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Medpace (MEDP) Advances While Market Declines: Some Information for Investors

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The most recent trading session ended with Medpace (MEDP - Free Report) standing at $324.13, reflecting a +1.55% shift from the previouse trading day's closing. The stock's performance was ahead of the S&P 500's daily loss of 1.22%. Meanwhile, the Dow experienced a drop of 1.55%, and the technology-dominated Nasdaq saw a decrease of 0.35%.

The provider of outsourced clinical development services's shares have seen a decrease of 7.05% over the last month, not keeping up with the Medical sector's gain of 0.98% and the S&P 500's loss of 2.31%.

Market participants will be closely following the financial results of Medpace in its upcoming release. The company is predicted to post an EPS of $3.05, indicating a 4.69% decline compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $532.52 million, indicating a 4.2% upward movement from the same quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $12.29 per share and a revenue of $2.16 billion, representing changes of -2.69% and +2.41%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Medpace. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.02% downward. Medpace is currently sporting a Zacks Rank of #3 (Hold).

Digging into valuation, Medpace currently has a Forward P/E ratio of 25.96. This signifies a premium in comparison to the average Forward P/E of 16.65 for its industry.

We can additionally observe that MEDP currently boasts a PEG ratio of 3.53. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Medical Services stocks are, on average, holding a PEG ratio of 1.33 based on yesterday's closing prices.

The Medical Services industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 84, finds itself in the top 34% echelons 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.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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