Based on the aggregated intelligence of 120,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, medical lab operator Laboratory Corp. of America (NYSE:LH) has earned a coveted five-star ranking. Our data has shown that five-star stocks outperform the market by a significant margin; conversely, one-star stocks have woefully lagged the market average.

With that in mind, let's take a closer look at LabCorp's business, and see what CAPS investors are saying about the stock right now.

LabCorp facts

Headquarters (founded)

Burlington, North Carolina (1971)

Market Cap

$6.98 billion


Medical Laboratories and Research

TTM Revenue

$4.39 billion


CEO David King (since 2007)
CFO William Hayes (since 2005)

Return on Equity (average last three years)



Quest Diagnostics (NYSE:DGX)
Bio-Reference Labs (NASDAQ:BRLI)

CAPS members bullish on LH also bullish on

Johnson & Johnson (NYSE:JNJ)
Altria Group (NYSE:MO)

CAPS members bearish on LH also bearish on

Gilead Sciences (NASDAQ:GILD)

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, fully 440 of the 453 members who have rated LabCorp -- some 97% -- believe the stock will outperform the S&P 500 going forward. These Foolish bulls include jwagner2000 and FAOFool.

In late June, jwagner2000 let our community know how LabCorp is positioned:

They are everywhere and do everything. I don't think any other company comes close. Their financial basis is strong and their business will just keep growing with increased demands for medical lab services. LH has been a solid performer, and I look for continued good results for the long run.

In a pitch from last month, FAOFool shares that sentiment, touching on Lab Corp.'s monstrous long-term tailwind:

A quality name in the medical test market. The defensive sector play will help the company weather the current downturn...everybody still needs those medical tests! And the demographics support continued long-term growth. Now is a great time to get in.

What do you think about LabCorp, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 120,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.