Investors will be eagerly watching for the performance of Medpace in its upcoming earnings disclosure. In that report, analysts expect Medpace to post earnings of $2.52 per share. This would mark year-over-year growth of 30.57%. Our most recent consensus estimate is calling for quarterly revenue of $529.73 million, up 14.94% from the year-ago period. The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by ex ...

Growth investors focus on stocks that are seeing above-average financial growth, as this feature helps these securities garner the market's attention and deliver solid returns. But finding a growth stock that can live up to its true potential can be a tough task. That's because, these stocks usually carry above-average risk and volatility. In fact, betting on a stock for which the growth story is actually over or nearing its end could lead to significant loss. However, it's pretty easy to find cutting-edge ...

In the latest market close, Medpace (MEDP) reached $390.81, with a +0.07% movement compared to the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.03%. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq gained 0.59%. Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating ...

However, it's pretty easy to find cutting-edge growth stocks with the help of the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects. Medpace (MEDP) is one such stock that our proprietary system currently recommends. The company not only has a favorable Growth Score, but also carries a top Zacks Rank. Studies have shown that stocks with the best growth features consistently outperform the market. ...

Investors interested in Medical stocks should always be looking to find the best-performing companies in the group. Has Medpace (MEDP) been one of those stocks this year? A quick glance at the company's year-to-date performance in comparison to the rest of the Medical sector should help us answer this question.Medpace is a member of the Medical sector. This group includes 1048 individual stocks and currently holds a Zacks Sector Rank of #5. The Zacks Sector Rank considers 16 different groups, measuring the ...

Medpace (MEDP) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future. Shares of this provider of outsourced clinical development services have returned -2.5% over the past month versus the Zacks S&P 500 composite's -0.3% change. The Zacks Medical Services industry, to which Medpace belongs, has lost 0.2% over this period. Now the key question is: Where could the stock be ...

April is known for being favorable to Wall Street investors. But this year, April ended on a disappointing note. A sticky inflation rate, a resilient labor market and a significant decline in the U.S. GDP growth rate dented market participants’ confidence in risky assets like equities.However, U.S. stock markets rebounded in early May as recently released economic data boosted market participants’ confidence in equities. A sharp decline in April job additions, a notable deterioration of the U.S. GDP growth ...

Growth stocks are attractive to many investors, as above-average financial growth helps these stocks easily grab the market's attention and produce exceptional returns. However, it isn't easy to find a great growth stock.That's because, these stocks usually carry above-average risk and volatility. In fact, betting on a stock for which the growth story is actually over or nearing its end could lead to significant loss.However, it's pretty easy to find cutting-edge growth stocks with the help of the Zacks Gro ...

Revenue and Business Growth - Total revenue increased by $77.0 million to $511.0 million for the three months ended March 31, 2024, representing a 17.7% growth compared to $434.1 million for the same period in 2023[82] - Net new business awards were $615.6 million for the three months ended March 31, 2024, compared to $555.8 million for the same period in 2023[76] - Backlog increased by $447.0 million, or 18.2%, to $2,907.1 million as of March 31, 2024, compared to $2,460.1 million as of March 31, 2023[77] - The company expects approximately $1,550.0 million to $1,570.0 million of backlog to convert to net revenue over the next twelve months[77] Costs and Expenses - Direct service costs, excluding depreciation and amortization, increased by $20.4 million, or 13.5%, to $171.5 million for the three months ended March 31, 2024[82] - Reimbursed out-of-pocket expenses rose by $31.6 million, or 20.7%, to $184.4 million for the three months ended March 31, 2024[82] - Selling, general and administrative expenses increased by $6.1 million, or 15.9%, to $44.1 million for the three months ended March 31, 2024[82] - Total direct costs increased by $52.0 million to $355.9 million for the three months ended March 31, 2024, compared to $303.9 million for the same period in 2023[84] - Selling, general and administrative expenses rose by $6.1 million to $44.1 million for the three months ended March 31, 2024, from $38.0 million in the prior year[85] - Depreciation and amortization expense increased by $1.0 million to $7.0 million for the three months ended March 31, 2024, compared to $6.0 million for the same period in 2023[86] Income and Tax - Income from operations increased by $17.9 million to $104.1 million for the three months ended March 31, 2024[82] - Net income for the three months ended March 31, 2024, was $102.6 million, an increase of $29.7 million compared to $72.9 million for the same period in 2023[82] - Income tax provision decreased by $2.9 million to $10.2 million for the three months ended March 31, 2024, with an effective tax rate of 9.0%, down from 15.3% in the prior year[88] - Miscellaneous income, net increased by $3.9 million to $4.6 million for the three months ended March 31, 2024, from $0.7 million in the prior year[87] Cash Flow and Financial Position - Cash and cash equivalents increased to $407.0 million as of March 31, 2024, up from $245.4 million as of December 31, 2023[89] - Net cash provided by operating activities was $152.7 million for the three months ended March 31, 2024, compared to $80.1 million in the same period of 2023[92] - Net cash provided by investing activities was $2.5 million for the three months ended March 31, 2024, compared to a net cash used of $9.5 million in the prior year[96] - The company did not execute any share repurchases during the three months ended March 31, 2024, with remaining authorization of $308.8 million under the repurchase program[99] - As of March 31, 2024, the company had no indebtedness and less than $0.1 million in letters of credit outstanding[101] Foreign Currency Impact - The effect of unfavorable foreign currency adjustments on backlog was $6.8 million for the three months ended March 31, 2024[78]

Financial Data and Key Metrics Changes - Revenue for Q1 2024 was $511 million, representing a year-over-year increase of 17.7% [35][36] - EBITDA for Q1 2024 was $115.7 million, an increase of 24.6% compared to $92.8 million in Q1 2023 [36][37] - Net income for Q1 2024 was $102.6 million, up 40.7% from $72.9 million in the prior year [37] - EBITDA margin for Q1 2024 was 22.6%, compared to 21.4% in the prior year [13] Business Line Data and Key Metrics Changes - Net new business awards entering backlog in Q1 2024 increased 10.8% to $615.6 million, resulting in a net book-to-bill ratio of 1.2 [35] - Ending backlog as of March 31, 2024, was approximately $2.9 billion, an increase of 18.2% from the prior year [12] Market Data and Key Metrics Changes - The funding environment remains guarded but stable and improved from last year, with strong signals of funded companies coming forward with programs [33][77] - RFP flows and bookings were stable to improved in Q1 compared to Q4, with an increase in quality and number of opportunities [77] Company Strategy and Development Direction - The company is committed to delivering year-over-year margin improvement and has raised its full-year guidance for EBITDA [5] - The focus is on improving productivity through automation and optimizing geographic distribution of staff [5][57] - The company expects direct revenue growth of approximately 15% for 2024 [73] Management's Comments on Operating Environment and Future Outlook - Management noted that while some clients are struggling with funding, the overall business environment is much better than last year [19] - There is confidence in achieving revenue growth in 2025, contingent on maintaining bookings without significant cancellations [20][86] Other Important Information - The effective tax rate for Q1 2024 was 9%, down from 15.3% in the prior year [37] - Cash flow from operating activities for Q1 2024 was $152.7 million, with $407 million in cash as of March 31, 2024 [38] Q&A Session Summary Question: What drove the lower bookings number for the quarter? - Management indicated that elevated cancellations, which were above the usual range of below 4.5%, were the primary reason for missing internal projections [10][18] Question: How is the funding environment affecting client sentiment? - Management observed a mix of clients, with some struggling for funding while others are optimistic about moving forward with programs [19] Question: What is the outlook for revenue growth in 2025? - Management expects that continuing bookings similar to the past year will support accelerating revenue growth in 2025 [20] Question: How do cancellations impact near-term revenue? - Cancellations were primarily from studies already in backlog, which could affect near-term revenue but confidence remains in achieving 15% direct revenue growth [86] Question: Is there a change in the mix of reimbursable versus service revenue in bookings? - Management stated there were no significant shifts in the mix of bookings and backlog, indicating stable direct revenue progression [73]