Quest Diagnostics Executives Receive $6.3 Million in Stock Awards
Quest Diagnostics (NYSE: DGX) saw a concentrated wave of insider activity this week, with eight executives receiving stock awards on February 18, 2026, followed by immediate tax-related transactions and some discretionary sales.
The Trades
The cluster of activity centered on February 18, when Quest awarded 30,436 shares to eight senior executives at no cost. Based on the tax withholding price of $210.01 per share used that same day, these awards represent approximately $6.4 million in total compensation value.
CEO James Davis received the largest award at 15,857 shares, valued at roughly $3.3 million at the $210.01 price. Executive Vice President and CFO Sam Samad received 3,965 shares worth approximately $833,000, while Executive Vice President Catherine Doherty received 2,928 shares valued at about $615,000.
All recipients immediately executed tax withholding transactions at $210.01 per share on February 18 to cover their tax obligations on the vested shares. The following day, February 19, at least four executives—Patrick Plewman, Michael Prevoznik, Catherine Doherty, and potentially others—sold additional shares at $204.83, representing a 2.5% decline from the previous day's price.
The timing suggests these were restricted stock units (RSUs) vesting as part of Quest's regular compensation cycle, with the February 18 vesting date likely tied to the company's fiscal calendar.
Who's Trading
The insider group represents Quest's senior leadership team across multiple business units:
- James Davis (CEO and President): Received the largest award at 15,857 shares
- Sam Samad (Executive Vice President & CFO): Awarded 3,965 shares
- Catherine Doherty (EVP, Regional Businesses): 2,928 shares
- Karthik Kuppusamy (SVP, Clinical Solutions): 2,135 shares
- Patrick Plewman (SVP, Diagnostic Services): 1,952 shares
- Michael Prevoznik (SVP & General Counsel): 2,013 shares
- Mark Delaney (SVP & Chief Commercial Officer): 1,586 shares
The broad participation across the C-suite and senior vice president level indicates this was a scheduled compensation event rather than opportunistic trading. The awards appear calibrated to executive seniority, with the CEO receiving nearly four times the shares of the CFO and roughly eight times what senior vice presidents received.
What to Watch
This concentrated vesting event provides several insights into Quest's executive compensation and insider sentiment. The immediate sales by multiple executives on February 19 at $204.83—below the tax withholding price—suggest some insiders chose to take profits rather than hold for potential appreciation.
For context, Quest Diagnostics shares have shown volatility in recent sessions, with the stock trading between $183.51 in late January (when some executives had other transactions) and $210.01 on February 18. The 14.4% gain over this three-week period may have prompted some executives to lock in gains.
The pattern of awards followed by partial sales is common in executive compensation, as insiders often sell some vested shares to diversify their holdings while retaining core positions. However, investors should note that no executives appear to have made open market purchases with their own capital—all share acquisitions came through company awards.
Looking ahead, these transactions establish new cost bases for the executives' holdings. With tax obligations satisfied at $210.01 and some sales executed at $204.83, these insiders now have clear price levels that may influence future trading decisions. Investors should monitor whether executives hold or sell additional shares if the stock approaches or exceeds these levels.
The clustering of transactions also suggests Quest may have additional insider activity around similar dates in future quarters, as RSU vesting schedules often follow predictable patterns tied to company compensation cycles.
*Source: SEC Form 4 filings dated February 16-23, 2026*