Laboratory Corporation of America

OVERVALUEDLH · NYSE · Healthcare
LH·NYSE·Healthcare
OVERVALUED
Laboratory Corporation of America
13.4%downside
MARKET PRICE
$259.97
FAIR PRICE
$225.05
MARGIN
$34.92
UNDERVALUEDFAIROVERVALUED
P/E RATIO
24.6x
DIV. YIELD
1.40%
ROE
10.3%
MARKET CAP
$21B
FPI
fairpriceindex.com

FAIR PRICE VALUATION

13.4%downside

Updated daily

Model: DCF 50% · Relative 30% · Consensus 20%

MARKET PRICE

$259.97

FAIR PRICE

$225.05

MARGIN

$34.92

UNDERVALUEDFAIROVERVALUED

P/E Ratio

24.6x

What is P/E? →

Div. Yield

1.40%

ROE

10.3%

Average

Market Cap

$21B

Large-cap

NOW AVAILABLE

Get notified when LH's fair price changes

Push notifications when LH's valuation shifts. Available on iOS and Android.

Download on the App StoreGet it on Google Play

FPI RATING

3.1/ 10

Stable earnings and revenue, but weak profitability margins and below-average fundamental quality.

Analytical data, not an investment recommendation. Updated daily.

How we calculate this ↗

MARGIN OF SAFETY

A 20% margin of safety below fair value — the conservative entry level for risk-aware investors.

$180.04CONSERVATIVE ENTRY
$225.05FAIR PRICE
$259.97MARKET PRICE

SAFETY MARGIN

20%

Below fair value

ENTRY LEVEL

$180.04

Fair price × 0.80

DISTANCE

30.7%

Price to entry level

At the current price of $259.97, LH trades 30.7% above the conservative entry level of $180.04. This entry level represents a 20% margin of safety below the calculated fair price of $225.05 — a buffer that accounts for estimation uncertainty in the valuation model.

Margin of safety is a risk management concept, not an investment recommendation. The 20% threshold follows Benjamin Graham's value investing framework. Fair price and entry levels are model-based estimates updated daily. Learn more about Margin of Safety ↗

VALUATION HISTORY

Loading chart data...

P/E RATIO HISTORY

Loading chart data...

METHODOLOGY

How we calculate LH's fair price

Laboratory Corporation of America's fair price of $225.05 is derived from a blended model that combines DCF analysis (50%), relative valuation against Healthcare peers using metrics like P/E and EV/EBITDA (30%), and analyst consensus (20%). At the current market price of $259.97, LH trades 13.4% above its calculated fair value.

DCF MODEL · 50%

Discounted free cash flow analysis based on projected cash flows, discounted at a rate reflecting LH's risk profile.

RELATIVE · 30%

Comparing LH's valuation multiples against Healthcare peers to determine if the stock is over or undervalued relative to its industry.

ANALYST · 20%

Aggregated analyst price targets for LH, weighted by recency and analyst accuracy.

TRY IT YOURSELF

Want to test your own assumptions? Use our free calculators to estimate LH's fair value with your own inputs.

LEARN MORE

Bulios

POWERED BY BULIOS

Get full analysis, financials, and AI insights for LH.

Explore on Bulios

FAQ

What is the fair price of LH?+

Based on our blended model combining DCF analysis (50%), relative valuation against Healthcare peers (30%), and analyst consensus (20%), the fair price for Laboratory Corporation of America is $225.05. At the current market price of $259.97, LH trades 13.4% above its calculated fair value.

Is LH overvalued or undervalued?+

Laboratory Corporation of America is currently overvalued based on our valuation model. The stock trades at $259.97, which is 13.4% above the fair price of $225.05. The P/E ratio of 24.6x is a key metric in the valuation.

What is the margin of safety for LH?+

With a 20% margin of safety applied to the fair price of $225.05, the conservative entry level for LH is $180.04. At the current market price of $259.97, the stock trades 30.7% above this entry level. Margin of safety is a risk management concept from Benjamin Graham's value investing framework, not an investment recommendation.

How often is LH's fair price updated?+

We update fair price calculations for LH daily after market close. The current fair price of $225.05 incorporates the latest market data and sector multiples.

What factors affect LH's fair price calculation?+

LH's fair price of $225.05 is derived from DCF analysis (50% weight), relative valuation against Healthcare peers (30% weight), and analyst consensus (20% weight). Key metrics include P/E of 24.6x, ROE of 10.3%, and dividend yield of 1.40%.

Is LH a good buy right now?+

At $259.97, LH trades 13.4% above our fair value estimate of $225.05. The stock is currently overvalued. ROE stands at 10.3% (average). Fair Price Index provides valuation data — always do your own research before investing.

Does LH pay dividends?+

LH has a dividend yield of 1.40%.

RELATED STOCKS

Fair Price Index is for informational purposes only and does not constitute investment advice. Fair value calculations are model-based estimates and may not reflect actual market conditions. Always conduct your own research before making investment decisions.