IQVIA Holdings Inc (IQV, Financial) has recently captured the attention of investors and financial analysts alike, thanks to its strong financial performance and promising market position. With a current share price of $218.40, IQVIA Holdings Inc has experienced a daily gain of 3.03%, despite a three-month change of -8%. A detailed analysis, supported by the GF Score, indicates that IQVIA Holdings Inc is poised for significant growth in the foreseeable future.
What Is the GF Score?
The GF Score is a proprietary stock performance ranking system developed by GuruFocus. It evaluates stocks based on five key aspects of valuation, which have been proven to correlate closely with long-term stock performance from 2006 to 2021. Stocks with higher GF Scores typically yield higher returns than those with lower scores. The GF Score ranges from 0 to 100, with 100 representing the highest potential for outperformance.
- Financial strength rank: 5/10
- Profitability rank: 9/10
- Growth rank: 10/10
- GF Value rank: 9/10
- Momentum rank: 7/10
With a GF Score of 94 out of 100, IQVIA Holdings Inc demonstrates a high potential for market outperformance, driven by its superior growth and profitability metrics.
Understanding IQVIA Holdings Inc's Business
IQVIA Holdings Inc, with a market cap of $39.79 billion and annual sales of $15.07 billion, operates at the intersection of healthcare and analytics. Formed from the 2016 merger of Quintiles and IMS Health, IQVIA focuses on providing outsourced clinical trials and comprehensive data and analytics services to the healthcare sector. Its operations span late-stage clinical trials, technology services for healthcare entities, and contract sales. The company's operating margin stands at 13.9%, reflecting its efficient management and specialized service offerings.
Profitability and Growth Metrics
The Profitability Rank of IQVIA Holdings Inc highlights its effectiveness in generating profits, which is further evidenced by a consistent increase in its Operating Margin over the past five years, reaching 13.76% in 2023. Additionally, the company's Gross Margin has also shown improvement, indicating enhanced capability in converting revenue into profit.
The Piotroski F-Score and a Predictability Rank of 4.0 stars further affirm IQVIA Holdings Inc's solid financial health and consistent operational performance.
Ranked highly in Growth, the company's 3-Year Revenue Growth Rate of 11.4% outperforms 63.78% of its industry peers. The robust increase in EBITDA over recent years underscores its ongoing growth capabilities.
Conclusion
Considering IQVIA Holdings Inc's strong financial strength, impressive profitability, and consistent growth metrics, the GF Score highlights the company's exceptional position for potential market outperformance. Investors looking for similar opportunities can explore more companies with strong GF Scores using the GF Score Screen.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
