Quest Diagnostics Incorporated (DGX) vs Medpace Holdings, Inc. (MEDP)

Quest Diagnostics Incorporated and Medpace Holdings, Inc. are both Diagnostics & Research companies. Quest Diagnostics Incorporated is the larger, with a market value of $26.2B against $17.3B — 1.5× the size. Quest Diagnostics Incorporated trades at the lower P/E: 24.8× against 35.6×. Medpace Holdings, Inc. grew revenue faster over the last twelve months: 24.7% against 9.87%. Medpace Holdings, Inc. has the higher net margin (17.7% vs 9.15%) and the lower return on invested capital (0.00% vs 7.94%). Across the 22 metrics below, Medpace Holdings, Inc. leads on 12 and Quest Diagnostics Incorporated on 10.

Valuation

Metric DGX MEDP Diagnostics & Research median
P/E 24.77 35.59 33.95
P/S 2.27 6.27 4.87
P/B 3.35 40.19 3.12
Price to free cash flow 19.45 24.67 34.02
EV/EBITDA 14.14 27.97 25.20
EV/Sales 2.70 6.14 5.66
Earnings yield 4.04% 2.81% (1.75%)
Free cash flow yield 5.14% 4.05% (0.13%)

Profitability

Metric DGX MEDP Diagnostics & Research median
Gross margin 33.11% 72.35% 50.89%
Operating margin 14.10% 20.97% (8.57%)
Net margin 9.15% 17.67% (6.37%)
Free cash flow margin 11.67% 25.40% 0.00%
Return on equity 14.03% 162.15% (2.92%)
Return on assets 6.43% 27.09% (6.71%)
Return on invested capital 7.94% 0.00% 0.00%

Growth

Metric DGX MEDP Diagnostics & Research median
Revenue growth (TTM) 9.87% 24.67% 7.69%
EPS growth (last fiscal year) 13.78% 20.98% —
Revenue growth, 5-year CAGR 3.18% 22.27% 7.40%
Net income growth, 5-year CAGR (7.06%) 25.50% 0.00%

Health

Metric DGX MEDP Diagnostics & Research median
Debt to equity 0.72 0.00 0.11
Current ratio 1.59 0.73 2.02
Net debt to EBITDA 2.47 (0.88) 0.78

Dividend

Metric DGX MEDP Diagnostics & Research median
Dividend yield 2.30% — 0.70%
Payout ratio 0.29 0.00 0.00

Size

Metric DGX MEDP Diagnostics & Research median
Market cap 26.19b 17.32b 2.56b

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