Medpace Holdings (MEDP) AI Stock Analysis

• Market Cap: $12.29B
• Dividend Yield: N/A
• Average Volume (3M): 542.95K
• Price to Earnings (P/E): 32.5
• Beta (1Y): 1.05
• Revenue Growth: 9.94%
• EPS Growth: 25.30%
• Country: US
• Employees: 5,900
• Sector: Healthcare
• Sector Strength: 37
• Industry: Medical - Diagnostics & Research
• EPS (TTM): 3.10
• Shares Outstanding: 28,093,025
• 10 Day Avg. Volume: 836,651
• 30 Day Avg. Volume: 542,953
• PEG Ratio: 14.68
• Price to Book (P/B): 81.74
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 23.04
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 1.61
• Enterprise Value/Gross Profit: 19.57
• Enterprise Value/Ebitda: 7.30
• 1Y Price Target: $410.88
• Price Target Upside: -9.83% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 9

• Rating: 78 Outperform
• Price Target: $499.00 ▲(9.51%Upside)

Medpace Holdings demonstrates strong financial performance and a positive earnings outlook, supported by robust revenue growth and profitability. Technical indicators suggest bullish momentum, though the stock is potentially overbought. Valuation is fair, albeit with no dividend yield to attract income investors. Uncertainties around sustainable growth are a consideration.

Positive Factors

Funding Environment

The current stable and improved funding environment is seen as a supportive factor for MEDP's future operations.

Quarterly Performance

MEDP's strong quarterly performance exceeded low expectations, contributing to a significant stock price increase.

Revenue Outlook

Improved revenue outlook due to clients accelerating decisions, projects starting up more rapidly, and a shift toward faster burning therapeutic areas such as metabolic diseases.

Negative Factors

Analyst Downgrade

The analyst downgraded shares of MEDP to Sell from Hold, as the recent 55% move is believed to reflect short covering rather than a material change in fundamentals.

Stock Valuation

Shares are considered overvalued at 31 times the revised estimates relative to expected growth.

Medpace Holdings Business Overview & Revenue Model

Company Description

Medpace Holdings, Inc. is a global contract research organization (CRO) that provides comprehensive clinical development services to the biotechnology, pharmaceutical, and medical device industries. The company offers a range of services including study design, project management, clinical trial monitoring, data management, statistical analysis, and regulatory consulting. Medpace is known for its scientifically-driven approach and therapeutic expertise in various areas such as oncology, cardiology, metabolism, and infectious diseases.

How the Company Makes Money

Medpace Holdings generates revenue primarily by providing contract research services to its clients in the pharmaceutical, biotechnology, and medical device sectors. The company's revenue model is based on long-term contracts with these clients, where they charge fees for various phases of the clinical trial process, from study planning to execution and data analysis. Key revenue streams include project management, clinical monitoring, laboratory services, and regulatory consulting. Medpace's earnings are largely influenced by its ability to secure and maintain contracts with large pharmaceutical companies and biotech firms, as well as its reputation for delivering high-quality and efficient clinical trials. The company's integrated full-service model and strategic partnerships with clients play significant roles in driving its revenue growth.

Medpace Holdings Financial Statement Overview

Summary

Medpace Holdings demonstrates robust financial health with strong revenue and profitability growth. The company’s zero debt position is commendable, though the negative total assets may require further investigation. Overall, the financial position is solid, supported by strong cash flow metrics.

Income Statement

Medpace Holdings has demonstrated strong revenue growth, with a TTM (Trailing-Twelve-Months) total revenue increase of approximately 15% from the previous year. The gross profit margin remains robust at around 31.2%, and the net profit margin is healthy at 19.3%. The EBIT and EBITDA margins are also strong, indicating efficient operations. Overall, the income statement reflects solid growth and profitability trends.

Balance Sheet

The company's balance sheet shows a strong equity position with a debt-to-equity ratio of 0, reflecting no leverage in the TTM period. Return on equity has improved to approximately 111.9%, demonstrating efficient use of shareholder equity to generate profits. However, the negative total assets in the TTM period is a concern that needs addressing, though it might be a reporting anomaly.

Cash Flow

Medpace Holdings has shown positive cash flow trends, with a significant positive free cash flow and a strong operating cash flow to net income ratio of around 1.4 in the TTM period. The free cash flow to net income ratio is approximately 1.3, indicating good cash generation relative to earnings. These metrics suggest a strong cash flow position, supporting ongoing operations and potential growth initiatives.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.11B	1.89B	1.46B	1.14B	925.92M
Gross Profit	656.30M	524.50M	432.44M	328.15M	278.73M
EBITDA	476.12M	363.15M	301.04M	219.73M	186.57M
Net Income	404.39M	282.81M	245.37M	181.85M	145.38M
Balance Sheet
Total Assets	2.10B	1.66B	1.35B	1.66B	1.39B
Cash, Cash Equivalents and Short-Term Investments	669.44M	245.45M	28.27M	461.30M	277.77M
Total Debt	149.52M	142.12M	188.87M	130.97M	115.14M
Total Liabilities	1.28B	1.10B	966.11M	707.01M	584.90M
Stockholders Equity	825.54M	558.95M	386.39M	952.93M	805.78M
Cash Flow
Free Cash Flow	572.27M	396.73M	351.17M	235.06M	227.34M
Operating Cash Flow	608.82M	433.37M	388.05M	263.33M	258.68M
Investing Cash Flow	-28.31M	-34.63M	-38.74M	-31.36M	-31.21M
Financing Cash Flow	-154.01M	-182.64M	-775.77M	-44.45M	-82.28M

Medpace Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 455.68
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MEDP, the sentiment is Positive. The current price of 455.68 is above the 20-day moving average (MA) of 338.63, above the 50-day MA of 316.37, and above the 200-day MA of 326.67, indicating a bullish trend. The MACD of 27.94 indicates Negative momentum. The RSI at 74.17 is Negative, neither overbought nor oversold. The STOCH value of 77.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MEDP.

Medpace Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IDXX	79 Outperform	$43.48B	49.96	59.33%	―	5.56%	4.66%
MEDP	78 Outperform	$12.29B	32.53	89.38%	―	9.94%	25.30%
CRL	70 Outperform	$8.25B	449.94	-0.92%	―	-2.16%	-107.31%
RVTY	67 Neutral	$12.02B	39.32	3.82%	0.27%	1.62%	78.53%
ICLR	62 Neutral	$13.56B	17.26	8.30%	―	-2.91%	12.92%
Sector *	52 Neutral	$7.61B	0.10	-63.03%	2.08%	16.34%	0.32%

Medpace Holdings Corporate Events

Medpace Holdings Amends Credit Facility with PNC Bank

On July 17, 2025, Medpace Holdings, Inc. announced an amendment to its unsecured credit facility with PNC Bank, increasing the line of credit to $10 million. For the second quarter of 2025, Medpace reported a 14.2% increase in revenue to $603.3 million and a 16.2% rise in EBITDA to $130.5 million compared to the previous year. The company also repurchased shares worth $518.5 million during the quarter. Despite a slight decrease in backlog, Medpace’s financial results reflect strong growth and operational efficiency, positioning it well within the industry.

The most recent analyst rating on (MEDP) stock is a Hold with a $345.00 price target. To see the full list of analyst forecasts on Medpace Holdings stock, see the MEDP Stock Forecast page.

Medpace Holdings Approves Key Proposals at Annual Meeting

On May 16, 2025, Medpace Holdings, Inc. held its 2025 Annual Meeting of Stockholders, where several key proposals were approved. The stockholders approved the 2016 Amended and Restated Incentive Award Plan, which extended the expiration date to February 6, 2035, without increasing the number of shares for issuance. Additionally, the election of Class III Directors, the ratification of Deloitte & Touche LLP as the independent registered public accounting firm, and the advisory vote on executive compensation were all approved. A non-binding advisory stockholder proposal regarding simple majority voting was also passed.

The most recent analyst rating on (MEDP) stock is a Hold with a $345.00 price target. To see the full list of analyst forecasts on Medpace Holdings stock, see the MEDP Stock Forecast page.