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IQVIA Holdings Inc. (IQV) is a leading global provider of advanced analytics, technology solutions, and clinical research services for the life sciences industry and is worth a market cap of $34 billion. Headquartered in Durham, North Carolina, IQVIA operates in over 100 countries, offering solutions that enhance clinical trial efficiency, optimize healthcare decision-making, and drive innovation across the industry.
Shares of IQVIA Holdings have underperformed the broader market over the last year. The stock has declined 17.6% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 22.8%. Over the past three months, IQV has surged 2.7%, compared to SPX’s 4.5% rise.
Narrowing the focus, IQV also lagged behind the Health Care Select Sector SPDR Fund (XLV). The exchange-traded fund has gained marginally over the past year and has returned 3.7% over the past three months.
On Feb. 6, IQV share jumped 2.2% after unveiling its fourth-quarter earnings. Its adjusted earnings of $3.12 per share topped Wall Street expectations, and it posted a revenue of $3.96 billion, which also surpassed market projections.
Despite net income declining to $437 million, the company maintained strong operational performance, driven by a robust $31.1 billion backlog in its R&D Solutions segment. It repurchased $1.35 billion in shares and reaffirmed its 2025 guidance, projecting revenue growth of 4%-7% and EPS gains of 5%-9%, signaling confidence in its long-term strategy despite market challenges.
For the current fiscal year, ending in December, analysts expect IQVIA Holdings’ EPS to grow 6% to $10.86 on a diluted basis. The company's earnings surprise history is solid. It consistently beat the consensus estimate in all four past quarters.
Among the 22 analysts covering IQV stock, the consensus rating is a “Strong Buy.” That’s based on 17 “Strong Buy” ratings, one “Moderate Buys,” and four “Holds.”
The configuration is more bullish than three months ago, with 16 analysts suggesting a “Strong Buy.”
On Feb. 18, JPMorgan Chase & Co. (JPM) lowered IQVIA's price target from $240 to $232 while maintaining an “Overweight” rating on the stock.
The mean price target of $246.36 represents a 25.4% premium to IQV’s current price levels. The Street-high price target of $270 suggests an ambitious upside potential of 37.4%.
