Quest Diagnostics Incorporated (DGX)
Return on total capital
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 1,402,000 | 1,313,000 | 1,299,000 | 1,294,000 | 1,293,000 | 1,155,000 | 1,203,000 | 1,206,000 | 1,381,000 | 1,776,000 | 2,080,000 | 2,576,000 | 2,751,000 | 3,009,000 | 3,112,000 | 2,554,000 | 2,050,000 | 1,624,000 | 1,144,000 | 1,158,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 6,778,000 | 6,809,000 | 6,617,000 | 6,432,000 | 6,307,000 | 6,425,000 | 6,249,000 | 6,050,000 | 5,893,000 | 6,235,000 | 6,411,000 | 6,377,000 | 6,444,000 | 6,392,000 | 5,899,000 | 6,745,000 | 6,759,000 | 6,400,000 | 5,831,000 | 5,657,000 |
| Return on total capital | 20.68% | 19.28% | 19.63% | 20.12% | 20.50% | 17.98% | 19.25% | 19.93% | 23.43% | 28.48% | 32.44% | 40.40% | 42.69% | 47.07% | 52.75% | 37.87% | 30.33% | 25.38% | 19.62% | 20.47% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,402,000K ÷ ($—K + $6,778,000K)
= 20.68%
Quest Diagnostics Incorporated's return on total capital has exhibited fluctuations over the past few years. The ratio shows a consistent upward trend from March 31, 2020, to June 30, 2021, reaching its peak at 52.75%. Subsequently, there was a decline in the ratio, which stabilized around the range of 17.98% to 23.43% from September 30, 2022, to December 31, 2023. Notably, there was a slight improvement in the ratio by December 31, 2024, standing at 20.68%.
Overall, Quest Diagnostics Incorporated has shown variability in its return on total capital, with periods of both growth and contraction. Investors and analysts may want to further investigate the factors behind these fluctuations to assess the company's use of capital and its profitability in the long term.
Peer comparison
Dec 31, 2024