Analysts Estimate Medpace (MEDP) to Report a Decline in Earnings: What to Look Out for

Core Viewpoint - Medpace (MEDP) is anticipated to report a year-over-year decline in earnings despite an increase in revenues for the quarter ending March 2025, with the actual results being a significant factor influencing its near-term stock price [1][2]. Earnings Expectations - The earnings report is scheduled for release on April 21, 2025, and could lead to a stock price increase if the results exceed expectations, while a miss could result in a decline [2]. - The Zacks Consensus Estimate predicts quarterly earnings of $3.06 per share, reflecting a year-over-year decrease of 4.4%, with revenues expected to reach $530.12 million, a 3.7% increase from the previous year [3]. Estimate Revisions - Over the past 30 days, the consensus EPS estimate has been revised down by 1.5%, indicating a reassessment by analysts regarding the company's earnings prospects [4]. - The Most Accurate Estimate for Medpace is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -3.42%, suggesting a bearish outlook from analysts [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model compares the Most Accurate Estimate to the Zacks Consensus Estimate, with a positive Earnings ESP indicating a higher likelihood of an earnings beat [6][8]. - Medpace's current Zacks Rank is 3, which complicates the prediction of an earnings beat given the negative Earnings ESP [11]. Historical Performance - In the last reported quarter, Medpace was expected to post earnings of $2.97 per share but exceeded expectations with earnings of $3.67, resulting in a surprise of +23.57% [12]. - The company has successfully beaten consensus EPS estimates in the last four quarters [13]. Conclusion - While Medpace does not appear to be a strong candidate for an earnings beat, investors should consider other factors when making decisions regarding the stock ahead of the earnings release [16].