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 $26.4B against $17.6B — 1.5× the size. Labcorp Holdings Inc. trades at the lower P/E: 26.2× 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 14 and Labcorp Holdings Inc. on 8.

Valuation

Metric LH MEDP Diagnostics & Research median
P/E 26.18 35.56 35.56
P/S 1.81 6.26 4.37
P/B 3.02 40.16 3.06
Price to free cash flow 25.22 24.66 35.76
EV/EBITDA 14.51 27.87 24.35
EV/Sales 2.22 6.12 5.51
Earnings yield 3.82% 2.81% (1.89%)
Free cash flow yield 3.97% 4.06% (0.15%)

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% 25.92%
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) 0.70

Dividend

Metric LH MEDP Diagnostics & Research median
Dividend yield 0.90% — 0.66%
Payout ratio 0.24 — 0.20

Size

Metric LH MEDP Diagnostics & Research median
Market cap 26.36b 17.55b 2.16b

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