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    Labcorp Holdings (LH) Following Earnings And Higher Guidance Is It Fully Valued

    Simply Wall St·11/01/2026 21:33:56
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    Labcorp Holdings (LH) is back in focus after reporting third quarter earnings on October 28, 2026, along with higher full year revenue guidance and fresh collaboration news that together sharpen the investment story.

    Recent announcements around the BD Onclarity HPV Assay rollout, the FDA collaboration on abuse potential research and the latest dividend affirmation have arrived alongside powerful momentum in Labcorp Holdings' share price. The stock has gained 43.6% year to date and supported a 43.74% 1 year total shareholder return, suggesting investors are reassessing both growth prospects and risk.

    Scan beyond Labcorp Holdings and see how other lab testing and healthcare peers stack up on quality and value using our hand picked list of solid balance sheet and fundamentals (24 results).

    After a 43.6% year to date surge in Labcorp Holdings, paired with upgraded guidance and fresh collaborations, the crux now is simple: Does the current valuation still leave enough upside to justify new risk?

    Most Popular Narrative: 1.9% Overvalued

    Labcorp Holdings closed at $361.39 against a widely followed fair value estimate of $354.50, so the current quotation sits slightly above that modeled view while still reflecting a fairly tight gap between price and narrative value.

    Labcorp Holdings has guided to 5% to 8% revenue CAGR, 75 to 150 basis points of margin expansion and 8.5% to 11.5% adjusted EPS CAGR through 2029. If acquisitions, productivity programs or end market demand do not support these ranges, the gap between targets and actual performance could weigh on earnings, free cash flow and the valuation multiples investors are willing to pay.

    See why 6 investors see Labcorp Holdings as 2% overvalued.

    Result: Fair Value of $354.50 (OVERVALUED)

    Still, the narrative for Labcorp Holdings can be knocked off course if PAMA cuts hit that US$100 million estimate or if recent mid single digit revenue growth fades again.

    Find out about the key risks to this Labcorp Holdings narrative.

    Another View: Cash Flow Says Labcorp Holdings Looks Cheap

    The earlier fair value narrative put Labcorp Holdings at $354.50 and slightly overvalued on that lens. A different approach using our DCF model values the shares at $417.79, which leaves the current $361.39 price trading about 13.5% below that cash flow driven estimate.

    That gap means one framework flags limited upside, while the SWS DCF model suggests investors are paying less than the projected future cash flows might support if those assumptions play out. Which lens do you trust more when real money is on the line?

    Look into how the SWS DCF model arrives at its fair value.

    LH Discounted Cash Flow as at Nov 2026
    LH Discounted Cash Flow as at Nov 2026

    Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Labcorp Holdings for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 33 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

    Next Steps

    Mixed signals around valuation, cash flow and expectations make Labcorp Holdings a classic judgment call, so move quickly, test the assumptions against your own thresholds and weigh the balance of 2 key rewards and 1 important warning sign.

    Looking for more investment ideas beyond Labcorp Holdings?

    If Labcorp Holdings has sharpened your focus on quality and valuation, do not stop here. Use curated screeners to surface fresh candidates that fit your own rules.