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DGX Stock Set to Benefit From New Google Cloud Partnership
DGXQuest Diagnostics(DGX) ZACKS·2025-03-21 13:21

Company Overview - Quest Diagnostics Inc. has announced a collaboration with Google Cloud to enhance data management, analytics, and patient experience [1] - The company currently has a market capitalization of 18.65billion[3]−In2024,QuestDiagnosticshasmanagedover80billiondatapointsandfulfilledmorethan200milliontestrequisitions[6]CollaborationwithGoogleCloud−ThepartnershipaimstostrengthenQuestDiagnostics′hybridcloudstrategybyenhancingdataandAIcapabilities[1]−QuestwillutilizeGoogleCloud′sdataanalyticsandgenerativeAItechnologies,includingGoogleAgentspace,toautomatetasksandimproveoperations[4]−Thecollaborationwillfocusonimprovingpatientengagementandprovidingpersonalizedhealthinsights[5]FinancialPerformanceandProjections−AccordingtotheZacksConsensusEstimate,QuestDiagnostics′earningsareexpectedtogrowby8.618.65 billion [3] - In 2024, Quest Diagnostics has managed over 80 billion data points and fulfilled more than 200 million test requisitions [6] Collaboration with Google Cloud - The partnership aims to strengthen Quest Diagnostics' hybrid cloud strategy by enhancing data and AI capabilities [1] - Quest will utilize Google Cloud's data analytics and generative AI technologies, including Google Agentspace, to automate tasks and improve operations [4] - The collaboration will focus on improving patient engagement and providing personalized health insights [5] Financial Performance and Projections - According to the Zacks Consensus Estimate, Quest Diagnostics' earnings are expected to grow by 8.6% in 2025, with a 9.1% increase in revenues [3] - The company has delivered an average earnings beat of 3.7% over the trailing four quarters [3] Market Trends - The global AI data management market was valued at 25.5 billion in 2023 and is projected to grow at a compound annual growth rate of 22.7% through 2030 [7] - Key drivers for this growth include advancements in AI and Machine Learning, Big Data, and increasing demand for data-driven decision-making [7] Recent Developments - Quest Diagnostics announced the acquisition of select assets from Fresenius Medical Care's Spectra Laboratories to provide laboratory services related to end-stage kidney disease [9] - In the past year, shares of Quest Diagnostics have increased by 29.2%, outperforming the industry growth of 5.1% [10]