Want to see MEDP full AI Analyst Report?
Top Page
Medpace Holdings
(NASDAQ:MEDP)
Select Model
Select Model
Rating:80Outperform
Price Target:
$697.00
▲(15.90% Upside)
Action:Reiterated
Date:07/24/26
The score is driven primarily by strong financial performance (high margins, low leverage, and robust free cash flow) and constructive earnings-call guidance with solid bookings/backlog signals. Technicals are supportive but tempered by an overbought RSI. Valuation is the main drag due to a relatively high P/E and no dividend yield support.
Positive Factors
Exceptional free cash flow generation
Medpace's FCF roughly equals net income and is consistently strong on a TTM basis, providing durable internal funding for operations, share repurchases, and opportunistic investment. This high-quality cash generation cushions the business against trial timing variability and funds strategic priorities without needing heavy external financing.
Negative Factors
Slowing revenue growth versus prior years
Revenue growth has materially decelerated on a TTM basis compared with prior rapid expansion, indicating Medpace may be entering a more mature phase. Slower topline expansion pressures operating leverage, reduces upside to margins over time, and raises reliance on backlog conversion and win rates to re-accelerate growth.
Read all positive and negative factors
Positive Factors
Negative Factors
Exceptional free cash flow generation
Medpace's FCF roughly equals net income and is consistently strong on a TTM basis, providing durable internal funding for operations, share repurchases, and opportunistic investment. This high-quality cash generation cushions the business against trial timing variability and funds strategic priorities without needing heavy external financing.
Read all positive factors
Medpace Holdings Key Performance Indicators (KPIs)
Any
Backlog
Represents the value of unfulfilled orders, showing future revenue visibility and overall product demand strength.
Represents the value of unfulfilled orders, showing future revenue visibility and overall product demand strength.
Data provided by:
The Fly
The FlyMedpace Holdings (MEDP) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$16.24B
Dividend YieldN/A
Average Volume (3M)350.21K
Price to Earnings (P/E)33.3
Beta (1Y)1.01
Revenue Growth24.67%
EPS Growth25.88%
CountryUS
Employees6,500
SectorHealthcare
Sector Strength45
IndustryMedical - Diagnostics & Research
Share Statistics
EPS (TTM)17.39
Shares Outstanding27,911,655
10 Day Avg. Volume408,102
30 Day Avg. Volume350,211
Financial Highlights & Ratios
PEG Ratio1.82
Price to Book (P/B)35.29
Price to Sales (P/S)6.40
P/FCF Ratio23.76
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$580.20Price Target Upside-3.52% Downside
Rating ConsensusHold
Number of Analyst Covering11
EPS Forecast (FY)17.6
Revenue Forecast (FY)$2.85B
Medpace Holdings Business Overview & Revenue Model
Company Description
Medpace Holdings, Inc., founded in Cincinnati, Ohio, in 1992, functions as a contract research organization (CRO) delivering clinical development and research services. The company assists pharmaceutical, biotechnology, and medical device clients ...
How the Company Makes Money
Medpace primarily makes money by providing outsourced research and development services to life-science sponsors, generating revenue through fees for professional services and pass-through reimbursements tied to clinical trial activity. Its core r...
Medpace Holdings Earnings Call Summary
Earnings Call Date:Jul 22, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Oct 26, 2026
Earnings Call Sentiment Positive
The call conveyed solid financial and operational momentum: double‑digit revenue and EBITDA growth, sizable net new awards and backlog growth, strong cash generation, share repurchases, and constructive guidance for 2026. Management noted improving RFP and funding dynamics and moderation of cancellations in Q2. Key risks discussed include prior cancellation volatility, an elevated backlog conversion rate versus historical norms (driven by gating policies and portfolio composition), higher reimbursable costs in H1, and customer concentration. Overall, the positive financial results, record net bookings, and upward guidance outweigh the operational risks and uncertainties discussed.Positive Updates
Strong Revenue Growth
Q2 revenue of $707.3M, up 17.2% year-over-year; revenue for the 6 months was $1.41B, up 21.7% year-over-year.
Negative Updates
Volatile and Historically Elevated Cancellations
Prior quarters experienced elevated cancellations that materially impacted bookings; while cancellations improved in Q2, management emphasized cancellations remain unpredictable and a wildcard for future quarters.
Read all updates
Q2-2026 Updates
Positive
Negative
Strong Revenue Growth
Q2 revenue of $707.3M, up 17.2% year-over-year; revenue for the 6 months was $1.41B, up 21.7% year-over-year.
Read all positive updates
Company Guidance
Medpace updated 2026 guidance calling for total revenue of $2.805B–$2.885B (growth of 10.9%–14.0% vs 2025 revenue of $2.53B), EBITDA of $618M–$642M (growth of 10.8%–15.1% vs 2025 EBITDA of $557.7M), net income of $494M–$514M (assumes a full‑year effective tax rate of 19.0%–19.5% and interest income of $21.1M), and diluted EPS of $17.25–$17.95; guidance assumes no additional share repurchases and is based on FX rates as of June 30, 2026 (midpoints: revenue ~$2.845B, EBITDA ~$630M, net income ~$504M, EPS ~$17.60).Medpace Holdings Financial Statement Overview
Summary
Income Statement
88
Very Positive
Balance Sheet
83
Very Positive
Cash Flow
90
Very Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.78B | 2.53B | 2.11B | 1.89B | 1.46B | 1.14B |
| Gross Profit | 800.22M | 760.62M | 656.30M | 524.50M | 432.44M | 328.15M |
| EBITDA | 602.18M | 570.50M | 505.17M | 362.50M | 308.11M | 223.08M |
| Net Income | 491.50M | 451.12M | 404.39M | 282.81M | 245.37M | 181.85M |
Balance Sheet | ||||||
| Total Assets | 2.06B | 1.98B | 2.10B | 1.66B | 1.35B | 1.66B |
| Cash, Cash Equivalents and Short-Term Investments | 502.69M | 497.05M | 669.44M | 245.45M | 28.27M | 461.30M |
| Total Debt | 120.10M | 250.50M | 149.52M | 142.12M | 188.87M | 130.97M |
| Total Liabilities | 1.62B | 1.52B | 1.28B | 1.10B | 966.11M | 707.01M |
| Stockholders Equity | 433.86M | 459.07M | 825.54M | 558.95M | 386.39M | 952.93M |
Cash Flow | ||||||
| Free Cash Flow | 733.51M | 681.87M | 572.27M | 396.73M | 351.17M | 235.06M |
| Operating Cash Flow | 752.66M | 713.22M | 608.82M | 433.37M | 388.05M | 263.33M |
| Investing Cash Flow | -45.77M | -31.14M | -28.31M | -34.63M | -38.74M | -31.36M |
| Financing Cash Flow | -249.53M | -860.39M | -154.01M | -182.64M | -775.77M | -44.45M |
Medpace Holdings Risk Analysis
Medpace Holdings disclosed 37 risk factors in its most recent earnings report. Medpace Holdings reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Medpace Holdings Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
80 Outperform | $16.24B | 33.27 | 110.15% | ― | 24.67% | 25.88% | |
75 Outperform | $26.16B | 26.14 | 11.57% | 0.97% | 6.41% | 33.31% | |
74 Outperform | $26.05B | 24.57 | 14.49% | 1.46% | 9.87% | 12.51% | |
74 Outperform | $39.75B | 29.11 | 21.95% | ― | 8.22% | 16.68% | |
69 Neutral | $12.92B | 38.03 | 3.54% | ― | 2.08% | -94.18% | |
59 Neutral | $13.43B | -57.86 | -7.72% | ― | -0.74% | -268.79% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
MEDP
Medpace Holdings
578.50
120.65
26.35%
CRL
Charles River Labs
280.05
123.37
78.74%
ICLR
Icon
163.15
-12.69
-7.22%
LH
Labcorp Holdings
318.13
50.58
18.90%
DGX
Quest Diagnostics
234.40
57.73
32.68%
IQV
IQVIA Holdings
236.66
45.57
23.85%
Medpace Holdings Corporate Events
Business Operations and StrategyExecutive/Board Changes
Medpace Elevates Brad Hansman to Executive Operations Role
Positive
Jun 4, 2026
Effective June 1, 2026, Medpace Holdings, Inc. appointed long-time executive Brad W. Hansman as Executive Vice President, Operations, where he will serve as a principal operating officer alongside current Executive Vice President, Operations, Susa...
Business Operations and StrategyRegulatory Filings and ComplianceShareholder Meetings
Medpace shareholders approve governance changes enhancing voting rights
Positive
May 19, 2026
At its May 15, 2026 annual meeting, Medpace Holdings, Inc. shareholders approved amendments to the company’s Restated Certificate of Incorporation to eliminate supermajority voting requirements and remove prior limits on stockholders’ ...
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.