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IQVIA Holdings Inc (IQV)
NYSE:IQV
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IQVIA Holdings (IQV) AI Stock Analysis

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IQV

IQVIA Holdings

(NYSE:IQV)

Rating:72Outperform
Price Target:
$216.00
▲(18.39%Upside)
IQVIA Holdings' strong financial performance and positive technical indicators are its main strengths, contributing to a solid stock score. However, a high valuation and potential overbought technical conditions slightly temper the outlook.
Positive Factors
Market Position
IQV's best-in-class clinical health network and AI-empowered data-driven solutions should enable the company to outpace the market and win share.
Revenue Growth
The company's total revenue growth exceeded expectations, showing strong performance in TAS and R&DS segments.
Negative Factors
Margin Compression
Margins compressed year-over-year, largely due to an increase in FSP services and PTs in R&DS as well as revenue mix.
Pricing Pressure
IQV is facing some pricing pressures to stay competitive and win contracts with customers, especially among emerging biopharma.

IQVIA Holdings (IQV) vs. SPDR S&P 500 ETF (SPY)

IQVIA Holdings Business Overview & Revenue Model

Company DescriptionIQVIA Holdings Inc. provides advanced analytics, technology solutions, and clinical research services to the life sciences industry in the Americas, Europe, Africa, and the Asia-Pacific. It operates through three segments: Technology & Analytics Solutions, Research & Development Solutions, and Contract Sales & Medical Solutions. The Technology & Analytics Solutions segment offers a range of cloud-based applications and related implementation services; real world solutions that enable life sciences and provider customers to generate and disseminate evidence, which informs health care decision making and improves patients' outcomes; and strategic and implementation consulting services, such as advanced analytics and commercial processes outsourcing services. This segment also provides country level performance metrics related to sales of pharmaceutical products, prescribing trends, medical treatment, and promotional activity across various channels, including retail, hospital, and mail order; and measurement of sales or prescribing activity at the regional, zip code, and individual prescriber level. The Research & Development Solutions segment offers project management and clinical monitoring; clinical trial support; virtual trials; and strategic planning and design services, as well as central laboratory, genomic, bioanalytical, ADME, discovery, and vaccine and biomarker laboratory services. The Contract Sales & Medical Solutions segment provides health care provider and patient engagement services, and scientific strategy and medical affairs services. It serves pharmaceutical, biotechnology, device and diagnostic, and consumer health companies. The company has a strategic collaboration with HealthCore, Inc. The company was formerly known as Quintiles IMS Holdings, Inc. and changed its name to IQVIA Holdings Inc. in November 2017. IQVIA Holdings Inc. was founded in 1982 and is headquartered in Durham, North Carolina.
How the Company Makes MoneyIQVIA Holdings generates revenue through a diversified model primarily comprising three key streams: Technology & Analytics Solutions, Research & Development Solutions, and Contract Sales & Medical Solutions. The Technology & Analytics Solutions segment provides data analytics, consulting, and technology solutions that help clients optimize their commercial operations and research activities. Research & Development Solutions offer contract research services that encompass clinical trial management, regulatory affairs, and laboratory services, aiding pharmaceutical companies in the drug development process. The Contract Sales & Medical Solutions segment involves sales force management and healthcare provider education services, assisting clients in effectively engaging with healthcare professionals. Additionally, IQVIA benefits from strategic partnerships with pharmaceutical companies and healthcare providers, which further bolster its revenue streams.

IQVIA Holdings Key Performance Indicators (KPIs)

Any
Any
Operating Profit by Segment
Operating Profit by Segment
Shows profitability across various business segments, indicating which operations are most efficient and where there may be opportunities or challenges.
Chart InsightsIQVIA's TAS segment shows robust growth, aligning with earnings call highlights of strong revenue increases driven by real-world evidence. However, R&DS faces challenges with delayed decision-making and funding issues in emerging biotech, impacting its growth trajectory. Despite these hurdles, IQVIA's record R&DS backlog and AI deployment progress suggest resilience and strategic focus. The Contract Sales & Medical Solutions segment continues to struggle, reflecting broader market pressures. Overall, IQVIA's strategic initiatives and raised revenue guidance indicate confidence in navigating current market uncertainties.
Data provided by:Main Street Data

IQVIA Holdings Earnings Call Summary

Earnings Call Date:Jul 22, 2025
(Q2-2025)
|
% Change Since: 14.78%|
Next Earnings Date:Oct 22, 2025
Earnings Call Sentiment Positive
The earnings call highlighted strong financial performance with record revenue and strategic achievements in AI and TAS. However, challenges such as market uncertainty, gross margin compression, and pricing pressures were noted. The positive aspects slightly outweigh the negatives, showing a resilient business despite external pressures.
Q2-2025 Updates
Positive Updates
Record Quarterly Revenue
IQVIA reported over $4 billion in quarterly revenue for the first time in its history, exceeding the high end of the guidance range.
Strong Performance in Technology & Analytics Solutions (TAS)
TAS reported revenue growth of 8.9%, led by double-digit growth in real-world evidence.
Increased R&DS Backlog
The R&DS backlog reached a new record of over $32 billion at the end of the quarter, growing over 5% compared to the prior year.
High Demand for AI Solutions
IQVIA's AI initiatives gained momentum, with significant client interest and the development of over 20 AI agents in production.
Strong Share Repurchases
IQVIA repurchased $607 million of shares in the quarter, bringing first-half share repurchases to over $1 billion.
Negative Updates
Continued Market Uncertainty
The overall market environment remains unsettled, with ongoing uncertainty regarding administration policies affecting the biopharmaceutical industry.
Gross Margin Compression
There was compression in gross margin due to product mix and FX tailwinds, with about 2/3 of the compression attributed to mix changes.
Pricing Pressure in R&DS
Increased competition has led to pricing pressure, particularly in the R&DS segment, with some competitors forcing price reductions.
Company Guidance
During the IQVIA Second Quarter 2025 Earnings Conference Call, guidance for the fiscal year was provided, with specific metrics highlighting the company's financial performance and projections. The company reported over $4 billion in quarterly revenue for the first time, with adjusted EBITDA and adjusted diluted EPS towards the high end of their guidance range. Technology & Analytics Solutions (TAS) achieved a revenue growth of 8.9%, while R&D Solutions (R&DS) reported net bookings of approximately $2.5 billion, leading to a net book-to-bill ratio of 1.12x. The R&DS backlog reached a record high of over $32 billion, growing 5.1% compared to the prior year. For the full fiscal year, IQVIA anticipates revenue between $16.1 billion and $16.3 billion, reflecting a year-over-year growth of 4.5% to 5.8%. Adjusted EBITDA is expected to be between $3.75 billion and $3.825 billion, while adjusted diluted EPS is projected to range from $11.75 to $12.05, representing an increase of 5.6% to 8.3% versus the prior year.

IQVIA Holdings Financial Statement Overview

Summary
IQVIA Holdings demonstrates strong financial health with consistent revenue and profit growth, efficient operational margins, and solid cash flow generation. The low debt-to-equity ratio and high ROE mitigate leverage risks, despite substantial liabilities.
Income Statement
85
Very Positive
IQVIA Holdings exhibits strong profitability with a consistent upward trend in revenue and net income. The recent TTM data shows a net profit margin of 7.88% and a gross profit margin of 34.24%, indicating efficient cost management. The revenue growth rate from 2024 to TTM is 1.91%, reflecting steady growth. EBIT and EBITDA margins are robust at 13.87% and 21.39%, respectively, showcasing solid operational performance.
Balance Sheet
78
Positive
The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.26, indicating a low reliance on debt. The equity ratio of 20.17% suggests a moderate level of equity financing. Return on equity (ROE) is strong at 21.41%, highlighting efficient use of shareholder funds. However, the overall leverage remains a potential risk with total liabilities significantly outweighing equity.
Cash Flow
82
Very Positive
The cash flow statements indicate a healthy cash generation capacity with a free cash flow of $2.303 billion in TTM, showing a growth rate of 8.93% from the previous year. The operating cash flow to net income ratio is 2.12, and the free cash flow to net income ratio is 1.86, both suggesting strong cash conversion and liquidity.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue15.40B14.98B14.41B13.87B11.36B
Gross Profit5.38B5.24B5.03B4.64B3.86B
EBITDA3.49B3.26B2.91B2.75B2.06B
Net Income1.37B1.36B1.09B966.00M279.00M
Balance Sheet
Total Assets26.90B26.68B25.34B24.69B24.56B
Cash, Cash Equivalents and Short-Term Investments1.84B1.50B1.31B1.48B1.90B
Total Debt14.48B14.23B13.01B12.44B12.90B
Total Liabilities20.83B20.57B19.57B18.65B18.28B
Stockholders Equity6.07B6.11B5.76B6.04B6.00B
Cash Flow
Free Cash Flow2.11B1.50B1.59B2.30B1.34B
Operating Cash Flow2.72B2.15B2.26B2.94B1.96B
Investing Cash Flow-1.44B-1.60B-2.01B-2.10B-796.00M
Financing Cash Flow-878.00M-382.00M-329.00M-1.24B-217.00M

IQVIA Holdings Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price182.45
Price Trends
50DMA
161.23
Positive
100DMA
160.82
Positive
200DMA
182.06
Positive
Market Momentum
MACD
8.87
Negative
RSI
57.15
Neutral
STOCH
52.81
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IQV, the sentiment is Neutral. The current price of 182.45 is above the 20-day moving average (MA) of 175.52, above the 50-day MA of 161.23, and above the 200-day MA of 182.06, indicating a bullish trend. The MACD of 8.87 indicates Negative momentum. The RSI at 57.15 is Neutral, neither overbought nor oversold. The STOCH value of 52.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IQV.

IQVIA Holdings Risk Analysis

IQVIA Holdings disclosed 51 risk factors in its most recent earnings report. IQVIA Holdings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

IQVIA Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$11.89B31.4689.38%9.94%25.30%
77
Outperform
$12.94B17.118.30%-2.91%12.92%
72
Outperform
$31.02B26.4319.80%3.53%-10.72%
70
Neutral
$19.11B20.4313.65%1.81%12.58%13.00%
65
Neutral
$141.13B41.866.68%0.60%-3.24%-16.60%
63
Neutral
$10.36B37.273.70%0.32%3.33%
51
Neutral
$7.37B0.33-68.94%2.37%16.27%0.42%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IQV
IQVIA Holdings
182.45
-51.20
-21.91%
DHR
Danaher
197.09
-70.82
-26.43%
ICLR
Icon
166.44
-144.05
-46.39%
RVTY
Revvity
88.23
-31.64
-26.40%
DGX
Quest Diagnostics
170.85
27.84
19.47%
MEDP
Medpace Holdings
423.09
46.09
12.23%

IQVIA Holdings Corporate Events

Private Placements and FinancingBusiness Operations and Strategy
IQVIA Holdings Issues $2 Billion in Senior Notes
Neutral
Jun 4, 2025

On June 4, 2025, IQVIA Inc., a subsidiary of IQVIA Holdings Inc., successfully issued and sold $2 billion in 6.250% senior notes due 2032. The proceeds from this offering will be used to repay existing borrowings under the company’s revolving credit facility and cover related fees and expenses, with any remaining funds allocated for general corporate purposes. This financial maneuver is expected to impact the company’s operations by optimizing its debt structure and potentially enhancing its market positioning.

The most recent analyst rating on (IQV) stock is a Hold with a $160.00 price target. To see the full list of analyst forecasts on IQVIA Holdings stock, see the IQV Stock Forecast page.

Private Placements and Financing
IQVIA Holdings Announces $2 Billion Senior Notes Offering
Neutral
Jun 2, 2025

On June 2, 2025, IQVIA Holdings Inc. announced that its subsidiary, IQVIA Inc., plans to raise $2 billion through a senior notes offering due in 2032. The proceeds will be used to repay existing borrowings and cover related fees, with any excess allocated for general corporate purposes. This move is expected to impact the company’s financial structure and market positioning, subject to customary closing conditions.

The most recent analyst rating on (IQV) stock is a Hold with a $242.00 price target. To see the full list of analyst forecasts on IQVIA Holdings stock, see the IQV Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 24, 2025