Let's take a look at the S&P500 stocks that are experiencing notable price gaps in today's session on Thursday. Discover the gap up and gap down stocks in the S&P500 index.
Healthcare diagnostics company Labcorp Holdings (NYSE:LH) announced better-than-expected revenue in Q2 CY2025, with sales up 9.5% year on year to $3.53 billion. Its non-GAAP profit of $4.35 per share was 4.5% above analysts’ consensus estimates.
Value investing has created more billionaires than any other strategy, like Warren Buffett, who built his fortune by purchasing wonderful businesses at reasonable prices.
But these hidden gems are few and far between - many stocks that appear cheap often stay that way because they face structural issues.
Looking back on testing & diagnostics services stocks’ Q1 earnings, we examine this quarter’s best and worst performers, including Labcorp (NYSE:LH) and its peers.
While profitability is essential, it doesn’t guarantee long-term success.
Some companies that rest on their margins will lose ground as competition intensifies - as Jeff Bezos said, "Your margin is my opportunity".
The S&P 500 (^GSPC) is often seen as a benchmark for strong businesses, but that doesn’t mean every stock is worth owning.
Some companies face significant challenges, whether it’s stagnating growth, heavy debt, or disruptive new competitors.
Mid-cap stocks often strike the right balance between having proven business models and market opportunities that can support $100 billion corporations.
However, they face intense competition from scaled industry giants and can be disrupted by new innovative players vying for a slice of the pie.
Each stock in this article is trading near its 52-week high.
These elevated prices usually indicate some degree of investor confidence, business improvements, or favorable market conditions.
Wall Street has issued downbeat forecasts for the stocks in this article.
These predictions are rare - financial institutions typically hesitate to say bad things about a company because it can jeopardize their other revenue-generating business lines like M&A advisory.
Healthcare diagnostics company Labcorp Holdings (NYSE:LH) missed Wall Street’s revenue expectations in Q1 CY2025, but sales rose 5.3% year on year to $3.35 billion. Its non-GAAP profit of $3.84 per share was 2.8% above analysts’ consensus estimates.
From novel pharmaceuticals to telemedicine, most healthcare companies are on a mission to drive better patient outcomes. But financial performance has lagged recently as players offloaded surplus COVID inventories in 2023 and 2024, a headwind for overall demand.
The result? Over the past six months, the industry has tumbled by 13.3%. This drawdown was worse than the S&P 500’s 5.8% fall.
Not all profitable companies are built to last - some rely on outdated models or unsustainable advantages.
Just because a business is in the green today doesn’t mean it will thrive tomorrow.
