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1. Company Snapshot

1.a. Company Description

IQVIA Holdings Inc.provides advanced analytics, technology solutions, and clinical research services to the life sciences industry in the Americas, Europe, Africa, and the Asia-Pacific.It operates through three segments: Technology & Analytics Solutions, Research & Development Solutions, and Contract Sales & Medical Solutions.


The Technology & Analytics Solutions segment offers a range of cloud-based applications and related implementation services; real world solutions that enable life sciences and provider customers to generate and disseminate evidence, which informs health care decision making and improves patients' outcomes; and strategic and implementation consulting services, such as advanced analytics and commercial processes outsourcing services.This segment also provides country level performance metrics related to sales of pharmaceutical products, prescribing trends, medical treatment, and promotional activity across various channels, including retail, hospital, and mail order; and measurement of sales or prescribing activity at the regional, zip code, and individual prescriber level.The Research & Development Solutions segment offers project management and clinical monitoring; clinical trial support; virtual trials; and strategic planning and design services, as well as central laboratory, genomic, bioanalytical, ADME, discovery, and vaccine and biomarker laboratory services.


The Contract Sales & Medical Solutions segment provides health care provider and patient engagement services, and scientific strategy and medical affairs services.It serves pharmaceutical, biotechnology, device and diagnostic, and consumer health companies.The company has a strategic collaboration with HealthCore, Inc.


The company was formerly known as Quintiles IMS Holdings, Inc.and changed its name to IQVIA Holdings Inc.in November 2017.


IQVIA Holdings Inc.was founded in 1982 and is headquartered in Durham, North Carolina.

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1.b. Last Insights on IQV

IQVIA Holdings Inc.'s recent performance was driven by strong Q2 earnings, which exceeded expectations, and robust demand across segments. The company's Technology & Analytics Solutions segment showed strength, particularly in real-world evidence services, with double-digit growth. IQVIA's strategic alliance with Sarah Cannon Research Institute to optimize oncology trials and the dosing of the first patient in the RENEW Phase 2 trial likely provided a positive sentiment boost.

1.c. Company Highlights

2. IQVIA's Q3 Earnings: Steady Growth Amidst Strategic AI Integration

IQVIA reported a revenue of $4.1 billion for the third quarter, marking a 5.2% year-over-year growth on a reported basis and 3.9% at constant currency. The Technology & Analytics Solutions (TAS) segment contributed $1.631 billion, while R&D Solutions revenue was $2.26 billion, growing 4.5% reported and 3.4% at constant currency. Adjusted diluted EPS was $3, up 5.6% year-over-year, slightly beating estimates of $2.98. The company's adjusted EBITDA was $949 million, representing a growth of 1.1%. The net book-to-bill ratio stood at 1.15x, with a record backlog of $32.4 billion, up 4.1% year-over-year.

Publication Date: Oct -29

📋 Highlights
  • Revenue Growth:: Q3 revenue reached $4.1B, growing 5.2% YoY reported and 3.9% constant currency.
  • Segment Performance:: CSMS revenue surged 16.1% YoY to $209M, outpacing R&D Solutions (4.5%) and TAS (5%).
  • Bookings & Backlog:: Net bookings hit $2.6B (13% YoY growth), with a record $32.4B backlog (4.1% YoY increase).
  • Profitability Metrics:: Adjusted EBITDA rose to $949M (+1.1% YoY), and adjusted EPS grew 5.6% to $3.
  • AI & Future Outlook:: 90 AI agents in development (target: 500 by 2027) aim to enhance efficiency, with 2025 revenue guidance narrowed to $16.15B–$16.25B (4.8–5.5% growth).

Segment Performance and Growth Drivers

The TAS segment saw significant growth, driven by real-world evidence, with inorganic contributions from acquisitions adding 1.5 points to the company's growth. The R&D Solutions revenue growth was steady, while Contract Sales & Medical Solutions (CSMS) revenue was up 16.1% reported and 13.9% at constant currency. IQVIA is witnessing increased demand for Phase 1 work, particularly in oncology, and is expanding its presence in this segment.

AI Integration and Future Outlook

IQVIA is leveraging AI internally to enhance efficiency, with 90 AI agents in development covering 25 use cases, aiming to develop 500 highly specialized agents by early 2027. The company expects AI to improve margins long-term, mitigating headwinds from pass-throughs, FX tailwind, and a mix of lower-margin businesses. Management is confident about delivering over 5% top-line revenue growth in 2024 and expects 2026 revenue growth to be at least the same or better.

Valuation and Growth Prospects

With a P/E Ratio of 28.94 and an EV/EBITDA of 10.97, the market appears to have priced in IQVIA's growth prospects. Analysts estimate next year's revenue growth at 4.9%. The company's focus on AI integration and its potential to improve margins long-term could be a key driver of future growth, potentially justifying the current valuation multiples. The Free Cash Flow Yield of 7.12% is also attractive, indicating a healthy cash generation capability.

3. NewsRoom

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Boston Family Office LLC Sells 10,147 Shares of IQVIA Holdings Inc. $IQV

Dec -01

Source: defenseworld.net

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Critical Comparison: IQVIA (NYSE:IQV) versus Tenon Medical (NASDAQ:TNON)

Dec -01

Source: defenseworld.net

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Associated Banc Corp Increases Stock Position in IQVIA Holdings Inc. $IQV

Nov -25

Source: defenseworld.net

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Campbell & CO Investment Adviser LLC Lowers Position in IQVIA Holdings Inc. $IQV

Nov -18

Source: defenseworld.net

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Arvest Bank Trust Division Sells 519 Shares of IQVIA Holdings Inc. $IQV

Nov -14

Source: defenseworld.net

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IQVIA Holdings Inc. $IQV Shares Acquired by Allianz SE

Nov -14

Source: defenseworld.net

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Acadian Asset Management LLC Cuts Stake in IQVIA Holdings Inc. $IQV

Nov -14

Source: defenseworld.net

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Oakmark Global Concentrated Strategy Q3 2025 Top Contributors And Detractors

Nov -12

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.88%)

6. Segments

Research & Development Solutions

Expected Growth: 4.5%

IQVIA's R&D Solutions growth of 4.5% is driven by increasing demand for clinical trial services, expanding portfolio of projects, and rising adoption of technology-enabled solutions. The segment benefits from IQVIA's expertise in data analytics, real-world evidence, and decentralized trials, enabling biotech and pharmaceutical clients to accelerate drug development and reduce costs.

Technology & Analytics Solutions (TAS)

Expected Growth: 5.5%

TAS growth of 5.5% driven by increasing demand for data analytics and digital transformation in healthcare, IQVIA's expanding suite of technology solutions, and growing adoption of its analytics platforms, enabling clients to derive insights and improve operational efficiency.

Contract Sales & Medical Solutions (CSMS)

Expected Growth: 4.0%

The 4.0% growth in Contract Sales & Medical Solutions (CSMS) from IQVIA Holdings Inc. is driven by increasing demand for outsourced medical affairs and commercialization services. Clients are seeking specialized expertise to navigate complex regulatory environments and optimize product launches. Additionally, the segment benefits from IQVIA's expanding global reach and its comprehensive suite of services, enabling clients to improve their commercial performance.

7. Detailed Products

IQVIA Technologies

A suite of advanced analytics, artificial intelligence, and data science solutions designed to help life sciences companies make informed decisions, improve patient outcomes, and optimize their operations.

IQVIA Clinical Trial Management

A comprehensive clinical trial management solution that streamlines the planning, execution, and monitoring of clinical trials, enabling sponsors to improve efficiency, reduce costs, and enhance patient safety.

IQVIA Real World Insights

A range of real-world data and analytics solutions that provide insights into patient behavior, treatment outcomes, and market trends, helping life sciences companies to inform their strategies and optimize their investments.

IQVIA Commercial Effectiveness

A suite of solutions designed to help life sciences companies optimize their commercial operations, improve sales performance, and enhance patient engagement, including data analytics, customer engagement, and marketing effectiveness tools.

IQVIA Human Data Sciences

A range of data and analytics solutions that provide insights into human behavior, health outcomes, and disease trends, helping life sciences companies to inform their research, development, and commercialization strategies.

8. IQVIA Holdings Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

IQVIA Holdings Inc. operates in the healthcare and pharmaceutical industry, where substitutes can be present but not always readily available due to the specialized nature of its services. However, the threat is moderate because some clients might opt for alternative solutions or in-house services.

Bargaining Power Of Customers

The customers of IQVIA, primarily pharmaceutical and healthcare companies, have some bargaining power but are generally locked into long-term contracts for clinical trial and data management services. The switching costs are high, which tends to reduce customer bargaining power.

Bargaining Power Of Suppliers

The suppliers for IQVIA's operations are varied and not highly concentrated. The company requires a range of services and goods, from technology to professional services. The low bargaining power of suppliers is due to the competitive market for these inputs.

Threat Of New Entrants

The threat of new entrants is low due to high barriers to entry in the industry, including significant capital requirements, regulatory hurdles, and the need for specialized knowledge and experience in clinical trials and healthcare data analysis.

Intensity Of Rivalry

The competitive rivalry in the industry is high. IQVIA faces competition from a range of companies offering similar services, including clinical trial management and data analytics. The competition is global, and several large players compete for market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 70.00%
Debt Cost 5.77%
Equity Weight 30.00%
Equity Cost 10.76%
WACC 7.27%
Leverage 233.33%

11. Quality Control: IQVIA Holdings Inc. passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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IDEXX Laboratories

A-Score: 4.6/10

Value: 0.0

Growth: 7.2

Quality: 7.6

Yield: 0.0

Momentum: 7.5

Volatility: 5.3

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Agilent Technologies

A-Score: 4.5/10

Value: 1.2

Growth: 5.8

Quality: 7.4

Yield: 1.0

Momentum: 4.0

Volatility: 7.3

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Mettler-Toledo

A-Score: 4.4/10

Value: 3.0

Growth: 6.3

Quality: 7.1

Yield: 0.0

Momentum: 3.5

Volatility: 6.7

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IQVIA

A-Score: 4.1/10

Value: 3.5

Growth: 6.9

Quality: 5.4

Yield: 0.0

Momentum: 3.0

Volatility: 6.0

1-Year Total Return ->

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Thermo Fisher

A-Score: 4.0/10

Value: 1.6

Growth: 6.1

Quality: 6.1

Yield: 0.0

Momentum: 3.0

Volatility: 7.3

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Danaher

A-Score: 3.8/10

Value: 1.6

Growth: 4.0

Quality: 6.8

Yield: 1.0

Momentum: 1.5

Volatility: 7.7

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

225.85$

Current Price

225.85$

Potential

-0.00%

Expected Cash-Flows