Labcorp Holdings (LH) Margin Improvement Reinforces Bullish Earnings Recovery Narrative

Labcorp Holdings (LH) achieved significant margin improvement in FY 2025, with revenue reaching US$3,515.8 million in Q4 and trailing twelve-month EPS at US$10.53, leading to a 6.3% net profit margin. This rebound in earnings follows a five-year decline, fueling a bullish narrative supported by new tests, efficiency gains, and recent acquisitions. However, skeptics point to a P/E ratio above the industry average, a high debt load, and modest revenue growth, suggesting execution risk remains.

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