Here’s Why Medpace (MEDP) Shares Roared in 2025

Core Insights - Giverny Capital Asset Management's portfolio returned 0.01% in Q4 2025, underperforming the S&P 500's 2.66% return, and YTD returns were 12.58% compared to the Index's 17.88% [1] - The firm faced challenges due to underweighting in large technology companies and overweighting in smaller niche leaders, despite portfolio companies showing strong earnings growth [1] - The market's focus on AI investments has overshadowed the actual benefits of portfolio companies, which excel in capital returns [1] Company Focus: Medpace Holdings, Inc. - Medpace Holdings, Inc. (NASDAQ:MEDP) was highlighted as a leading contributor, with a one-month return of 3.86% and a 52-week gain of 69.86% [2] - As of January 29, 2026, Medpace's stock closed at $593.07, with a market capitalization of $16.706 billion [2] - The stock experienced volatility due to fears of funding drying up for biopharmaceutical trials but rebounded as funding remained stable; the company also repurchased about 9% of its shares earlier in the year [3] Market Position and Financial Performance - Medpace Holdings, Inc. was held by 43 hedge fund portfolios at the end of Q3 2025, an increase from 42 in the previous quarter [4] - The company reported revenue of $659.9 million in Q3 2025, reflecting a year-over-year increase of 23.7% [4] - Despite acknowledging Medpace's potential, the firm believes certain AI stocks may offer greater upside potential with less downside risk [4]