company background image
MEDP

Medpace Holdings NasdaqGS:MEDP Stock Report

Last Price

US$176.67

Market Cap

US$5.5b

7D

8.5%

1Y

3.8%

Updated

10 Aug, 2022

Data

Company Financials +
MEDP fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance4/6
Financial Health3/6
Dividends0/6

MEDP Stock Overview

Medpace Holdings, Inc. provides clinical research-based drug and medical device development services in North America, Europe, and Asia.

Medpace Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Medpace Holdings
Historical stock prices
Current Share PriceUS$176.67
52 Week HighUS$231.00
52 Week LowUS$126.95
Beta1.43
1 Month Change16.09%
3 Month Change32.65%
1 Year Change3.81%
3 Year Change130.10%
5 Year Change466.07%
Change since IPO530.06%

Recent News & Updates

Aug 01
We Think Medpace Holdings (NASDAQ:MEDP) Can Manage Its Debt With Ease

We Think Medpace Holdings (NASDAQ:MEDP) Can Manage Its Debt With Ease

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Jul 25

Medpace 2022 revenue guidance above consensus estimate as Q2 beats on top, bottom lines

Medpace Holdings (NASDAQ:MEDP) is projecting 2022 revenue of $1.405B-$1.435B, above the current consensus of $1.4B. The contract research organization is also guiding to GAAP EPS for the year of $6.07-$6.36. Consensus is $6.12. Medpace (MEDP) released its 2022 guidance as it released its Q2 results after the closing bell Monday, beating on both the top and bottom lines. Net income of ~$49.4M was a ~24% increased compared to Q2 2022 ($1.52 vs. $1.11 basic, and $1.46 vs. $1.06 diluted EPS). Q2 revenue of $351.21M was a ~26% year-over-year increase. Medpace (MEDP) noted that new business awards of $450.6M was a ~16% increase from the prior-year period. The company ended the quarter with $42.6M of cash and cash equivalents. Seeking Alpha's Quant Rating with high marks for profitability, momentum and revisions.

Jun 30
Is Medpace Holdings, Inc. (NASDAQ:MEDP) Potentially Undervalued?

Is Medpace Holdings, Inc. (NASDAQ:MEDP) Potentially Undervalued?

Medpace Holdings, Inc. ( NASDAQ:MEDP ), is not the largest company out there, but it saw a decent share price growth in...

Shareholder Returns

MEDPUS Life SciencesUS Market
7D8.5%1.1%1.2%
1Y3.8%-19.4%-11.6%

Return vs Industry: MEDP exceeded the US Life Sciences industry which returned -22.1% over the past year.

Return vs Market: MEDP exceeded the US Market which returned -13.5% over the past year.

Price Volatility

Is MEDP's price volatile compared to industry and market?
MEDP volatility
MEDP Average Weekly Movement6.5%
Life Sciences Industry Average Movement10.9%
Market Average Movement7.9%
10% most volatile stocks in US Market17.0%
10% least volatile stocks in US Market3.2%

Stable Share Price: MEDP is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: MEDP's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19924,800August Troendlehttps://www.medpace.com

Medpace Holdings, Inc. provides clinical research-based drug and medical device development services in North America, Europe, and Asia. It offers a suite of services supporting the clinical development process from Phase I to Phase IV in various therapeutic areas. The company also provides clinical development services to the pharmaceutical, biotechnology, and medical device industries; and development plan design, coordinated central laboratory, project management, regulatory affairs, clinical monitoring, data management and analysis, pharmacovigilance new drug application submissions, and post-marketing clinical support services.

Medpace Holdings Fundamentals Summary

How do Medpace Holdings's earnings and revenue compare to its market cap?
MEDP fundamental statistics
Market CapUS$5.48b
Earnings (TTM)US$209.02m
Revenue (TTM)US$1.29b

26.2x

P/E Ratio

4.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MEDP income statement (TTM)
RevenueUS$1.29b
Cost of RevenueUS$489.02m
Gross ProfitUS$797.25m
Other ExpensesUS$588.23m
EarningsUS$209.02m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)6.74
Gross Margin61.98%
Net Profit Margin16.25%
Debt/Equity Ratio88.2%

How did MEDP perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is MEDP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MEDP?

Other financial metrics that can be useful for relative valuation.

MEDP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue4.5x
Enterprise Value/EBITDA22.9x
PEG Ratio2.8x

Price to Earnings Ratio vs Peers

How does MEDP's PE Ratio compare to its peers?

MEDP PE Ratio vs Peers
The above table shows the PE ratio for MEDP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average30.6x
SHC Sotera Health
44.9x32.9%US$5.5b
STVN Stevanato Group
37.8x8.3%US$4.8b
SYNH Syneos Health
25.8x20.0%US$7.2b
MRVI Maravai LifeSciences Holdings
14x-6.1%US$6.6b
MEDP Medpace Holdings
26.2x9.3%US$5.5b

Price-To-Earnings vs Peers: MEDP is good value based on its Price-To-Earnings Ratio (26.2x) compared to the peer average (30.6x).


Price to Earnings Ratio vs Industry

How does MEDP's PE Ratio compare vs other companies in the US Life Sciences Industry?

Price-To-Earnings vs Industry: MEDP is good value based on its Price-To-Earnings Ratio (26.2x) compared to the US Life Sciences industry average (32.6x)


Price to Earnings Ratio vs Fair Ratio

What is MEDP's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MEDP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio26.2x
Fair PE Ratio23.5x

Price-To-Earnings vs Fair Ratio: MEDP is expensive based on its Price-To-Earnings Ratio (26.2x) compared to the estimated Fair Price-To-Earnings Ratio (23.5x).


Share Price vs Fair Value

What is the Fair Price of MEDP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MEDP ($176.67) is trading below our estimate of fair value ($219.74)

Significantly Below Fair Value: MEDP is trading below fair value, but not by a significant amount.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is lower than the current share price.


Discover undervalued companies

Future Growth

How is Medpace Holdings forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


9.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MEDP's forecast earnings growth (9.3% per year) is above the savings rate (1.9%).

Earnings vs Market: MEDP's earnings (9.3% per year) are forecast to grow slower than the US market (14.6% per year).

High Growth Earnings: MEDP's earnings are forecast to grow, but not significantly.

Revenue vs Market: MEDP's revenue (13.1% per year) is forecast to grow faster than the US market (7.9% per year).

High Growth Revenue: MEDP's revenue (13.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MEDP's Return on Equity is forecast to be very high in 3 years time (40.8%).


Discover growth companies

Past Performance

How has Medpace Holdings performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


34.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: MEDP has high quality earnings.

Growing Profit Margin: MEDP's current net profit margins (16.3%) are lower than last year (17%).


Past Earnings Growth Analysis

Earnings Trend: MEDP's earnings have grown significantly by 34.6% per year over the past 5 years.

Accelerating Growth: MEDP's earnings growth over the past year (19.5%) is below its 5-year average (34.6% per year).

Earnings vs Industry: MEDP earnings growth over the past year (19.5%) exceeded the Life Sciences industry 15.9%.


Return on Equity

High ROE: MEDP's Return on Equity (73.9%) is considered outstanding.


Discover strong past performing companies

Financial Health

How is Medpace Holdings's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: MEDP's short term assets ($328.9M) do not cover its short term liabilities ($879.0M).

Long Term Liabilities: MEDP's short term assets ($328.9M) exceed its long term liabilities ($153.2M).


Debt to Equity History and Analysis

Debt Level: MEDP's net debt to equity ratio (73.1%) is considered high.

Reducing Debt: MEDP's debt to equity ratio has increased from 25.7% to 88.2% over the past 5 years.

Debt Coverage: MEDP's debt is well covered by operating cash flow (114.6%).

Interest Coverage: MEDP's interest payments on its debt are well covered by EBIT (417.6x coverage).


Balance Sheet


Discover healthy companies

Dividend

What is Medpace Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate MEDP's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate MEDP's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if MEDP's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if MEDP's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as MEDP has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

4.5yrs

Average management tenure


CEO

August Troendle (66 yo)

30.08yrs

Tenure

US$5,947,423

Compensation

Dr. August James Troendle, M.D. has been the Chairman, Chief Executive Officer at Medpace Holdings, Inc. since July 1992 and served as its President since July 1992 until August 01, 2021. Dr. Troendle foun...


CEO Compensation Analysis

Compensation vs Market: August's total compensation ($USD5.95M) is about average for companies of similar size in the US market ($USD8.36M).

Compensation vs Earnings: August's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: MEDP's management team is considered experienced (4.5 years average tenure).


Board Members

Experienced Board: MEDP's board of directors are considered experienced (4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Medpace Holdings, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Medpace Holdings, Inc.
  • Ticker: MEDP
  • Exchange: NasdaqGS
  • Founded: 1992
  • Industry: Life Sciences Tools and Services
  • Sector: Pharmaceuticals & Biotech
  • Implied Market Cap: US$5.477b
  • Shares outstanding: 31.00m
  • Website: https://www.medpace.com

Number of Employees


Location

  • Medpace Holdings, Inc.
  • 5375 Medpace Way
  • Cincinnati
  • Ohio
  • 45227
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/10 00:00
End of Day Share Price2022/08/10 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.