Quest Diagnostics Increases Dividend 7.5% To $0.86 Per Quarter, Marking 15 Consecutive Years of Dividend Increases; Announces $1 Billion Increase in Share Repurchase Authorization

Rhea-AI Summary

Quest Diagnostics (NYSE: DGX) announced a 7.5% increase in its quarterly cash dividend to $0.86 per share from $0.80, effective with the dividend payable on April 20, 2026 to shareholders of record on April 6, 2026.

The change raises the annual cash dividend to $3.44 per share and follows 15 consecutive years of dividend increases. The Board also authorized a $1 billion increase in the share repurchase program, added to approximately $0.4 billion available as of December 31, 2025.

Positive

• Quarterly dividend increased by 7.5% to $0.86 per share
• Annual cash dividend raised to $3.44 per share
• Board authorized an incremental $1.0 billion in share repurchases

Negative

• Higher dividend raises the company's ongoing cash payout obligation to $3.44 annually per share
• Share repurchase authorization used up to $1.4 billion available may reduce near-term liquidity optionality

News Market Reaction – DGX

+7.37%

29 alerts

+7.37% News Effect

+3.8% Peak in 1 hr 41 min

+$1.58B Valuation Impact

$23.03B Market Cap

0.9x Rel. Volume

On the day this news was published, DGX gained 7.37%, reflecting a notable positive market reaction. Argus tracked a peak move of +3.8% during that session. Our momentum scanner triggered 29 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $1.58B to the company's valuation, bringing the market cap to $23.03B at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Dividend increase: 7.5% New quarterly dividend: $0.86 per share Prior quarterly dividend: $0.80 per share +3 more

6 metrics

Dividend increase 7.5% Increase in quarterly cash dividend authorized by Board

New quarterly dividend $0.86 per share Dividend payable starting April 20, 2026

Prior quarterly dividend $0.80 per share Dividend level before 7.5% increase

Annual dividend $3.44 per share Annualized cash dividend after increase

Buyback increase $1 billion Additional share repurchase authorization approved by Board

Existing buyback capacity $0.4 billion Repurchase authorization available as of December 31, 2025

Market Reality Check

Price: $199.21 Vol: Volume 1,907,800 is eleva...

high vol

$199.21 Last Close

Volume Volume 1,907,800 is elevated versus the 20-day average of 1,133,341, indicating above-normal interest ahead of the dividend and buyback news. high

Technical Trading above its 200-day MA at 179.45, about 3.19% below the 52-week high of 197.55 and 21.66% above the 52-week low of 157.20.

Peers on Argus

DGX is up 0.28% with strong volume, while key peers are mixed: LH (-0.55%), WAT ...

DGX is up 0.28% with strong volume, while key peers are mixed: LH (-0.55%), WAT (-1.25%), NTRA (+1.58%), PKI (0%), MTD (+0.76%). This pattern points to company-specific interest around the dividend and buyback rather than a broad sector move.

Historical Context

5 past events · Latest: Feb 02 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 02	Product launch	Positive	-1.1%	Launch of ultrasensitive MRD blood test for multiple myeloma.
Jan 21	Corporate recognition	Positive	-2.3%	Named to Fortune’s 2026 World’s Most Admired Companies list.
Jan 15	Leadership change	Positive	+1.9%	Appointment of CEO-elect at Sonora Quest with planned leadership transition.
Jan 08	Earnings timing	Neutral	-0.2%	Announcement of date and logistics for Q4 and full-year 2025 results.
Jan 06	Clinical data	Positive	+4.0%	Upcoming ASCO GI data presentations using Haystack MRD ctDNA test.

Pattern Detected

Recent fundamentally positive announcements have produced mixed reactions, with some innovations and recognition coinciding with short-term share price declines, while other clinical and corporate updates aligned with gains.

Recent Company History

Over the past weeks, Quest Diagnostics reported several developments. On Jan 6, data on its Haystack MRD test tied to ASCO GI presentations saw a 4.02% gain. A CEO-elect announcement at Sonora Quest on Jan 15 coincided with a 1.87% rise. However, recognition in Fortune’s “Most Admired Companies” on Jan 21 and the Feb 2 launch of a myeloma MRD test were followed by -2.28% and -1.09% moves, respectively. The new dividend increase and buyback fit within this ongoing capital allocation and innovation narrative.

Regulatory & Risk Context

Active S-3 Shelf

Shelf Active

Active S-3 Shelf Registration 2025-06-20

The company has an effective S-3ASR automatic shelf registration filed on 2025-06-20 for issuing debt securities on a delayed or continuous basis. Specific terms and sizes of any future offerings would be detailed in subsequent prospectus supplements.

Market Pulse Summary

The stock moved +7.4% in the session following this news. A strong positive reaction aligns with the...

Analysis

The stock moved +7.4% in the session following this news. A strong positive reaction aligns with the shareholder-friendly nature of this announcement. A 7.5% dividend increase to $0.86 per quarter and an additional $1 billion in repurchase authorization directly enhance capital returns. Historically, DGX has shown mixed moves on positive news, so any outsized gain could eventually face consolidation pressure, especially if future capital allocation or earnings updates shift investor focus.

Key Terms

share repurchase authorization

1 terms

share repurchase authorization financial

"Additionally, the Board of Directors has increased the Company's share repurchase authorization by $1 billion."

A share repurchase authorization is a company's official approval to buy back its own shares from the market. This signals that the company believes its stock is a good investment and can help increase the value of remaining shares by reducing how many are available. For investors, it often suggests confidence from the company and can influence the stock’s price.

AI-generated analysis. Not financial advice.

SECAUCUS, N.J., Feb. 10, 2026 /PRNewswire/ -- Quest Diagnostics Incorporated (NYSE: DGX), a leading provider of diagnostic information services, today announced that the Company's Board of Directors has authorized a 7.5% increase in its quarterly cash dividend to $0.86 per share from $0.80 per share. The increase is effective with the dividend payable on April 20, 2026 to shareholders of record of Quest Diagnostics common stock on April 6, 2026. With the increase, the annual cash dividend will be $3.44 per share.

Additionally, the Board of Directors has increased the Company's share repurchase authorization by $1 billion. The increased authority is in addition to the approximately $0.4 billion that was available as of December 31, 2025 under the Company's share repurchase program.

About Quest Diagnostics

Quest Diagnostics works across healthcare to create a healthier world, one life at a time. We connect people, from clinicians to consumers, with laboratory insights that illuminate a path to better health. With a focus on delivering smarter, simpler testing, we help reveal new avenues to identify and treat disease, empower healthy behaviors and improve healthcare management. Quest Diagnostics serves half the physicians and hospitals in the United States and one in three American adults each year, and our nearly 57,000 employees work together to deliver diagnostic insights that inspire actions to transform lives. www.QuestDiagnostics.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/quest-diagnostics-increases-dividend-7-5-to-0-86-per-quarter-marking-15-consecutive-years-of-dividend-increases-announces-1-billion-increase-in-share-repurchase-authorization-302683204.html

SOURCE Quest Diagnostics

FAQ

What dividend change did Quest Diagnostics (DGX) announce on February 10, 2026?

The company announced a 7.5% increase in its quarterly dividend to $0.86 per share. According to the company, the dividend is payable April 20, 2026 to holders of record on April 6, 2026.

How much will Quest Diagnostics (DGX) pay annually after the dividend increase?

The annual cash dividend becomes $3.44 per share after the increase. According to the company, this reflects the new quarterly rate of $0.86 multiplied across four quarters.

What change did Quest Diagnostics (DGX) make to its share repurchase program on February 10, 2026?

The Board increased share repurchase authorization by $1.0 billion. According to the company, this addition is on top of about $0.4 billion available as of December 31, 2025.

When is the Quest Diagnostics (DGX) increased dividend payable and who is eligible?

The increased dividend is payable on April 20, 2026 to shareholders of record on April 6, 2026. According to the company, eligible holders on the record date will receive the payment.

What does the $1 billion repurchase authorization mean for DGX shareholders?

It authorizes the company to buy back up to $1.0 billion more of its stock, potentially supporting per-share metrics. According to the company, this is added to roughly $0.4 billion previously available.