Labcorp raised its FY2026 revenue and earnings forecasts following a Q3 beat, while Chemed attracted an analyst upgrade after its VITAS business drove Q3 earnings growth.
- Labcorp’s Q3 revenue rose 6.9% to $3.81 billion, while adjusted earnings jumped 14.5% to $4.78 per share.
- Leerink raised LH’s price target to $410 from $365, while maintaining an ‘Outperform’ rating, according to The Fly.
- Jefferies upgraded Chemed after it posted a 10.6% increase in Q3 revenue to $690.9 million.
Shares of Labcorp (LH) surged to record levels, while Chemed (CHE) shares jumped to over 52-week highs on Wednesday, fueled by stronger-than-expected third-quarter earnings and bullish Wall Street action.
LH shares were up around 10.4% at the time of writing, while CHE stock gained 9%, reaching its highest level since June 2025.
Labcorp Raises FY2026 Earnings Guidance
Labcorp, which provides medical laboratory testing and diagnostic services, reported a 6.9% increase in third-quarter (Q3) revenue to $3.81 billion, beating Wall Street estimates of $3.76 billion, according to Fiscal.ai. Adjusted earnings per share increased 14.5% to $4.78 from $4.18, exceeding consensus estimates of $4.64.
Labcorp expects full-year 2026 revenue growth of 5.9% to 6.7%, raising the midpoint of its previous forecast by 50 basis points. It also increased its adjusted earnings outlook to $18.30 to $18.70 per share, up $0.18 at the midpoint. The company ended the quarter with $261.8 million in cash and $5.85 billion in total debt.
Following the results, Leerink raised its price target to $410 from $365 and maintained an ‘Outperform’ rating, according to The Fly. This is an 11.6% upside potential from current levels. Barclays also lifted the stock’s price target to $380 from $330 while retaining an ‘Equal Weight’ rating.
Retail sentiment surrounding LH on Stocktwits turned ‘bullish’ from ‘neutral’ over the past 24 hours, amid ‘high’ message volumes. The stock has gained about 46% so far in 2026.
Jefferies Upgrades Chemed After Q3 Earnings Beat
On Wednesday, Jefferies upgraded Chemed to ‘Buy’ from ‘Hold’ and raised its price target to $620 from $520, expecting improving profit margins and steadier earnings growth to support a higher valuation.
Chemed, which operates hospice care provider VITAS and plumbing and drain-cleaning business Roto-Rooter, posted a 10.6% increase in Q3 revenue to $690.9 million on Tuesday. This beat Wall Street estimates of $685.8 million. Adjusted earnings per share jumped 28.1% to $6.75, exceeding expectations of $6.44. VITAS revenue increased by 12.2%, while Roto-Rooter sales climbed by 7.5%.
BofA also raised the stock’s price target to $555 from $550 but maintained a ‘Neutral’ rating. The firm said VITAS drove the earnings beat, while “Roto side of the business continues to miss.”
Retail sentiment surrounding CHE on Stocktwits remained ‘bearish’ over the past 24 hours, amid ‘high’ message volumes. The stock has gained about 30% so far this year.
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