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 $21.9B against $17.3B — 1.3× the size. Labcorp Holdings Inc. trades at the lower P/E: 25.4× against 35.6×. Medpace Holdings, Inc. grew revenue faster over the last twelve months: 24.7% against 6.41%. Medpace Holdings, Inc. has the higher net margin (17.7% vs 6.99%) and the lower return on invested capital (0.00% vs 6.50%). 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 25.44 35.59 33.95
P/S 1.76 6.27 4.87
P/B 2.94 40.19 3.12
Price to free cash flow 24.51 24.67 34.02
EV/EBITDA 14.70 27.97 25.20
EV/Sales 2.25 6.14 5.66
Earnings yield 3.93% 2.81% (1.75%)
Free cash flow yield 4.08% 4.05% (0.13%)

Profitability

Metric LH MEDP Diagnostics & Research median
Gross margin 28.88% 72.35% 50.89%
Operating margin 10.43% 20.97% (8.57%)
Net margin 6.99% 17.67% (6.37%)
Free cash flow margin 8.16% 25.40% 0.00%
Return on equity 11.74% 162.15% (2.92%)
Return on assets 5.48% 27.09% (6.71%)
Return on invested capital 6.50% 0.00% 0.00%

Growth

Metric LH MEDP Diagnostics & Research median
Revenue growth (TTM) 6.41% 24.67% 7.69%
EPS growth (last fiscal year) 18.33% 20.98% —
Revenue growth, 5-year CAGR (0.04%) 22.27% 7.40%
Net income growth, 5-year CAGR (10.85%) 25.50% 0.00%

Health

Metric LH MEDP Diagnostics & Research median
Debt to equity 0.69 0.00 0.11
Current ratio 1.80 0.73 2.02
Net debt to EBITDA 2.23 (0.88) 0.78

Dividend

Metric LH MEDP Diagnostics & Research median
Dividend yield 0.98% — 0.70%
Payout ratio 0.27 0.00 0.00

Size

Metric LH MEDP Diagnostics & Research median
Market cap 21.86b 17.32b 2.56b

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