Medpace vs PRA Which Should You Buy?

Medpace and PRA Health Sciences are two leading clinical research organizations in the pharmaceutical and biotechnology industry. Both companies provide a range of clinical trial services to pharmaceutical companies, biotech firms, and medical device manufacturers. While Medpace has a focus on providing full-service clinical trial management, PRA Health Sciences offers a broad portfolio of services including real-world evidence generation and patient recruitment. Investors analyzing these stocks may want to consider each company's financial performance, pipeline of projects, and market positioning in the competitive CRO industry.

Medpace or PRA?

When comparing Medpace and PRA, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Medpace and PRA.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Medpace has a dividend yield of -%, while PRA has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Medpace reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, PRA reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Medpace P/E ratio at 29.38 and PRA's P/E ratio at 19.19. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Medpace P/B ratio is 12.18 while PRA's P/B ratio is 0.68.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Medpace has seen a 5-year revenue growth of 2.10%, while PRA's is 0.07%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Medpace's ROE at 50.85% and PRA's ROE at 3.72%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $340.06 for Medpace and $20.99 for PRA. Over the past year, Medpace's prices ranged from $277.72 to $459.77, with a yearly change of 65.55%. PRA's prices fluctuated between $18.64 and $31.43, with a yearly change of 68.62%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.