LabCorp (LH)
LabCorp was one of the laggards of the group, advancing just 6% when taking into account the spinoff of Fortrea on June 30. However, that spinoff did make LabCorp a more focused clinical lab company, with well-positioned central lab and early drug development businesses. While LH is the largest independent diagnostic lab company, it has only a 9% market share of the overall $85 billion market, with hospital labs accounting for 60%—leaving plenty of opportunity for further deals and share gains. The aging population and increases in specialty testing should support further favorable growth: LH focuses on oncology, autoimmune, women’s health, and neurology testing and expects a 9% CAGR in specialty testing.
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Important Information: Performance Information. Past performance does not guarantee future results. The reports in this sample are for informational purposes only and the performance of the stocks selected is not indicative of the performance of the entire Forgotten Forty. The performance of the stocks selected and the performance of the Forgotten Forty may in fact diverge materially. Additional information regarding the performance of other companies in the Forgotten Forty is available from Boyar Research upon request. This information is not a recommendation, or an offer to sell, or a solicitation of any offer to buy, an interest in any security, including an interest in any investment vehicle managed or advised by affiliates of Boyar Research. Any information that may be considered advice concerning a federal tax issue is not intended to be used, and cannot be used, for the purposes of (i) avoiding penalties imposed under the United States Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter discussed herein. Clients of an affiliate of Boyar Research and employees of Boyar Research own shares in LH.