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Medpace (MEDP) Rises Higher Than Market: Key Facts

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In the latest market close, Medpace (MEDP - Free Report) reached $347.91, with a +0.93% movement compared to the previous day. The stock outpaced the S&P 500's daily gain of 0.61%. Meanwhile, the Dow gained 0.97%, and the Nasdaq, a tech-heavy index, added 0.33%.

The provider of outsourced clinical development services's stock has dropped by 0.07% in the past month, exceeding the Medical sector's loss of 3.79% and lagging the S&P 500's gain of 5.36%.

Market participants will be closely following the financial results of Medpace in its upcoming release. The company plans to announce its earnings on October 21, 2024. It is anticipated that the company will report an EPS of $2.78, marking a 25.23% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $540.49 million, reflecting a 9.74% rise from the equivalent quarter last year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $11.64 per share and revenue of $2.13 billion, which would represent changes of +31.08% and +13.03%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Medpace. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.11% downward. Medpace presently features a Zacks Rank of #4 (Sell).

Digging into valuation, Medpace currently has a Forward P/E ratio of 29.61. This expresses a premium compared to the average Forward P/E of 20.24 of its industry.

Investors should also note that MEDP has a PEG ratio of 1.79 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Medical Services industry held an average PEG ratio of 1.78.

The Medical Services industry is part of the Medical sector. Currently, this industry holds a Zacks Industry Rank of 176, positioning it in the bottom 31% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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