US Healthcare "2Q Clinical Lab Preview: Sentiment, Setups and Signposts"...

Research evidence excerpt

US Healthcare "2Q Clinical Lab Preview: Sentiment, Setups and Signposts"...

Global Research

13 July 2026ab

US Healthcare Equities

Americas2Q Clinical Lab Preview: Sentiment, Setups and

Signposts Healthcare

Kevin Caliendo

Analyst

kevin.caliendo@ubs.com

UBS Call: Near-term fundamentals for both DGX and LH remain solid, yielding +1-212-713 3630

modest catalyst-driven upside ahead of the second-quarter prints. Operational cadences

Andrea Alfonso

appear well-calibrated by respective management teams, with the absence of weather

disruptions providing a cleaner baseline for quarterly execution. Potential headwinds andrea.alfonso@ubs.com

from escalating bad debt persist as the central focus of investor debate, yet recent +1-212-713 1342

corporate commentary has proved reassuring. Notably, our recent meetings with

Brett Gasaway

LH management reinforced a confident operational outlook on this metric (see report

here). We do not expect any kind of material update on PAMA until later in 2H26 and we brett.gasaway@ubs.com

believe uncertainty here could be delaying hospital M&A in the near-term. +1-212-713 4820

We have a more balanced tactical stance into 2Q, as fundamentals remain solid but

may not be sufficient enough to catalyze further near-term re-ratings. We maintain a

more constructive bias towards LH on relative valuation (nearly 4-turn discount to

DGX) and improving optics and optionality in Biopharma in 2H but we need to better

understand the achievability of long-term EPS goals and whether significant

M&A is needed to buoy those but we will only really get clarity at the

September 10th Investor Day. Prior long-term targets unveiled in 9/14/23 covered

the 2023-2026 period during which acquisitions added 2-3% revenue growth on