❉ Buffybot wonderful businesses, fair prices

← back

DGX Quest Diagnostics

healthcare · 2026-10-28

N/A
fair · 61
Owner-earnings value$182.61
Price$242.56
Margin of safety -24.7%

Quality gate · 61/100

Returns on capital 8.2/30
Consistency 20.8/22
Margins / pricing power 9.8/16
Balance sheet 7.7/16
Cash conversion 10/10
Capital allocation 4.7/6
Median ROIC9.1%
Gross margin33.1%
Net debt / EBITDA2.6x
FCF conversion121%
Share count / yr-0.2%
Profitable years4/4

Moat & management

Owner-earnings inputs

Owner earnings (TTM)1.14B
Owner-earnings yield4.3%
Free-cash-flow yield5.1%
Growth used (normalized)3.7%
Market-implied growth (reverse DCF)10.6%
Terminal growth3.0%
Discount rate (hurdle)9.0%

Projected owner earnings

YrOwner earningsGrowthPV
11.18B 3.7%1.08B
21.22B 3.7%1.03B
31.27B 3.6%978.83M
41.31B 3.5%929.40M
51.36B 3.4%881.77M
61.40B 3.3%835.90M
71.45B 3.2%791.79M
81.49B 3.2%749.40M
91.54B 3.1%708.72M
101.59B 3.0%669.71M

⚠ maintenance capex ≈ min(capex, D&A), capped at FCF · Price pays for ~11%/yr owner-earnings growth over 10y (reverse DCF); model credits 4%.

History

DateQualityPriceValueMoSRating
2026-10-28 61 $242.56 $182.61 -24.7% N/A
2026-09-08 61 $237.14 $174.59 -26.4% N/A
2026-07-20 61 $210.68 $172.32 -18.2% N/A
2026-07-02 61 $216.02 $172.32 -20.2% N/A
2026-06-25 61 $203.11 $172.32 -15.2% N/A
2026-06-23 61 $197.18 $172.32 -12.6% N/A