IQV
IQVIA Holdings Inc.
$228.20
Stable Earnings Power
80%
P/Adj-EPS × Normalized Multiple
Moderate
·
Conviction
Overvalued
Trading 27.2% above fair value
You pay
$228.20
Bear
$143.50
Fair
$179.38
Bull
$215.25
Bear
$143.50
-37.1%
$10.38 × 12x P/E
Fair
$179.38
-21.4%
$10.38 × 15x P/E
Bull
$215.25
-5.7%
$10.38 × 18x P/E
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
22.0x
Summary
Our base-case estimate uses a valuation based on adjusted earnings per share and a normalized price-to-earnings multiple. We then blend that result with the average analyst price target of $234.50 from 45 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $179.38 per share.
Warnings
The company's reported profits differ from official accounting profits by 32%. Check what costs are being left out of the adjusted number.
Wall Street's average price target is $234.50 (from 45 analysts). Our estimate is 34% below the consensus -- consider that gap carefully.
Key Risks
- Growth DCF inappropriate — terminal value assumptions dominate
- EV/EBITDA misleading for regulated businesses where capex is mandated
- Regulatory risk is a fat tail not visible in normal multiples