Laboratory Corporation of America Holdings (LH)vsWaters Corporation (WAT)
LH
Laboratory Corporation of America Holdings
$265.15
+1.60%
HEALTHCARE · Cap: $21.83B
WAT
Waters Corporation
$365.36
-2.95%
HEALTHCARE · Cap: $34.91B
Smart Verdict
WallStSmart Research — data-driven comparison
Laboratory Corporation of America Holdings generates 275% more annual revenue ($14.14B vs $3.77B). WAT leads profitability with a 11.9% profit margin vs 6.7%. LH appears more attractively valued with a PEG of 1.13. LH earns a higher WallStSmart Score of 67/100 (B-).
LH
Strong Buy67
out of 100
Grade: B-
WAT
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-38.9%
Fair Value
$208.66
Current Price
$265.15
$56.49 premium
Margin of Safety
-84.6%
Fair Value
$178.29
Current Price
$365.36
$187.07 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Earnings expanding 32.9% YoY
Revenue surging 91.4% year-over-year
Safe zone — low bankruptcy risk
Areas to Watch
6.7% margin — thin
Expensive relative to growth rate
Trading at 8.5x book value
ROE of 2.9% — below average capital efficiency
Operating margin of 2.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : LH
The strongest argument for LH centers on Price/Book, EPS Growth. PEG of 1.13 suggests the stock is reasonably priced for its growth.
Bull Case : WAT
The strongest argument for WAT centers on Revenue Growth, Altman Z-Score. Revenue growth of 91.4% demonstrates continued momentum.
Bear Case : LH
The primary concerns for LH are Profit Margin.
Bear Case : WAT
The primary concerns for WAT are PEG Ratio, Price/Book, Return on Equity. A P/E of 45.2x leaves little room for execution misses.
Key Dynamics to Monitor
LH profiles as a value stock while WAT is a growth play — different risk/reward profiles.
WAT carries more volatility with a beta of 1.20 — expect wider price swings.
WAT is growing revenue faster at 91.4% — sustainability is the question.
LH generates stronger free cash flow (71M), providing more financial flexibility.
Bottom Line
LH scores higher overall (67/100 vs 50/100). Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Laboratory Corporation of America Holdings
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Laboratory Corporation of America Holdings, more commonly known as Labcorp, is an American company headquartered in Burlington, North Carolina. It operates one of the largest clinical laboratory networks in the world, with a United States network of 36 primary laboratories.
Visit Website →Waters Corporation
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Waters Corporation is a publicly traded Analytical Laboratory instrument and software company headquartered in Milford, Massachusetts.
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