Labcorp Holdings Inc. insider sold shares worth $1,059,371, according to a recent SEC filing. The company provides comprehensive laboratory services, including diagnostics and drug development capabilities, through its Dx and BLS segments. It operates through a network of patient service centers, branches, and laboratories, and is focused on clinical diagnostics and reproductive health.
On July 2, 2025, Adam Schechter, President & CEO of Labcorp Holdings Inc. (LH), sold 5,643 shares of the company, according to a recent SEC filing. The transaction resulted in the insider owning 93,319 shares of the company [1]. The sale occurred at a price of $266.78 per share, totaling $1,059,371 [3].
Labcorp Holdings Inc. is a global life sciences company that provides comprehensive clinical laboratory and end-to-end drug development services. The company operates through two segments: Diagnostics Laboratories (Dx) and Biopharma Laboratory Services (BLS). The Dx segment includes routine testing and specialty/esoteric testing, while the BLS segment consists of early development research laboratories and central laboratory services [3].
The insider transaction history for Labcorp Holdings Inc. shows that there have been 0 insider buys and 27 insider sells over the past year. Adam Schechter has sold a total of 24,058 shares and has not purchased any shares during this period [1]. This sale follows a trend of insider selling, which could indicate concerns about the company's future prospects or simply a strategic move to diversify holdings.
The company's stock trades at $266.78 per share, giving it a market cap of $22,545.747 million. The price-earnings ratio stands at 29.95, which is higher than the industry median of 28.855 and also higher than the company’s historical median price-earnings ratio [1]. Despite this, the stock has a price-to-GF-Value ratio of 1.06, indicating that it is fairly valued based on its GF Value [1].
Labcorp's non-GAAP adjustments, which strip out one-time expenses and speculative investments, reveal a stronger underlying performance. Adjusted operating income rose to 15.1% of revenue in Q2 2025, versus 11.2% under GAAP, with adjusted EPS up 10.4% YoY [2]. This discrepancy highlights the importance of considering non-GAAP metrics when evaluating the company's financial health.
Investors should be cautious about the potential risks associated with Labcorp Holdings Inc., including regulatory pressures in diagnostics, margin compression from healthcare cost controls, and the volatility of venture fund investments. However, the company's diversified revenue streams, strong balance sheet, and disciplined capital allocation strategy offer some mitigation [2].
In conclusion, while the insider sale of Labcorp Holdings Inc. shares may raise concerns, the company's strong operational performance and growth prospects warrant further investigation. Investors should consider the company's non-GAAP metrics and forward-looking growth rates when evaluating its valuation.
References:
[1] https://www.gurufocus.com/news/3059428/insider-sell-adam-schechter-sells-shares-of-labcorp-holdings-inc-lh
[2] https://www.ainvest.com/news/labcorp-holdings-gaap-adjustments-reveal-stronger-earnings-story-potentially-undervalued-stock-2508/
[3] https://www.marketscreener.com/news/labcorp-holdings-insider-sold-shares-worth-1-059-371-according-to-a-recent-sec-filing-ce7c51dede8df12d
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