. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.

About Labcorp Holdings Inc.

Labcorp Holdings Inc. provides laboratory services. It operates through two segments, Diagnostics Laboratories and Biopharma Laboratory Services. The company offers various tests, such as blood chemistry analyses, urinalyses, blood cell counts, thyroid tests, PAP tests, hemoglobin A1C, PSA, tests for sexually transmitted diseases, vitamin D testing, microbiology cultures and procedures, and alcohol and other substance abuse tests. It also provides specialty testing services comprising gene-based and esoteric testing; advanced tests target specific diseases; services related to anatomic pathology/oncology, cardiovascular disease, coagulation, diagnostic genetics, endocrinology, infectious disease, women's health, pharmacogenetics, parentage and donor testing, occupational testing services, medical drug monitoring services, chronic disease programs, and kidney stone prevention tests; and health and wellness services to employers and managed care organizations. In addition, the company offers digital pathology solutions, a pathology platforms that support the digitization, centralized review, and sharing of pathology slides; provider and payer digital platforms, an online applications for providers, MCOs, and ACOs; online and mobile applications that enable patients to check offerings, schedule PSC visits, check-in upon PSC arrival, complete documentation, access tests and test results, and manage their accounts; and Generative AI-enabled Test Selection, a generative AI-enabled tool. It serves clients, third party, medicare/medicaid, patients, pharmaceutical, biotechnology, medical device, diagnostic companies, and CROs. The company has a strategic collaboration with the Children's Hospital of Philadelphia to accelerate the discovery, development, and availability of pediatric diagnostics. The company was founded in 1995 and is headquartered in Burlington, North Carolina.

Showing Key Metrics

Income Highlights

Metric	2025	2024	2023	2022
Gross Profit %	28.8% ▲	27.9%	27.7%	31.3%
Operating Margin %	10.9% ▲	8.7%	9.2%	14.8%
Net Income %	6.3% ▲	5.7%	3.4%	10.8%
Diluted EPS	10.46 ▲	8.84	4.77	13.97

Balance Sheet Highlights

Metric	2025	2024	2023	2022	2021
Total Assets	$18.4B	$18.4B	$16.7B	$20.2B	N/A
Total Debt	$6.5B ↓	$7.3B	$6.0B	$6.2B	N/A
Working Capital	$1.2B ▼	$1.5B	$540M	$1.5B	N/A
Years to Pay Debt	7.45	9.75	14.24	4.88	N/A

Cash Flow Highlights

Metric	2025	2024	2023	2022	2021
Free Cash Flow	$1.2B ▲	$1.1B	$874M	$1.5B	N/A
Owner Earnings	$2.0B	$1.9B	$1.4B	$2.2B	N/A
CapEx % of Net Income	49.6%	65.7%	108.5%	33.6%	N/A

Income Statement

	2025	2024	2023	2022
Tax Effect Of Unusual Items	-24,074	-6,409	-122,238	-58,258
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	2,129,000	1,840,300	1,715,100	2,262,600
Total Unusual Items	-116,300	-29,000	-369,300	-308,200
Total Unusual Items Excluding Goodwill	-116,300	-29,000	-369,300	-308,200
Net Income From Continuing Operation Net Minority Interest	876,500	746,000	379,200	1,002,000
Reconciled Depreciation	681,100	643,500	577,300	537,200
Reconciled Cost Of Revenue	9,538,100	8,997,400	8,439,200	7,811,400
EBITDA	2,012,700	1,811,300	1,345,800	1,954,400
EBIT	1,331,600	1,167,800	768,500	1,417,200
Net Interest Income	-224,100	-208,300	-199,600	-179,800
Interest Expense	224,100	208,300	199,600	179,800
Normalized Income	968,726	768,591	626,262	1,251,942
Net Income From Continuing And Discontinued Operation	876,500	746,000	418,000	1,279,100
Total Expenses	12,435,500	11,870,900	11,037,900	10,111,700
Total Operating Income As Reported	1,384,700	1,086,700	725,600	1,436,500
Diluted Average Shares	83,800	84,400	87,600	91,600
Basic Average Shares	83,200	83,900	87,100	91,100
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	876,500	746,000	418,000	1,279,100
Net Income Common Stockholders	876,500	746,000	418,000	1,279,100
Net Income	876,500	746,000	418,000	1,279,100
Minority Interests	-1,200	-1,100	-1,200	-1,500
Net Income Including Noncontrolling Interests	877,700	747,100	419,200	1,280,600
Net Income Discontinuous Operations	0	0	38,800	277,100
Net Income Continuous Operations	877,700	747,100	380,400	1,003,500
Tax Provision	229,800	212,400	188,500	233,900
Pretax Income	1,107,500	959,500	568,900	1,237,400
Other Income Expense	-184,600	29,800	-355,200	-335,000
Other Non Operating Income Expenses	-55,000	60,200	15,500	-32,200
Special Income Charges	-131,500	-51,300	-398,100	-315,700
Impairment Of Capital Assets	4,300	5,300	349,000	261,700
Restructuring And Mergern Acquisition	127,200	46,000	49,100	54,000
Earnings From Equity Interest	-13,300	-1,400	-1,400	5,400
Gain On Sale Of Security	15,200	22,300	28,800	7,500
Net Non Operating Interest Income Expense	-224,100	-208,300	-199,600	-179,800
Interest Expense Non Operating	224,100	208,300	199,600	179,800
Operating Income	1,516,200	1,138,000	1,123,700	1,752,200
Operating Expense	2,496,300	2,486,400	2,241,200	1,956,700
Depreciation Amortization Depletion Income Statement	280,000	256,400	219,800	193,600
Depreciation And Amortization In Income Statement	280,000	256,400	219,800	193,600
Amortization	280,000	256,400	219,800	193,600
Amortization Of Intangibles Income Statement	280,000	256,400	219,800	193,600
Selling General And Administration	2,216,300	2,230,000	2,021,400	1,763,100
Gross Profit	4,012,500	3,624,400	3,364,900	3,708,900
Cost Of Revenue	9,939,200	9,384,500	8,796,700	8,155,000
Total Revenue	13,951,700	13,008,900	12,161,600	11,863,900
Operating Revenue	13,974,700	13,066,900	12,161,600	11,863,900

Balance Sheet

	2025	2024	2023	2022	2021
Ordinary Shares Number	82,200	83,400	83,900	88,200
Share Issued	82,200	83,400	83,900	88,200
Net Debt	5,052,400	4,812,800	4,517,700	5,019,500
Total Debt	6,526,000	7,272,800	5,954,200	6,246,400
Tangible Book Value	-1,765,700	-1,806,400	-1,609,500	850,000
Invested Capital	14,204,500	14,383,700	12,929,500	15,436,700
Working Capital	1,197,000	1,476,300	540,200	1,546,500
Net Tangible Assets	-1,765,700	-1,806,400	-1,609,500	850,000
Capital Lease Obligations	941,300	941,300	899,700	906,300
Common Stock Equity	8,619,800	8,052,200	7,875,000	10,096,600
Total Capitalization	13,704,400	13,383,400	11,929,700	15,135,400
Total Equity Gross Minority Interest	8,636,700	8,066,500	7,890,500	10,115,500
Minority Interest	16,900	14,300	15,500	18,900
Stockholders Equity	8,619,800	8,052,200	7,875,000	10,096,600
Gains Losses Not Affecting Retained Earnings	-27,600	-261,600	-59,300	-493,200
Other Equity Adjustments	-27,600	-261,600	-59,300	-493,200
Retained Earnings	8,639,900	8,303,400	7,888,200	10,581,700
Additional Paid In Capital	0	2,800	38,400	0
Capital Stock	7,500	7,600	7,700	8,100
Common Stock	7,500	7,600	7,700	8,100
Total Liabilities Net Minority Interest	9,756,000	10,312,500	8,834,600	10,039,600
Total Non Current Liabilities Net Minority Interest	6,932,500	6,982,300	5,609,400	6,961,100
Other Non Current Liabilities	112,100	136,200	142,300	161,300
Liabilities Heldfor Sale Non Current			0	241,300
Preferred Securities Outside Stock Equity				18,900	20,600
Derivative Product Liabilities	274,000	142,700	53,700	45,700
Employee Benefits	111,200	106,000	105,900	97,200
Non Current Deferred Liabilities	605,000	515,600	525,300	640,300
Non Current Deferred Taxes Liabilities	454,500	383,100	417,900	543,400
Long Term Debt And Capital Lease Obligation	5,830,200	6,081,800	4,782,200	5,775,300
Long Term Capital Lease Obligation	745,600	750,600	727,500	736,500
Long Term Debt	5,084,600	5,331,200	4,054,700	5,038,800
Current Liabilities	2,823,500	3,330,200	3,225,200	3,078,500
Other Current Liabilities				657,600
Current Deferred Liabilities	439,100	392,200	421,700	310,600
Current Deferred Revenue	439,100	392,200	421,700	310,600
Current Debt And Capital Lease Obligation	695,800	1,191,000	1,172,000	471,100
Current Capital Lease Obligation	195,700	190,700	172,200	169,800
Current Debt	500,100	1,000,300	999,800	301,300
Other Current Borrowings	300	400	1,100	1,700
Current Notes Payable	499,800	999,900	998,700	299,600
Pensionand Other Post Retirement Benefit Plans Current	423,900	495,400	431,400	444,600
Payables And Accrued Expenses	1,264,700	1,251,600	1,200,100	1,194,600
Current Accrued Expenses	263,600	223,100	245,100	236,800
Payables	1,001,100	1,028,500	955,000	957,800
Total Tax Payable	160,300	152,700	127,500	105,600
Accounts Payable	840,800	875,800	827,500	852,200
Total Assets	18,392,700	18,379,000	16,725,100	20,155,100
Total Non Current Assets	14,372,200	13,572,500	12,959,700	15,529,400
Other Non Current Assets	751,300	652,200	536,500	3,416,600
Non Current Deferred Assets			0	6,400	21,600
Non Current Deferred Taxes Assets			0	6,400	21,600
Investments And Advances	153,900	16,300	26,900	65,700
Long Term Equity Investment	153,900	16,300	26,900	65,700
Goodwill And Other Intangible Assets	10,385,500	9,858,600	9,484,500	9,246,600
Other Intangible Assets	3,596,000	3,488,900	3,342,000	3,122,900
Goodwill	6,789,500	6,369,700	6,142,500	6,123,700
Net PPE	3,081,500	3,045,400	2,911,800	2,794,100
Accumulated Depreciation	-3,270,100	-3,071,000	-2,905,100	-2,584,400
Gross PPE	6,351,600	6,116,400	5,816,900	5,378,500
Leases	577,900	550,600	515,800	484,000
Construction In Progress	381,500	333,400	342,200	306,500
Other Properties	803,900	784,500	737,100	738,100
Machinery Furniture Equipment	3,329,200	3,237,200	3,039,200	2,741,600
Buildings And Improvements	1,171,600	1,098,400	1,083,800	1,009,800
Land And Improvements	87,500	112,300	98,800	98,500
Current Assets	4,020,500	4,806,500	3,765,400	4,625,000
Other Current Assets	692,800	697,600	655,300	610,400
Assets Held For Sale Current			0	1,226,100
Prepaid Assets					478,100
Inventory	534,700	493,200	474,600	470,600
Raw Materials	534,700	493,200	474,600	470,600
Receivables	2,260,700	2,097,000	2,098,700	1,997,300
Other Receivables	156,900	152,900	185,400	211,800
Accounts Receivable	2,103,800	1,944,100	1,913,300	1,785,500
Allowance For Doubtful Accounts Receivable	-36,400	-44,700	-32,700	-30,800
Gross Accounts Receivable	2,140,200	1,988,800	1,946,000	1,816,300
Cash Cash Equivalents And Short Term Investments	532,300	1,518,700	536,800	320,600
Cash And Cash Equivalents	532,300	1,518,700	536,800	320,600

Cash Flow

	2025	2024	2023	2022	2021
Free Cash Flow	1,206,000	1,095,900	874,100	1,526,600
Repurchase Of Capital Stock	-450,000	-250,100	-1,000,000	-1,100,000
Repayment Of Debt	-1,064,800	-3,463,700	-2,788,200	-787,400
Issuance Of Debt	64,800	4,463,700	2,488,200	787,400
Issuance Of Capital Stock			54,400	50,600	51,700
Capital Expenditure	-434,500	-489,900	-453,600	-429,300
Interest Paid Supplemental Data	217,700	209,200	221,500	196,700
Income Tax Paid Supplemental Data	171,100	215,400	206,800	474,900
End Cash Position	532,300	1,518,700	536,800	320,600
Beginning Cash Position	1,518,700	536,800	430,000	1,472,700
Effect Of Exchange Rate Changes	24,100	-17,000	9,900	-24,200
Changes In Cash	-1,010,500	998,900	96,900	-1,127,900
Cash Flow From Discontinued Operation		0	0	-109,400	-91,300
Financing Cash Flow	-1,457,000	779,900	-59,300	-1,322,200
Cash From Discontinued Financing Activities	0	0	1,499,700	0
Cash Flow From Continuing Financing Activities	-1,457,000	779,900	-1,559,000	-1,322,200
Net Other Financing Charges	179,400	216,900	-59,400	-77,600
Proceeds From Stock Option Exercised	54,300	56,200	54,400	50,600
Cash Dividends Paid	-240,700	-243,100	-254,000	-195,200
Common Stock Dividend Paid	-240,700	-243,100	-254,000	-195,200
Net Common Stock Issuance	-450,000	-250,100	-1,000,000	-1,100,000
Common Stock Payments	-450,000	-250,100	-1,000,000	-1,100,000
Common Stock Issuance			54,400	50,600	51,700
Net Issuance Payments Of Debt	-1,000,000	1,000,000	-300,000	0
Net Short Term Debt Issuance				787,400	0
Short Term Debt Payments				-787,400	0
Short Term Debt Issuance				787,400	0
Net Long Term Debt Issuance	-1,000,000	1,000,000	-300,000	0
Long Term Debt Payments	-1,064,800	-3,463,700	-2,788,200	-787,400
Long Term Debt Issuance	64,800	4,463,700	2,488,200	787,400
Investing Cash Flow	-1,194,000	-1,366,800	-1,171,500	-1,652,200
Cash From Discontinued Investing Activities	0	0	-24,700	-52,600
Cash Flow From Continuing Investing Activities	-1,194,000	-1,366,800	-1,146,800	-1,599,600
Net Other Investing Changes	8,000	2,000	600	1,400
Net Investment Purchase And Sale	-192,400	-55,000	-29,000	-9,300
Sale Of Investment		0	6,700	8,100	13,200
Purchase Of Investment	-192,400	-55,000	-29,000	-17,400
Net Business Purchase And Sale	-575,100	-823,900	-664,800	-1,162,400
Sale Of Business	6,900	15,100	6,700	1,600
Purchase Of Business	-582,000	-839,000	-671,500	-1,164,000
Capital Expenditure Reported	-434,500	-489,900	-453,600	-429,300
Operating Cash Flow	1,640,500	1,585,800	1,327,700	1,955,900
Cash From Discontinued Operating Activities	0	0	125,400	191,100
Cash Flow From Continuing Operating Activities	1,640,500	1,585,800	1,202,300	1,764,800
Change In Working Capital	-526,100	-154,100	-361,900	-376,200
Change In Other Working Capital	34,600	-24,600	105,500	67,800
Change In Payables And Accrued Expense	-383,100	-40,500	-365,600	-177,500
Change In Accrued Expense	-330,300	-112,600	-323,200	-462,900
Change In Payable	-52,800	72,100	-42,400	285,400
Change In Account Payable	-52,800	72,100	-42,400	285,400
Change In Prepaid Assets	-25,200	-54,500	-25,800	-244,100
Change In Inventory	-30,200	-12,600	-700	-45,500
Change In Receivables	-122,200	-21,900	-75,300	23,100
Changes In Account Receivables	-125,500	-52,300	-103,800	46,500
Other Non Cash Items	380,100	247,400	206,900	195,500
Stock Based Compensation	125,800	116,700	128,700	116,800
Asset Impairment Charge	4,300	5,300	349,000	261,700
Deferred Tax	97,600	-20,100	-78,100	26,300
Deferred Income Tax	97,600	-20,100	-78,100	26,300
Depreciation Amortization Depletion	681,100	643,500	577,300	537,200
Depreciation And Amortization	681,100	643,500	577,300	537,200
Amortization Cash Flow	280,000	256,400	219,800	193,600
Amortization Of Intangibles	280,000	256,400	219,800	193,600
Depreciation	401,100	387,100	357,500	343,600
Net Income From Continuing Operations	877,700	747,100	380,400	1,003,500

These metrics estimate what Labcorp Holdings Inc. is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$157.00

Margin of Safety

Market Cap ÷ Company Value

1.59

P/B Ratio

2.41

Warren's Owner Earnings

$2.0B

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

3/7 — Speculative Investor

✅ Adequate Size

$14.0B

vs > $1.5B revenue

❌ Strong Financial Condition

1.42x

vs Current Ratio > 2.0x

✅ Earnings Stability

No loss years (4 yrs data)

vs No negative EPS years

✅ Dividend Record

1.13%

vs Uninterrupted dividends

❌ Earnings Growth

-25.1% EPS growth

vs > 33% EPS growth

❌ Moderate P/E Ratio

22.4x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

2.41x P/B (P/E×P/B: 53.9)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$-69.69

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$204.70

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2025	2024	2023	2022	2021
Capital Expenditure % of Net Income	49.6%	65.7%	108.5%	33.6%	N/A
Repurchase of Capital Stock	-$450M	-$250M	-$1.0B	-$1.1B	N/A
Free Cash Flow	$1.2B ▲	$1.1B ▲	$874M ▼	$1.5B •	N/A •
Warren's Owner Earnings	$2.0B	$1.9B	$1.4B	$2.2B	N/A

Peers & Industry

No auto-detected peers for Diagnostics & Research. You can manually compare LH against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.36%

Low — management has little skin in the game

Return on Equity (ROE)

10.2%

Adequate — returns are moderate

Return on Assets (ROA)

4.8%

Fair — average asset utilization

Share Buybacks (Latest Year)

$450M

Management is returning capital to shareholders via buybacks

Debt Trend YoY

-10.3% YoY

Debt is declining — management is deleveraging

Leadership Team

Adam Schechter

President, CEO & Chairman

Age 60

Pay: $4,184,868

0.477% of net income

Julia Wang

CFO & Executive VP

Age 53

Pay: $1,684,514

0.192% of net income

Brian Caveney

EVP, President of Early Development Research Laboratories and Chief Medical & Scientific Officer

Age 51

Pay: $1,493,883

0.170% of net income

Megan Bailey

Executive VP and President of Central Laboratory Services & International Labcorp

Age 45

Pay: $1,150,873

0.131% of net income

Christin O'Donnell

Vice President of Investor Relations

Top Institutional Holders

Institution	% Owned	Shares
Vanguard Group Inc	11.99%	9,850,631
Blackrock Inc.	7.96%	6,540,781
Victory Capital Management Inc.	6.52%	5,356,825
State Street Corporation	4.66%	3,826,327
Allspring Global Investments Holdings, LLC	2.68%	2,204,276
Geode Capital Management, LLC	2.60%	2,137,010
Select Equity Group LP	2.57%	2,110,779
Wellington Management Group, LLP	2.39%	1,963,101

Risk Analysis

Beta (Market Risk)

0.88

Low volatility — more stable than the market

Short Interest

4.0% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

0.83x

Conservative balance sheet — low financial risk

Current Ratio

1.73x

Adequate liquidity

52-Week Price Range

Low: $239.67 Current: $252.46 High: $293.72

Currently at 24% of 52-week range

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