IQVIA HOLDINGS INC (IQV)
US46266C1053 - Common Stock
Taking everything into account, IQV scores 5 out of 10 in our fundamental rating. IQV was compared to 56 industry peers in the Life Sciences Tools & Services industry. IQV has an excellent profitability rating, but there are concerns on its financial health. IQV is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year IQV was profitable.
IQV had a positive operating cash flow in the past year.
IQV had positive earnings in each of the past 5 years.
IQV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
IQV has a better Return On Assets (5.17%) than 85.71% of its industry peers.
With an excellent Return On Equity value of 20.17%, IQV belongs to the best of the industry, outperforming 94.64% of the companies in the same industry.
IQV has a Return On Invested Capital of 9.33%. This is amongst the best in the industry. IQV outperforms 87.50% of its industry peers.
The Average Return On Invested Capital over the past 3 years for IQV is below the industry average of 9.98%.
The 3 year average ROIC (7.75%) for IQV is below the current ROIC(9.33%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.17% | ||
| ROE | 20.17% | ||
| ROIC | 9.33% |
ROA(3y)4.44%
ROA(5y)3.05%
ROE(3y)19.04%
ROE(5y)12.99%
ROIC(3y)7.75%
ROIC(5y)6.1%
1.3 Margins
IQV's Profit Margin of 9.17% is fine compared to the rest of the industry. IQV outperforms 78.57% of its industry peers.
In the last couple of years the Profit Margin of IQV has grown nicely.
IQV has a better Operating Margin (14.14%) than 78.57% of its industry peers.
IQV's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 35.17%, IQV is doing worse than 60.71% of the companies in the same industry.
IQV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.14% | ||
| PM (TTM) | 9.17% | ||
| GM | 35.17% |
OM growth 3Y25.9%
OM growth 5Y12.1%
PM growth 3Y54.53%
PM growth 5Y29.51%
GM growth 3Y0.96%
GM growth 5Y-0.14%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so IQV is destroying value.
The number of shares outstanding for IQV has been reduced compared to 1 year ago.
IQV has less shares outstanding than it did 5 years ago.
IQV has a worse debt/assets ratio than last year.
2.2 Solvency
IQV has an Altman-Z score of 2.09. This is not the best score and indicates that IQV is in the grey zone with still only limited risk for bankruptcy at the moment.
IQV's Altman-Z score of 2.09 is in line compared to the rest of the industry. IQV outperforms 50.00% of its industry peers.
IQV has a debt to FCF ratio of 6.89. This is a slightly negative value and a sign of low solvency as IQV would need 6.89 years to pay back of all of its debts.
IQV has a better Debt to FCF ratio (6.89) than 60.71% of its industry peers.
IQV has a Debt/Equity ratio of 1.76. This is a high value indicating a heavy dependency on external financing.
IQV's Debt to Equity ratio of 1.76 is on the low side compared to the rest of the industry. IQV is outperformed by 82.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 6.89 | ||
| Altman-Z | 2.09 |
ROIC/WACC0.83
WACC11.24%
2.3 Liquidity
IQV has a Current Ratio of 0.81. This is a bad value and indicates that IQV is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.81, IQV is not doing good in the industry: 92.86% of the companies in the same industry are doing better.
A Quick Ratio of 0.81 indicates that IQV may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.81, IQV is doing worse than 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
IQV shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.00%.
Measured over the past years, IQV shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.97% on average per year.
The Revenue has been growing slightly by 3.10% in the past year.
The Revenue has been growing slightly by 7.55% on average over the past years.
EPS 1Y (TTM)7%
EPS 3Y16.72%
EPS 5Y12.97%
EPS Q2Q%14.06%
Revenue 1Y (TTM)3.1%
Revenue growth 3Y9.67%
Revenue growth 5Y7.55%
Sales Q2Q%4.28%
3.2 Future
Based on estimates for the next years, IQV will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.40% on average per year.
IQV is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.42% yearly.
EPS Next Y10.11%
EPS Next 2Y9.17%
EPS Next 3Y10.05%
EPS Next 5Y11.4%
Revenue Next Year3.13%
Revenue Next 2Y3.99%
Revenue Next 3Y4.6%
Revenue Next 5Y5.42%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.16, which indicates a rather expensive current valuation of IQV.
98.21% of the companies in the same industry are more expensive than IQV, based on the Price/Earnings ratio.
IQV is valuated rather cheaply when we compare the Price/Earnings ratio to 27.73, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 16.21 indicates a correct valuation of IQV.
96.43% of the companies in the same industry are more expensive than IQV, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.83, IQV is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.16 | ||
| Fwd PE | 16.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, IQV is valued cheaper than 94.64% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, IQV is valued cheaper than 94.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.26 | ||
| EV/EBITDA | 14.1 |
4.3 Compensation for Growth
IQV's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of IQV may justify a higher PE ratio.
PEG (NY)1.8
PEG (5Y)1.4
EPS Next 2Y9.17%
EPS Next 3Y10.05%
5. Dividend
5.1 Amount
IQV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
IQVIA HOLDINGS INC
NYSE:IQV (12/20/2024, 8:18:52 PM)
After market: 197.4 +0.13 (+0.07%)197.27
+5.75 (+3%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners94.46%
Inst Owner Change-1.69%
Ins Owners0.89%
Ins Owner Change-0.06%
Market Cap35.80B
Analysts80
Price Target254.31 (28.91%)
Short Float %1.73%
Short Ratio1.91
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.98%
Min EPS beat(2)0.06%
Max EPS beat(2)1.9%
EPS beat(4)3
Avg EPS beat(4)0.76%
Min EPS beat(4)-0.32%
Max EPS beat(4)1.9%
EPS beat(8)6
Avg EPS beat(8)0.72%
EPS beat(12)10
Avg EPS beat(12)1.25%
EPS beat(16)14
Avg EPS beat(16)2.41%
Revenue beat(2)0
Avg Revenue beat(2)-0.17%
Min Revenue beat(2)-0.34%
Max Revenue beat(2)0%
Revenue beat(4)1
Avg Revenue beat(4)0.11%
Min Revenue beat(4)-0.34%
Max Revenue beat(4)0.89%
Revenue beat(8)2
Avg Revenue beat(8)-0.29%
Revenue beat(12)4
Avg Revenue beat(12)-0.22%
Revenue beat(16)8
Avg Revenue beat(16)0.73%
PT rev (1m)-8.11%
PT rev (3m)-9.1%
EPS NQ rev (1m)-0.22%
EPS NQ rev (3m)-1.69%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)-0.63%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-4.2%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.16 | ||
| Fwd PE | 16.21 | ||
| P/S | 2.34 | ||
| P/FCF | 18.26 | ||
| P/OCF | 13.89 | ||
| P/B | 5.14 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.1 |
EPS(TTM)10.86
EY5.51%
EPS(NY)12.17
Fwd EY6.17%
FCF(TTM)10.8
FCFY5.48%
OCF(TTM)14.2
OCFY7.2%
SpS84.38
BVpS38.39
TBVpS-70.84
PEG (NY)1.8
PEG (5Y)1.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.17% | ||
| ROE | 20.17% | ||
| ROCE | 10.72% | ||
| ROIC | 9.33% | ||
| ROICexc | 10.19% | ||
| ROICexgc | N/A | ||
| OM | 14.14% | ||
| PM (TTM) | 9.17% | ||
| GM | 35.17% | ||
| FCFM | 12.8% |
ROA(3y)4.44%
ROA(5y)3.05%
ROE(3y)19.04%
ROE(5y)12.99%
ROIC(3y)7.75%
ROIC(5y)6.1%
ROICexc(3y)8.35%
ROICexc(5y)6.57%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)8.91%
ROCE(5y)7.01%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y36.6%
ROICexc growth 5Y19.76%
OM growth 3Y25.9%
OM growth 5Y12.1%
PM growth 3Y54.53%
PM growth 5Y29.51%
GM growth 3Y0.96%
GM growth 5Y-0.14%
F-Score8
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 6.89 | ||
| Debt/EBITDA | 3.73 | ||
| Cap/Depr | 54.75% | ||
| Cap/Sales | 4.03% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 78.31% | ||
| Profit Quality | 139.57% | ||
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 2.09 |
F-Score8
WACC11.24%
ROIC/WACC0.83
Cap/Depr(3y)55.99%
Cap/Depr(5y)52.85%
Cap/Sales(3y)4.54%
Cap/Sales(5y)4.86%
Profit Quality(3y)164.71%
Profit Quality(5y)282.53%
High Growth Momentum
Growth
EPS 1Y (TTM)7%
EPS 3Y16.72%
EPS 5Y12.97%
EPS Q2Q%14.06%
EPS Next Y10.11%
EPS Next 2Y9.17%
EPS Next 3Y10.05%
EPS Next 5Y11.4%
Revenue 1Y (TTM)3.1%
Revenue growth 3Y9.67%
Revenue growth 5Y7.55%
Sales Q2Q%4.28%
Revenue Next Year3.13%
Revenue Next 2Y3.99%
Revenue Next 3Y4.6%
Revenue Next 5Y5.42%
EBIT growth 1Y11.89%
EBIT growth 3Y38.07%
EBIT growth 5Y20.57%
EBIT Next Year22.98%
EBIT Next 3Y11.61%
EBIT Next 5Y10.09%
FCF growth 1Y15.01%
FCF growth 3Y3.75%
FCF growth 5Y13.54%
OCF growth 1Y7.78%
OCF growth 3Y3.13%
OCF growth 5Y11.38%