IQVIA Holdings Inc. (IQV) vs Natera, Inc. (NTRA)

IQVIA Holdings Inc. and Natera, Inc. are both Diagnostics & Research companies. Natera, Inc. is the larger, with a market value of $59.2B against $45.3B — 1.3× the size. Natera, Inc. has negative trailing earnings, so its P/E is not meaningful; IQVIA Holdings Inc. trades at 33.3×. Natera, Inc. grew revenue faster over the last twelve months: 37.8% against 8.17%. IQVIA Holdings Inc. has the higher net margin (8.10% vs −7.11%) and the higher return on invested capital (6.80% vs −22.3%). Across the 20 metrics below, IQVIA Holdings Inc. leads on 14 and Natera, Inc. on 6.

Valuation

Metric IQV NTRA Diagnostics & Research median
P/E 33.26 n/m 33.95
P/S 2.64 21.84 4.87
P/B 7.13 32.45 3.12
Price to free cash flow 19.88 702.06 34.02
EV/EBITDA 17.27 n/m 25.20
EV/Sales 3.46 21.57 5.66
Earnings yield 3.01% (0.33%) (1.75%)
Free cash flow yield 5.03% 0.14% (0.13%)

Profitability

Metric IQV NTRA Diagnostics & Research median
Gross margin 32.97% 65.23% 50.89%
Operating margin 12.95% (10.70%) (8.57%)
Net margin 8.10% (7.11%) (6.37%)
Free cash flow margin 13.30% 3.11% 0.00%
Return on equity 22.75% (12.54%) (2.92%)
Return on assets 4.70% (8.71%) (6.71%)
Return on invested capital 6.80% (22.34%) 0.00%

Growth

Metric IQV NTRA Diagnostics & Research median
Revenue growth (TTM) 8.17% 37.82% 7.69%
EPS growth (last fiscal year) 4.67% 0.65% —
Revenue growth, 5-year CAGR 7.50% 42.61% 7.40%
Net income growth, 5-year CAGR 37.27% 0.00% 0.00%

Health

Metric IQV NTRA Diagnostics & Research median
Debt to equity 2.54 0.04 0.11
Current ratio 0.71 3.00 2.02
Net debt to EBITDA 4.06 3.74 0.78

Dividend

Metric IQV NTRA Diagnostics & Research median
Dividend yield — — 0.70%
Payout ratio 0.00 0.00 0.00

Size

Metric IQV NTRA Diagnostics & Research median
Market cap 45.27b 59.17b 2.56b

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