Investors in IQVIA Holdings Inc. (NYSE:IQV) had a good week, as its shares rose 3.4% to close at US$208 following the release of its annual results. IQVIA Holdings reported US$15b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of US$7.49 beat expectations, being 2.0% higher than what the analysts expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on IQVIA Holdings after the latest results.

Check out our latest analysis for IQVIA Holdings

Taking into account the latest results, the consensus forecast from IQVIA Holdings' 22 analysts is for revenues of US$16.0b in 2025. This reflects a reasonable 3.7% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to increase 4.8% to US$8.17. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$16.0b and earnings per share (EPS) of US$8.31 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

There were no changes to revenue or earnings estimates or the price target of US$248, suggesting that the company has met expectations in its recent result. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. The most optimistic IQVIA Holdings analyst has a price target of US$270 per share, while the most pessimistic values it at US$205. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would highlight that IQVIA Holdings' revenue growth is expected to slow, with the forecast 3.7% annualised growth rate until the end of 2025 being well below the historical 7.3% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 6.0% per year. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than IQVIA Holdings.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that IQVIA Holdings' revenue is expected to perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that in mind, we wouldn't be too quick to come to a conclusion on IQVIA Holdings. Long-term earnings power is much more important than next year's profits. We have forecasts for IQVIA Holdings going out to 2027, and you can see them free on our platform here.

Even so, be aware that IQVIA Holdings is showing 1 warning sign in our investment analysis , you should know about...

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.