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DGX vs. EHC: Quest Diagnostics vs. Encompass Health Stock Comparison

How do Quest Diagnostics (DGX) and Encompass Health (EHC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Quest Diagnostics (DGX) and Encompass Health (EHC) both belong to the Health Care Providers & Services industry, though DGX is classified under Health Care Services while EHC falls under Health Care Facilities.

Company profile comparison for Quest Diagnostics (DGX) and Encompass Health (EHC)
Profile ItemDGXEHC
NameQuest Diagnostics IncorporatedEncompass Health Corporation
Country/RegionUnited StatesUnited States
GICS SectorHealth CareHealth Care
GICS Industry GroupHealth Care Equipment & ServicesHealth Care Equipment & Services
GICS IndustryHealth Care Providers & ServicesHealth Care Providers & Services
GICS Sub-IndustryHealth Care ServicesHealth Care Facilities
Market Capitalization28.21 billion USD13.50 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateDecember 17, 1996September 24, 1986
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

DGX
EHC
GSPC
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Quest Diagnostics (DGX) vs. Encompass Health (EHC), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Quest Diagnostics (DGX) and Encompass Health (EHC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Quest Diagnostics (DGX) and Encompass Health (EHC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Quest Diagnostics (DGX) and Encompass Health (EHC)
MetricDGXEHC
Total Return (1Y)45.88%22.16%
Total Return (3Y, Annualized)27.45%30.96%
Total Return (5Y, Annualized)14.84%23.55%

Risk Profile

Drawdown History

DGX
EHC
GSPC
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Quest Diagnostics (DGX) vs. Encompass Health (EHC), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Quest Diagnostics (DGX) and Encompass Health (EHC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Quest Diagnostics (DGX) and Encompass Health (EHC)
MetricDGXEHC
Volatility (1Y, Annualized)24.06%30.54%
Beta (5Y)0.540.82
Max Drawdown (5Y)-28.62%-27.33%
Avg. Volume (3M)1.00M996.79K

Risk-Adjusted Performance

Risk-Return Positioning

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DGX and EHC are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Quest Diagnostics (DGX) and Encompass Health (EHC)
MetricDGXEHC
Sharpe Ratio (1Y)1.730.59
Sortino Ratio (1Y)3.161.08

Profitability

ROE (TTM)

Both Quest Diagnostics (DGX) at 15.32% and Encompass Health (EHC) at 25.11% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.

DGX

Health Care Equipment & Services industry group

15.32%

Max
47.61%
DGX
15.32%
Q3
14.36%
Median
5.45%
Q1
-10.67%
Min
-47.01%

EHC

Health Care Equipment & Services industry group

25.11%

Max
47.61%
EHC
25.11%
Q3
14.36%
Median
5.45%
Q1
-10.67%
Min
-47.01%
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their ROE against the Health Care Equipment & Services industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Quest Diagnostics (DGX) at 9.54% and Encompass Health (EHC) at 10.17% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

DGX

Health Care Equipment & Services industry group

9.54%

Max
29.35%
DGX
9.54%
Q3
9.33%
Median
2.18%
Q1
-6.29%
Min
-28.46%

EHC

Health Care Equipment & Services industry group

10.17%

Max
29.35%
EHC
10.17%
Q3
9.33%
Median
2.18%
Q1
-6.29%
Min
-28.46%
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their net margin against the Health Care Equipment & Services industry group benchmark.

Operating Margin (TTM)

Both Quest Diagnostics (DGX) at 15.63% and Encompass Health (EHC) at 18.07% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

DGX

Health Care Equipment & Services industry group

15.63%

Max
35.43%
DGX
15.63%
Q3
14.14%
Median
6.81%
Q1
-0.28%
Min
-16.29%

EHC

Health Care Equipment & Services industry group

18.07%

Max
35.43%
EHC
18.07%
Q3
14.14%
Median
6.81%
Q1
-0.28%
Min
-16.29%
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their operating margin against the Health Care Equipment & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Quest Diagnostics (DGX) and Encompass Health (EHC)
MetricDGXEHC
ROE (TTM)15.32%25.11%
ROA (TTM)6.61%10.08%
Net Margin (TTM)9.54%10.17%
Operating Margin (TTM)15.63%18.07%
Gross Margin (TTM)33.18%44.15%

Growth

Revenue Growth

Both Quest Diagnostics (DGX) at 11.78% and Encompass Health (EHC) at 10.46% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Quest Diagnostics (DGX) at 13.78% and Encompass Health (EHC) at 24.22% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Quest Diagnostics (DGX) and Encompass Health (EHC)
MetricDGXEHC
Revenue Growth (YoY)11.78%10.46%
Revenue Growth (3Y CAGR)3.74%10.92%
EPS Growth (YoY)13.78%24.22%
EPS Growth (3Y CAGR)3.16%27.07%

Financial Strength

Current Ratio (MRQ)

Quest Diagnostics (DGX) at 1.70 keeps current ratio within its industry’s typical mid-range, while Encompass Health (EHC) at 1.09 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for EHC.

DGX

Health Care Equipment & Services industry group

1.70

Max
7.59
Q3
4.00
Median
1.98
DGX
1.70
Q1
1.37
Min
0.30

EHC

Health Care Equipment & Services industry group

1.09

Max
7.59
Q3
4.00
Median
1.98
Q1
1.37
EHC
1.09
Min
0.30
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their current ratio against the Health Care Equipment & Services industry group benchmark.

Debt / Equity (MRQ)

Both Quest Diagnostics (DGX) at 0.80 and Encompass Health (EHC) at 0.79 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

DGX

Health Care Equipment & Services industry group

0.80

Max
1.88
Q3
0.91
DGX
0.80
Median
0.58
Q1
0.16
Min
0.00

EHC

Health Care Equipment & Services industry group

0.79

Max
1.88
Q3
0.91
EHC
0.79
Median
0.58
Q1
0.16
Min
0.00
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their debt-to-equity ratio against the Health Care Equipment & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Quest Diagnostics (DGX) and Encompass Health (EHC)
MetricDGXEHC
Current Ratio (MRQ)1.701.09
Debt / Equity (MRQ)0.800.79
Net Debt / EBITDA2.381.79

Dividends

Dividend Yield (TTM)

Both Quest Diagnostics (DGX) at 1.33% and Encompass Health (EHC) at 0.55% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

DGX

Health Care Equipment & Services industry group

1.33%

DGX
1.33%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

EHC

Health Care Equipment & Services industry group

0.55%

EHC
0.55%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their dividend yield against the Health Care Equipment & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Both Quest Diagnostics (DGX) at 25.10% and Encompass Health (EHC) at 12.48% pay out more of their earnings than any of their industry peers — the thinnest cover in their groups, so dividend headroom deserves attention.

DGX

Health Care Equipment & Services industry group

25.10%

DGX
25.10%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

EHC

Health Care Equipment & Services industry group

12.48%

EHC
12.48%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their payout ratio against the Health Care Equipment & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Quest Diagnostics (DGX) and Encompass Health (EHC)
MetricDGXEHC
Dividend Yield (TTM)1.33%0.55%
Dividend Payout Ratio (TTM)25.10%12.48%

Valuation

P/E Ratio (TTM)

Both Quest Diagnostics (DGX) at 25.46 and Encompass Health (EHC) at 22.01 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

DGX

Health Care Equipment & Services industry group

25.46

Max
80.41
Q3
47.62
Median
29.93
DGX
25.46
Q1
21.19
Min
4.21

EHC

Health Care Equipment & Services industry group

22.01

Max
80.41
Q3
47.62
Median
29.93
EHC
22.01
Q1
21.19
Min
4.21
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their P/E ratio against the Health Care Equipment & Services industry group benchmark.

P/S Ratio (TTM)

On P/S ratio, both Quest Diagnostics (DGX) at 2.38 and Encompass Health (EHC) at 2.13 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

DGX

Health Care Equipment & Services industry group

2.38

Max
8.80
Q3
4.32
DGX
2.38
Median
2.13
Q1
1.10
Min
0.03

EHC

Health Care Equipment & Services industry group

2.13

Max
8.80
Q3
4.32
EHC
2.13
Median
2.13
Q1
1.10
Min
0.03
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their P/S ratio against the Health Care Equipment & Services industry group benchmark.

P/B Ratio (MRQ)

On P/B ratio, both Quest Diagnostics (DGX) at 3.68 and Encompass Health (EHC) at 5.04 are valued close to their industries’ norm against book — neither stands out from peers.

DGX

Health Care Equipment & Services industry group

3.68

Max
11.68
Q3
6.12
DGX
3.68
Median
3.00
Q1
1.73
Min
-1.31

EHC

Health Care Equipment & Services industry group

5.04

Max
11.68
Q3
6.12
EHC
5.04
Median
3.00
Q1
1.73
Min
-1.31
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Quest Diagnostics (DGX) vs. Encompass Health (EHC): A comparison of their P/B ratio against the Health Care Equipment & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Quest Diagnostics (DGX) and Encompass Health (EHC)
MetricDGXEHC
P/E Ratio (TTM)25.4622.01
P/S Ratio (TTM)2.382.13
P/B Ratio (MRQ)3.685.04
Free Cash Flow Yield (TTM)3.09%1.97%