Media Coverage

It's the time of year when seemingly everyone in D.C. is sneezing and rubbing their eyes.

Especially for newcomers, allergies seem to be worse in D.C. than in other areas of the country. But one allergist said that might actually be true.

Jenni Yoon works at the Allergy and Asthma Center in Silver Spring, Md. She said she can't be sure why allergies seem to be worse in the district. But Yoon said she's seen a steady increase in the severity of symptoms in the past few years -- with 2019 being the worst.

Employers concerned about the increasing use of marijuana among their workers, especially in states that allow it recreationally, may want to reevaluate their policies dealing with drug testing and/or use. That’s one suggestion from the authors of a recent report on workplace drug testing positiviity rates.

Quest Diagnostics’ analysis this month showed the positive rate of workplace drug tests climbed to its highest level since 2004, mainly due to marijuana. The relaxation of some state laws, combined with the tight labor market have prompted some employers to exclude THC from their drug tests. But others seeking to protect their employees and customers, are advised to weigh the risks the drug may pose to their businesses, as they craft policies.

Oxford Immunotec reported today a 27 percent year-over-year increase in first quarter revenues primarily on growth in tuberculosis testing in all geographies.

For the three months ended March 31, 2019, Oxford Immunotec logged $14.8 million in total revenues compared to $11.7 million in the year-ago period. On a constant-currency basis, Q1 revenues increased 39 percent year over year.

On a conference call following release of the company's earnings, Oxford Immunotec CEO Peter Wrighton-Smith noted that revenues came in above the company's implied guidance range of $13.4 million to $14.1 million.

Investors with a long-term horizong may find it valuable to assess Quest Diagnostics Incorporated's (NYSE:DGX) earnings trend over time and against its industry benchmark as opposed to simply looking at a sincle earnings announcement at one point in time. Below is my commentary, albiet very simple and high-level, on how Quest Diagnostics is currently performing.

Before diving into an analysis of these and similar questions, it’s important to get on the same page regarding the substance. Cannabidiol – or CBD – is a chemical found in marijuana and its close relative, hemp. Pure CBD does not contain tetrahydrocannabinol (THC), the psychoactive ingredient found in marijuana that produces a high.[CR-LF][CR-LF]The most common CBD formulation started as oil, but CBD is also sold as an extract, a vaporized liquid, and an oil-based capsule. CBD-infused beverages are probably the most common CBD product, but use of CBD-based cosmetic and skincare products is surging in both retail stores and online.[CR-LF][CR-LF]This means that one of your workers or applicants might think they are staying on the right side of the law when using a CBD product, but could inadvertently ingest substances that violate your valid drug policies. Barry Sample, the Director of Science and Technology for the drug testing laboratory Quest Diagnostics, recently observed that the government is not ensuring the level of THC remains low because CBD oil is not regulated in the United States. Therefore, he said, “if somebody is using a CBD oil that contains residual THC in it, they very likely could test positive on a urine drug test. Not because of the CBD itself – but because of a contaminant that is in that oil.”

Shares of LabCorp moved lower following the afternoon disclosure and are trading down $1.51 to $164.12. LabCorp competitor Quest Diagnostics (DGX) gave up some of its gains as well but the shares remain up 51c to $98.67 in afternoon trading.

While the ultimate impact of UnitedHealthcare's newly launched Preferred Laboratory Network remains to be seen, some clinical lab players are suggesting it could be the first step in a broader trend.[CR-LF][CR-LF]Last week UHC announced the lab companies — AmeriPath/DermPath, a division of Quest Diagnostics; BioReference and its GeneDx business; Invitae; Laboratory Corporation of America; Mayo Clinical Laboratories; and Quest — it had selected as participants in its PLN program, which will go into effect on July 1, 2019.

Healthcare Technology Analyst Gill holds a conference call with CEO Rusckowski on May 2 at 1 pm hosted by JPMorgan.

Quest Diagnostics Incorporated executed a shelf takedown of $500 million aggregate principal amount of its 4.200% senior notes due 2029. Goldman Sachs, Mizuho Securities, Morgan Stanley, J.P. Morgan Securities and Wells Fargo Securities acted as joint book-running managers for the offering.[CR-LF][CR-LF]Quest Diagnostics Incorporated is the world’s leading provider of diagnostic information services.

The most recent version of an annual report issued by Quest Diagnostics indicates that 4.4 percent of workplace drug tests in 2018 were positive for illicit drugs, an increase over the 4.2 percent positivity rate in 2017 and the highest rate since 2004. According to Quest, the increase was largely fueled by marijuana use. Across the U.S. work force, the percentage of drug tests that were positive for marijuana rose from 2.6 percent in 2017 to 2.8 percent in 2018.