Labcorp Holdings Inc. (LH) vs Medpace Holdings, Inc. (MEDP)

Labcorp Holdings Inc. and Medpace Holdings, Inc. are both Diagnostics & Research companies. Labcorp Holdings Inc. is the larger, with a market value of $29.5B against $17.8B — 1.7× the size. Labcorp Holdings Inc. trades at the lower P/E: 29.5× against 34.6×. Medpace Holdings, Inc. grew revenue faster over the last twelve months: 20.4% against 6.02%. Medpace Holdings, Inc. has the higher net margin (18.2% vs 6.88%) and the lower return on invested capital (0.00% vs 6.76%). Across the 22 metrics below, Medpace Holdings, Inc. leads on 12 and Labcorp Holdings Inc. on 10.

Valuation

Metric LH MEDP Diagnostics & Research median
P/E 29.53 34.57 34.52
P/S 2.01 6.25 4.24
P/B 3.32 30.31 3.42
Price to free cash flow 25.40 26.56 33.51
EV/EBITDA 15.61 27.01 23.44
EV/Sales 2.36 6.04 5.18
Earnings yield 3.39% 2.89% (1.50%)
Free cash flow yield 3.94% 3.77% 0.00%

Profitability

Metric LH MEDP Diagnostics & Research median
Gross margin 28.96% 72.24% 48.32%
Operating margin 10.29% 21.39% (5.68%)
Net margin 6.88% 18.24% (4.10%)
Free cash flow margin 8.87% 23.52% 0.00%
Return on equity 11.45% 117.88% 0.00%
Return on assets 5.40% 25.54% (6.05%)
Return on invested capital 6.76% 0.00% 0.00%

Growth

Metric LH MEDP Diagnostics & Research median
Revenue growth (TTM) 6.02% 20.35% 8.99%
EPS growth (last fiscal year) 18.33% 20.98% 20.36%
Revenue growth, 5-year CAGR (0.04%) 22.27% 7.30%
Net income growth, 5-year CAGR (10.85%) 25.50% 0.00%

Health

Metric LH MEDP Diagnostics & Research median
Debt to equity 0.60 0.00 0.01
Current ratio 1.41 0.83 2.27
Net debt to EBITDA 2.23 (0.88) 0.68

Dividend

Metric LH MEDP Diagnostics & Research median
Dividend yield 0.79% — 0.67%
Payout ratio 0.24 — 0.20

Size

Metric LH MEDP Diagnostics & Research median
Market cap 29.50b 17.76b 2.22b

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