In the latest trading session, Medpace (MEDP) closed at $582.48, marking a -1.79% move from the previous day. The stock's performance was behind the S&P 500's daily loss of 0.43%. Elsewhere, the Dow lost 0.37%, while the tech-heavy Nasdaq lost 0.94%.
The provider of outsourced clinical development services's shares have seen an increase of 5.59% over the last month, surpassing the Medical sector's loss of 2.36% and the S&P 500's gain of 0.89%.
Investors will be eagerly watching for the performance of Medpace in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 9, 2026. In that report, analysts expect Medpace to post earnings of $4.18 per share. This would mark year-over-year growth of 13.9%. In the meantime, our current consensus estimate forecasts the revenue to be $681.17 million, indicating a 26.94% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $14.8 per share and revenue of $2.5 billion, which would represent changes of +17.18% and 0%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Medpace. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Medpace currently has a Zacks Rank of #4 (Sell).
Digging into valuation, Medpace currently has a Forward P/E ratio of 35.67. This valuation marks a premium compared to its industry average Forward P/E of 15.73.
Also, we should mention that MEDP has a PEG ratio of 1.99. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Medical Services industry held an average PEG ratio of 1.77.
The Medical Services industry is part of the Medical sector. With its current Zacks Industry Rank of 178, this industry ranks in the bottom 28% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Medpace Holdings, Inc. (MEDP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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