MEDPACE HOLDINGS INC (MEDP)
US58506Q1094 - Common Stock
MEDP gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 55 industry peers in the Life Sciences Tools & Services industry. MEDP gets an excellent profitability rating and is at the same time showing great financial health properties. MEDP is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, MEDP could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
MEDP had positive earnings in the past year.
In the past year MEDP had a positive cash flow from operations.
In the past 5 years MEDP has always been profitable.
In the past 5 years MEDP always reported a positive cash flow from operatings.
1.2 Ratios
MEDP's Return On Assets of 17.54% is amongst the best of the industry. MEDP outperforms 98.18% of its industry peers.
Looking at the Return On Equity, with a value of 41.47%, MEDP belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Invested Capital value of 33.52%, MEDP belongs to the best of the industry, outperforming 98.18% of the companies in the same industry.
MEDP had an Average Return On Invested Capital over the past 3 years of 31.51%. This is significantly above the industry average of 10.42%.
The 3 year average ROIC (31.51%) for MEDP is below the current ROIC(33.52%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.54% | ||
| ROE | 41.47% | ||
| ROIC | 33.52% |
ROA(3y)15.37%
ROA(5y)13.06%
ROE(3y)44.35%
ROE(5y)32.97%
ROIC(3y)31.51%
ROIC(5y)24.63%
1.3 Margins
The Profit Margin of MEDP (17.65%) is better than 92.73% of its industry peers.
In the last couple of years the Profit Margin of MEDP has grown nicely.
MEDP has a Operating Margin of 19.74%. This is amongst the best in the industry. MEDP outperforms 85.45% of its industry peers.
In the last couple of years the Operating Margin of MEDP has grown nicely.
MEDP's Gross Margin of 29.69% is on the low side compared to the rest of the industry. MEDP is outperformed by 70.91% of its industry peers.
MEDP's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.74% | ||
| PM (TTM) | 17.65% | ||
| GM | 29.69% |
OM growth 3Y-0.33%
OM growth 5Y4.5%
PM growth 3Y-1.43%
PM growth 5Y7.69%
GM growth 3Y-2.6%
GM growth 5Y-1.88%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MEDP is creating value.
Compared to 1 year ago, MEDP has less shares outstanding
MEDP has less shares outstanding than it did 5 years ago.
MEDP has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 6.98 indicates that MEDP is not in any danger for bankruptcy at the moment.
The Altman-Z score of MEDP (6.98) is better than 89.09% of its industry peers.
MEDP has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.98 |
ROIC/WACC2.97
WACC11.27%
2.3 Liquidity
MEDP has a Current Ratio of 0.99. This is a bad value and indicates that MEDP is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.99, MEDP is doing worse than 87.27% of the companies in the same industry.
MEDP has a Quick Ratio of 0.99. This is a bad value and indicates that MEDP is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.99, MEDP is not doing good in the industry: 78.18% of the companies in the same industry are doing better.
The current and quick ratio evaluation for MEDP is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 33.72% over the past year.
MEDP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 27.94% yearly.
The Revenue has grown by 16.24% in the past year. This is quite good.
Measured over the past years, MEDP shows a very strong growth in Revenue. The Revenue has been growing by 21.76% on average per year.
EPS 1Y (TTM)33.72%
EPS 3Y31.33%
EPS 5Y27.94%
EPS Q2Q%35.59%
Revenue 1Y (TTM)16.24%
Revenue growth 3Y26.76%
Revenue growth 5Y21.76%
Sales Q2Q%8.29%
3.2 Future
MEDP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.32% yearly.
Based on estimates for the next years, MEDP will show a quite strong growth in Revenue. The Revenue will grow by 15.48% on average per year.
EPS Next Y36.9%
EPS Next 2Y19.78%
EPS Next 3Y17.77%
EPS Next 5Y17.32%
Revenue Next Year11.8%
Revenue Next 2Y8.79%
Revenue Next 3Y9.88%
Revenue Next 5Y15.48%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
MEDP is valuated quite expensively with a Price/Earnings ratio of 30.30.
Based on the Price/Earnings ratio, MEDP is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
MEDP's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.96.
A Price/Forward Earnings ratio of 27.16 indicates a quite expensive valuation of MEDP.
74.55% of the companies in the same industry are more expensive than MEDP, based on the Price/Forward Earnings ratio.
MEDP's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.3 | ||
| Fwd PE | 27.16 |
4.2 Price Multiples
76.36% of the companies in the same industry are more expensive than MEDP, based on the Enterprise Value to EBITDA ratio.
MEDP's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MEDP is cheaper than 87.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.08 | ||
| EV/EBITDA | 22.78 |
4.3 Compensation for Growth
MEDP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MEDP has an outstanding profitability rating, which may justify a higher PE ratio.
MEDP's earnings are expected to grow with 17.77% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.82
PEG (5Y)1.08
EPS Next 2Y19.78%
EPS Next 3Y17.77%
5. Dividend
5.1 Amount
MEDP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
MEDPACE HOLDINGS INC
NASDAQ:MEDP (11/22/2024, 10:28:51 AM)
346.075
+4.25 (+1.24%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap10.76B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.3 | ||
| Fwd PE | 27.16 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.82
PEG (5Y)1.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.54% | ||
| ROE | 41.47% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 19.74% | ||
| PM (TTM) | 17.65% | ||
| GM | 29.69% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)33.72%
EPS 3Y31.33%
EPS 5Y
EPS Q2Q%
EPS Next Y36.9%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)16.24%
Revenue growth 3Y26.76%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y