DGX vs UNH

For growth investors, UnitedHealth Group Incorporated (UNH) is the stronger pick with 11.

8% revenue growth year-over-year, versus 11. 8% for Quest Diagnostics Incorporated (DGX). Quest Diagnostics Incorporated (DGX) offers the better valuation at 21. 6x trailing P/E (17. 6x forward), making it the more compelling value choice. Analysts rate UnitedHealth Group Incorporated (UNH) a "Buy" — based on 52 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Quest Diagnostics Incorporated (DGX) is the cheapest at 21.

6x versus UnitedHealth Group Incorporated at 27. 8x. On forward P/E, Quest Diagnostics Incorporated is actually cheaper at 17. 6x.

Over the past 5 years, Quest Diagnostics Incorporated (DGX) delivered a total return of +47.

1%, compared to -2. 5% for UnitedHealth Group Incorporated (UNH). Over 10 years, the gap is even starker: UNH returned +220. 3% versus DGX's +181. 9%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Quest Diagnostics Incorporated (DGX) is the lower-risk stock at 0.

07β versus UnitedHealth Group Incorporated's 0. 59β — meaning UNH is approximately 699% more volatile than DGX relative to the S&P 500. On balance sheet safety, UnitedHealth Group Incorporated (UNH) carries a lower debt/equity ratio of 77% versus 95% for Quest Diagnostics Incorporated — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), UnitedHealth Group Incorporated (UNH) is pulling ahead at 11.

8% versus 11. 8% for Quest Diagnostics Incorporated (DGX). On earnings-per-share growth, the picture is similar: Quest Diagnostics Incorporated grew EPS 13. 8% year-over-year, compared to -14. 7% for UnitedHealth Group Incorporated. Over a 3-year CAGR, UNH leads at 11. 4% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Quest Diagnostics Incorporated (DGX) is the more profitable company, earning 9.

0% net margin versus 2. 7% for UnitedHealth Group Incorporated — meaning it keeps 9. 0% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: DGX leads at 14. 5% versus 4. 2% for UNH. At the gross margin level — before operating expenses — DGX leads at 31. 9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Quest Diagnostics Incorporated (DGX) trades at 17.

6x forward P/E versus 20. 1x for UnitedHealth Group Incorporated — 2. 4x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for DGX: 16. 6% to $220. 57.

All stocks in this comparison pay dividends.

UnitedHealth Group Incorporated (UNH) offers the highest yield at 2. 4%, versus 1. 7% for Quest Diagnostics Incorporated (DGX).

For long-horizon retirement investors, Quest Diagnostics Incorporated (DGX) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

07), 1. 7% yield, +181. 9% 10Y return). Both have compounded well over 10 years (DGX: +181. 9%, UNH: +220. 3%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Healthcare sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.