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Medpace Holdings

Nasdaq:MEDP
Snowflake Description

Excellent balance sheet with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
MEDP
Nasdaq
$3B
Market Cap
  1. Home
  2. US
  3. Pharmaceuticals & Biotech
Company description

Medpace Holdings, Inc., a clinical contract research organization, provides scientifically-driven outsourced clinical development services to the biotechnology, pharmaceutical, and medical device industries worldwide. The last earnings update was 21 days ago. More info.


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MEDP Share Price and Events
7 Day Returns
0.5%
NasdaqGS:MEDP
4.8%
US Life Sciences
0.7%
US Market
1 Year Returns
36.6%
NasdaqGS:MEDP
18.7%
US Life Sciences
13.7%
US Market
MEDP Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Medpace Holdings (MEDP) 0.5% -7.8% -12.2% 36.6% 97.1% -
US Life Sciences 4.8% 6.7% 5.4% 18.7% 93.2% 117.8%
US Market 0.7% 4.7% 6.1% 13.7% 39.2% 44.5%
1 Year Return vs Industry and Market
  • MEDP outperformed the Life Sciences industry which returned 18.7% over the past year.
  • MEDP outperformed the Market in United States of America which returned 13.7% over the past year.
Price Volatility
MEDP
Industry
5yr Volatility vs Market

Value

 Is Medpace Holdings undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Medpace Holdings to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Medpace Holdings.

NasdaqGS:MEDP Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 7 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.9%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:MEDP
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Life Sciences Unlevered Beta Simply Wall St/ S&P Global 1.02
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.024 (1 + (1- 21%) (2.21%))
1.028
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.03
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.028 * 5.96%)
8.86%

Discounted Cash Flow Calculation for NasdaqGS:MEDP using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Medpace Holdings is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NasdaqGS:MEDP DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.86%)
2020 146.83 Analyst x2 134.88
2021 160.16 Analyst x2 135.16
2022 159.99 Est @ -0.11% 124.03
2023 161.18 Est @ 0.74% 114.79
2024 163.34 Est @ 1.34% 106.87
2025 166.21 Est @ 1.76% 99.90
2026 169.61 Est @ 2.05% 93.65
2027 173.43 Est @ 2.25% 87.97
2028 177.59 Est @ 2.4% 82.75
2029 182.02 Est @ 2.5% 77.92
Present value of next 10 years cash flows $1,057.00
NasdaqGS:MEDP DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $182.02 × (1 + 2.73%) ÷ (8.86% – 2.73%)
$3,052.84
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $3,052.84 ÷ (1 + 8.86%)10
$1,306.81
NasdaqGS:MEDP Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,057.00 + $1,306.81
$2,363.81
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $2,363.81 / 35.81
$66.01
NasdaqGS:MEDP Discount to Share Price
Calculation Result
Value per share (USD) From above. $66.01
Current discount Discount to share price of $71.23
= -1 x ($71.23 - $66.01) / $66.01
-7.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Medpace Holdings is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Medpace Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Medpace Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:MEDP PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in USD $2.60
NasdaqGS:MEDP Share Price ** NasdaqGS (2019-11-18) in USD $71.23
United States of America Life Sciences Industry PE Ratio Median Figure of 18 Publicly-Listed Life Sciences Companies 33.43x
United States of America Market PE Ratio Median Figure of 2,924 Publicly-Listed Companies 18.25x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Medpace Holdings.

NasdaqGS:MEDP PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:MEDP Share Price ÷ EPS (both in USD)

= 71.23 ÷ 2.60

27.37x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Medpace Holdings is good value based on earnings compared to the US Life Sciences industry average.
  • Medpace Holdings is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Medpace Holdings's expected growth come at a high price?
Raw Data
NasdaqGS:MEDP PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 27.37x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
16.2%per year
United States of America Life Sciences Industry PEG Ratio Median Figure of 15 Publicly-Listed Life Sciences Companies 2.74x
United States of America Market PEG Ratio Median Figure of 2,038 Publicly-Listed Companies 1.46x

*Line of best fit is calculated by linear regression .

NasdaqGS:MEDP PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 27.37x ÷ 16.2%

1.69x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Medpace Holdings is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Medpace Holdings's assets?
Raw Data
NasdaqGS:MEDP PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in USD $19.32
NasdaqGS:MEDP Share Price * NasdaqGS (2019-11-18) in USD $71.23
United States of America Life Sciences Industry PB Ratio Median Figure of 36 Publicly-Listed Life Sciences Companies 5.07x
United States of America Market PB Ratio Median Figure of 5,086 Publicly-Listed Companies 1.76x
NasdaqGS:MEDP PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:MEDP Share Price ÷ Book Value per Share (both in USD)

= 71.23 ÷ 19.32

3.69x

* Primary Listing of Medpace Holdings.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Medpace Holdings is good value based on assets compared to the US Life Sciences industry average.
X
Value checks
We assess Medpace Holdings's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Life Sciences industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Life Sciences industry average (and greater than 0)? (1 check)
  5. Medpace Holdings has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Medpace Holdings expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
16.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Medpace Holdings expected to grow at an attractive rate?
  • Medpace Holdings's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Medpace Holdings's earnings growth is expected to exceed the United States of America market average.
  • Medpace Holdings's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:MEDP Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:MEDP Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts 16.2%
NasdaqGS:MEDP Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts 11.9%
United States of America Life Sciences Industry Earnings Growth Rate Market Cap Weighted Average 17.3%
United States of America Life Sciences Industry Revenue Growth Rate Market Cap Weighted Average 7.6%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.4%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:MEDP Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:MEDP Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31
2022-12-31 1,193 156 2
2021-12-31 1,096 189 140 6
2020-12-31 978 174 118 7
2019-12-31 852 147 100 7
2019-11-19
NasdaqGS:MEDP Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-30 823 184 93
2019-06-30 786 173 88
2019-03-31 742 167 78
2018-12-31 705 157 73
2018-09-30 612 146 61
2018-06-30 531 132 52
2018-03-31 456 121 45
2017-12-31 386 97 39
2017-09-30 382 98 28
2017-06-30 379 101 23
2017-03-31 377 78 18
2016-12-31 371 92 13

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Medpace Holdings's earnings are expected to grow by 16.2% yearly, however this is not considered high growth (20% yearly).
  • Medpace Holdings's revenue is expected to grow by 11.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:MEDP Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from Medpace Holdings Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:MEDP Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31 4.14 4.14 4.14 1.00
2021-12-31 3.65 3.79 3.58 4.00
2020-12-31 3.11 3.25 3.00 5.00
2019-12-31 2.65 2.92 2.57 5.00
2019-11-19
NasdaqGS:MEDP Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-30 2.60
2019-06-30 2.48
2019-03-31 2.18
2018-12-31 2.05
2018-09-30 1.71
2018-06-30 1.42
2018-03-31 1.19
2017-12-31 1.00
2017-09-30 0.70
2017-06-30 0.58
2017-03-31 0.49
2016-12-31 0.38

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Medpace Holdings is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Medpace Holdings's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Medpace Holdings has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Medpace Holdings performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Medpace Holdings's growth in the last year to its industry (Life Sciences).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Medpace Holdings has delivered over 20% year on year earnings growth in the past 5 years.
  • Medpace Holdings's 1-year earnings growth is less than its 5-year average (51.5% vs 67.3%)
  • Medpace Holdings's earnings growth has exceeded the US Life Sciences industry average in the past year (51.5% vs 37.2%).
Earnings and Revenue History
Medpace Holdings's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Medpace Holdings Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:MEDP Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 823.20 93.11 94.55
2019-06-30 786.21 88.42 84.04
2019-03-31 742.25 77.55 80.99
2018-12-31 704.59 72.89 75.68
2018-09-30 611.92 61.46 71.95
2018-06-30 531.35 52.02 69.95
2018-03-31 455.76 45.09 64.20
2017-12-31 386.46 39.03 63.36
2017-09-30 382.39 27.77 63.30
2017-06-30 378.52 23.02 63.08
2017-03-31 376.60 18.41 63.15
2016-12-31 370.62 13.39 61.51
2016-09-30 360.93 4.87 64.78
2016-06-30 347.75 -0.30 60.28
2016-03-31 331.87 -5.17 57.17
2015-12-31 320.10 -8.67 53.80
2014-12-31 290.04 -15.57 39.67
2013-12-31 244.27 24.84 35.11

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Medpace Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Medpace Holdings used its assets more efficiently than the US Life Sciences industry average last year based on Return on Assets.
  • Medpace Holdings has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Medpace Holdings's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Life Sciences industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Medpace Holdings has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Medpace Holdings's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Medpace Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Medpace Holdings's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Medpace Holdings's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Medpace Holdings's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Medpace Holdings has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Medpace Holdings Company Filings, last reported 1 month ago.

NasdaqGS:MEDP Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 692.01 0.00 79.29
2019-06-30 658.06 0.00 20.10
2019-03-31 621.90 55.78 30.13
2018-12-31 589.70 79.72 23.28
2018-09-30 561.39 113.69 22.24
2018-06-30 540.08 163.52 22.23
2018-03-31 511.07 197.57 22.25
2017-12-31 503.53 221.61 26.49
2017-09-30 550.25 184.62 24.17
2017-06-30 607.36 157.63 29.06
2017-03-31 620.98 160.64 29.32
2016-12-31 610.71 163.64 37.10
2016-09-30 610.54 154.61 14.64
2016-06-30 422.64 364.03 13.67
2016-03-31 417.86 378.46 24.18
2015-12-31 413.47 377.88 14.88
2014-12-31 401.97 491.52 54.29
2013-12-31
  • Medpace Holdings has no debt.
  • Medpace Holdings currently has no debt however we can't compare to 5 years ago as we have no data for that period.
  • Medpace Holdings has no debt, it does not need to be covered by operating cash flow.
  • Medpace Holdings has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Medpace Holdings's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Medpace Holdings has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Medpace Holdings's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Medpace Holdings dividends. Estimated to be 0% next year.
If you bought $2,000 of Medpace Holdings shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Medpace Holdings's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Medpace Holdings's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:MEDP Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
United States of America Life Sciences Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 0.4%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1956 Stocks 2.3%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:MEDP Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.00 1.00
2020-12-31 0.00 1.00
2019-12-31 0.00 1.00
2019-11-19

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Medpace Holdings has not reported any payouts.
  • Unable to verify if Medpace Holdings's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Medpace Holdings's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Medpace Holdings has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Medpace Holdings's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Medpace Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Medpace Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Medpace Holdings has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Medpace Holdings's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
August Troendle
COMPENSATION $528,290
AGE 63
TENURE AS CEO 27.3 years
CEO Bio

Dr. August James Troendle, M.D. has been the Chairman, Chief Executive Officer and President at Medpace Holdings, Inc. since July 1992. Dr. Troendle founded Medpace Holdings, Inc. in July 1992. He founded Medpace, Inc. in 1992 and serves as its Chairman, Chief Executive Officer and President. He has extensive knowledge of the CRO and biopharmaceutical industries. Before founding Medpace, Dr. Troendle served as Assistant Director, Associate Director and Senior Associate Director from 1987 to 1992 for Sandoz (Novartis), where he was responsible for the clinical development of lipid altering agents. From 1986 to 1987, he served as a Medical Review Officer in the Division of Metabolic and Endocrine Drug Products at the FDA. He was Director at Coherus Biosciences, Inc. from March 2011 to March 01, 2018. He serves as a Director at BioGenerics, Inc. Dr. Troendle also has extensive experience serving as a director for a diverse group of public and private companies. He served as a Director of Xenon Pharmaceuticals Inc. from 2007 to 2008. He served as a director of Symplmed Pharmaceuticals, LLC since 2013, LIB Therapeutics, LLC since 2015 and CinRx Pharma, LLC since 2015. He served as a member of a large pharmaceutical company and the FDA. Dr. Troendle holds Medical Degree from the University of Maryland, School of Medicine.

CEO Compensation
  • August's compensation has been consistent with company performance over the past year, both up more than 20%.
  • August's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Medpace Holdings management team in years:

8
Average Tenure
53
Average Age
  • The average tenure for the Medpace Holdings management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

August Troendle

TITLE
Chairman
COMPENSATION
$528K
AGE
63
TENURE
27.3 yrs

Jesse Geiger

TITLE
CFO & Chief Operating Officer of Laboratory Operations
COMPENSATION
$677K
AGE
45
TENURE
8.7 yrs

Susan Burwig

TITLE
Executive Vice President of Operations
COMPENSATION
$730K
AGE
56
TENURE
2.8 yrs

Stephen Ewald

TITLE
General Counsel & Corporate Secretary
AGE
50
TENURE
7.3 yrs

Todd Meyers

TITLE
Vice President of Business Development & Marketing

Weimin Gai

TITLE
Senior Vice President of Biometrics

Daniel O'Leary

TITLE
Senior Vice President of Medical Department

Kevin Brady

TITLE
Executive Director of Finance

Yong-Xi Li

TITLE
Executive Director of Medpace Bioanalytical Laboratories - Medpace Labs

Eric Humes

TITLE
Executive Director of Quality Assurance
Board of Directors Tenure

Average tenure and age of the Medpace Holdings board of directors in years:

1.3
Average Tenure
63
Average Age
  • The average tenure for the Medpace Holdings board of directors is less than 3 years, this suggests a new board.
Board of Directors

Brian Carley

TITLE
Independent Director
COMPENSATION
$150K
AGE
65
TENURE
3.3 yrs

August Troendle

TITLE
Chairman
COMPENSATION
$528K
AGE
63
TENURE
27.3 yrs

Rocky Kraft

TITLE
Independent Director
COMPENSATION
$145K
AGE
49
TENURE
3.3 yrs

Fred Davenport

TITLE
Independent Director
COMPENSATION
$87K
AGE
67
TENURE
1.3 yrs

Neal McCarthy

TITLE
Independent Director
COMPENSATION
$84K
AGE
59
TENURE
1.3 yrs

Ashley Keating

TITLE
Director
TENURE
0.5 yrs

Thomas King

TITLE
Director
TENURE
0.1 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Medpace Holdings's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Medpace Holdings has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is Now The Time To Put Medpace Holdings (NASDAQ:MEDP) On Your Watchlist?

See our latest analysis for Medpace Holdings Medpace Holdings's Improving Profits In the last three years Medpace Holdings's earnings per share took off like a rocket; fast, and from a low base. … Medpace Holdings's earnings per share growth have been levitating higher, like a mountain goat scaling the Alps. … Although Medpace Holdings certainly looks good to me, I would like it more if insiders were buying up shares.

Simply Wall St -

Why You Should Buy Medpace Holdings, Inc. (NASDAQ:MEDP) In This Bear Market

We all know Medpace Holdings, and having this large-cap to cushion your portfolio during a volatile period in the stock market isn't a bad idea. … View our latest analysis for Medpace Holdings Medpace Holdings, Inc., a clinical contract research organization, provides scientifically-driven outsourced clinical development services to the biotechnology, pharmaceutical, and medical device industries worldwide. … This consistent market outperformance illustrates a robust track record of delivering strong returns over a number of years, increasing my conviction in Medpace Holdings as an investment over the long run.

Simply Wall St -

Should You Worry About Medpace Holdings, Inc.'s (NASDAQ:MEDP) CEO Pay Cheque?

In 1992 August Troendle was appointed CEO of Medpace Holdings, Inc. … View our latest analysis for Medpace Holdings How Does August Troendle's Compensation Compare With Similar Sized Companies? … A first glance this seems like a real positive for shareholders, since August Troendle is paid less than the average total compensation paid by similar sized companies.

Simply Wall St -

How Good Is Medpace Holdings, Inc. (NASDAQ:MEDP), When It Comes To ROE?

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Medpace Holdings: 13% = US$88m ÷ US$658m (Based on the trailing twelve months to June 2019.) Most readers would understand what net profit is, but it’s worth explaining the concept of shareholders’ equity. … Does Medpace Holdings Have A Good Return On Equity? … Combining Medpace Holdings's Debt And Its 13% Return On Equity One positive for shareholders is that Medpace Holdings does not have any net debt!

Simply Wall St -

Here's What Medpace Holdings, Inc.'s (NASDAQ:MEDP) P/E Ratio Is Telling Us

We'll apply a basic P/E ratio analysis to Medpace Holdings, Inc.'s (NASDAQ:MEDP), to help you decide if the stock is worth further research. … Looking at earnings over the last twelve months, Medpace Holdings has a P/E ratio of 28.73. … The formula for price to earnings is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for Medpace Holdings: P/E of 28.73 = $62.57 ÷ $2.18 (Based on the year to March 2019.) Is A High P/E Ratio Good?

Simply Wall St -

These 4 Measures Indicate That Medpace Holdings (NASDAQ:MEDP) Is Using Debt Safely

NasdaqGS:MEDP Historical Debt, July 1st 2019 A Look At Medpace Holdings's Liabilities According to the last reported balance sheet, Medpace Holdings had liabilities of US$264.5m due within 12 months, and liabilities of US$120.1m due beyond 12 months. … But either way, Medpace Holdings has virtually no net debt, so it's fair to say it does not have a heavy debt load! … Over the last three years, Medpace Holdings actually produced more free cash flow than EBIT.

Simply Wall St -

How Many Medpace Holdings, Inc. (NASDAQ:MEDP) Shares Have Insiders Sold, In The Last Year?

For example, a Harvard University study found that 'insider purchases earn abnormal returns of more than 6% per year.' View our latest analysis for Medpace Holdings The Last 12 Months Of Insider Transactions At Medpace Holdings Over the last year, we can see that the biggest insider sale was by the CFO & Chief Operating Officer of Laboratory Operations, Jesse Geiger, for US$446k worth of shares, at about US$60.15 per share. … NasdaqGS:MEDP Recent Insider Trading, July 1st 2019 Insider Ownership of Medpace Holdings Many investors like to check how much of a company is owned by insiders. … It's great to see high levels of insider ownership, but looking back at the last year, we don't gain confidence from the Medpace Holdings insiders selling.

Simply Wall St -

Estimating The Intrinsic Value Of Medpace Holdings, Inc. (NASDAQ:MEDP)

We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. … Generally we assume that a dollar today is more valuable than a dollar in the future, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) estimate 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF ($, Millions) $96.03 $119.38 $133.04 $133.22 $134.44 $136.40 $138.91 $141.84 $145.09 $148.61 Growth Rate Estimate Source Analyst x2 Analyst x2 Analyst x2 Est @ 0.14% Est @ 0.91% Est @ 1.46% Est @ 1.84% Est @ 2.11% Est @ 2.29% Est @ 2.42% Present Value ($, Millions) Discounted @ 8.82% $88.25 $100.81 $103.23 $94.99 $88.09 $82.13 $76.86 $72.11 $67.79 $63.80 Present Value of 10-year Cash Flow (PVCF)= $838.06m "Est" = FCF growth rate estimated by Simply Wall St We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. … The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 10-year government bond rate of 2.7%.

Simply Wall St -

Is It Too Late To Consider Buying Medpace Holdings, Inc. (NASDAQ:MEDP)?

A question to answer is whether Medpace Holdings's current trading price of $53.98 reflective of the actual value of the small-cap? … It’s trading around 2.24% above my intrinsic value, which means if you buy Medpace Holdings today, you’d be paying a relatively fair price for it. … Will you have enough confidence to invest in the company should the price drop below its fair value?

Simply Wall St -

Update: Medpace Holdings (NASDAQ:MEDP) Stock Gained 35% In The Last Year

(NASDAQ:MEDP) shareholders, since the share price has fallen 17% in that time. … There will continue to be wide discrepancies between price and value in the marketplace...' By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. … Unfortunately the share price is down 17% over the last quarter.

Simply Wall St -

Company Info

Description

Medpace Holdings, Inc., a clinical contract research organization, provides scientifically-driven outsourced clinical development services to the biotechnology, pharmaceutical, and medical device industries worldwide. The company offers a suite of services supporting the clinical development process from Phase I to Phase IV in a range of therapeutic areas. Its drug development services include development plan design, coordinated central laboratory, project management, regulatory affairs, clinical monitoring, data management and analysis, pharmacovigilance new drug application submissions, and post-marketing clinical support. The company also provides bio-analytical laboratory services, clinical human pharmacology, imaging services, and electrocardiography reading support for clinical trials. Medpace Holdings, Inc. was founded in 1992 and is headquartered in Cincinnati, Ohio.

Details
Name: Medpace Holdings, Inc.
MEDP
Exchange: NasdaqGS
Founded: 1992
$2,550,869,171
35,811,725
Website: http://www.medpace.com
Address: Medpace Holdings, Inc.
5375 Medpace Way,
Cincinnati,
Ohio, 45227,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS MEDP Common Stock Nasdaq Global Select US USD 12. Aug 2016
DB 01P Common Stock Deutsche Boerse AG DE EUR 12. Aug 2016
BMV MEDP * Common Stock Bolsa Mexicana de Valores MX MXN 12. Aug 2016
Number of employees
Current staff
Staff numbers
3,400
Medpace Holdings employees.
Industry
Life Sciences Tools and Services
Pharmaceuticals & Biotech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/19 00:54
End of day share price update: 2019/11/18 00:00
Last estimates confirmation: 2019/11/14
Last earnings filing: 2019/10/29
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.