The 2026 Q1 earnings season continues to roll along, with a wide variety of companies revealing results in the coming days. The cycle, while still a bit in its early phase, has overall been strong, with growth remaining solid and a decent number of companies exceeding quarterly expectations.
And concerning those exceeding quarterly expectations, UnitedHealth Group (UNH - Free Report) and Quest Diagnostics (DGX - Free Report) both raised their outlooks, with each also seeing a nice pop following their results.
UnitedHealth Bounces Back
UnitedHealth posted a double beat relative to our consensus expectations, with both EPS and sales moving modestly higher year-over-year. It reflected the company’s first double-beat in several quarters, helping underpin the favorable reaction shares enjoyed post-earnings.
The company’s EPS outlook remains bullish, with estimates drifting higher across all timeframes illustrated below. The favorable revisions are led by a guidance upgrade, with UNH raising its FY26 earnings outlook.
Image Source: Zacks Investment Research
Quest Diagnostics Posts Double Digit Growth
Quest Diagnostics similarly posted a double-beat relative to our consensus expectations, marking the sixth consecutive period in which it exceeded both EPS and sales expectations. Sales grew 9.2% from the year-ago period, whereas EPS grew by a double-digit 13.1% YoY.
The company raised both its EPS and sales guidance for its current FY26 amid the favorable results, with DGX also sporting a similarly strong revisions picture, as shown below.
Image Source: Zacks Investment Research
Bottom Line
Guidance upgrades are generally among the most bullish announcements a company can make, signaling that the outlook is even better than previously expected. Upgrades commonly lead to share outperformance, with both UnitedHealth and Quest Diagnostics seeing bullish share reactions following their results.
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