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IQVIA Holdings (IQV) to Report Q3 Earnings: What's in Store?

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IQVIA Holdings Inc. (IQV - Free Report) is scheduled to report third-quarter 2018 results on Oct 22, before the opening bell.

So far this year, shares of IQVIA Holdings have gained 32.2%, significantly outperforming the 5.6% rise of the industry it belongs to and 5.2% gain of the Zacks S&P 500 Composite Index.

 

Let’s see how things are shaping up for the announcement.

Top Line to Improve Year Over Year

The Zacks Consensus Estimate for third-quarter revenues is pegged at $2.58 billion, indicating year-over-year growth of 27.8%. Notably, the consensus mark is almost in line with the midpoint of the company’s guided range of $2.55-$2.60 billion.

The top line is expected to benefit from organic operational growth in the company’s Research & Development (R&D) Solutions and Technology & Analytics Solutions businesses, higher pass-through associated with the R&D Solutions revenues and contribution from tuck-in acquisitions.

In second-quarter 2018, revenues increased 9% year over year on a reported basis and 7.7% on a constant currency basis to $2.57 billion.

Bottom-Line Expectations

The Zacks Consensus Estimate for earnings per share (EPS) in the to-be-reported quarter is pegged at $1.39, indicating year-over-year growth of 16.8%. Notably, the consensus estimate is almost in line with the midpoint of the company guided EPS range of $1.35-$1.42. The bottom line is expected to benefit from lower tax rates and operating efficiency.

In second-quarter 2018, adjusted earnings increased 25.2% to $1.29 per share.

What Does Our Model Indicate?

According to the Zacks model, a company with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) has a good chance of beating estimates if it also has a positive Earnings ESP. Zacks Rank #4 (Sell) or 5 (Strong Sell) stocks are best avoided, especially if they have a negative Earnings ESP. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

IQVIA Holdings has a Zacks Rank #3 and an Earnings ESP of 0.00%, a combination that makes surprise prediction difficult.

IQVIA Holdings Inc. Price and EPS Surprise

 

IQVIA Holdings Inc. Price and EPS Surprise | IQVIA Holdings Inc. Quote

Stocks to Consider

Here are a few stocks from the broader Business Services sector that investors may consider as our model shows that these have the right combination of elements to beat on earnings in third-quarter 2018:

WEX (WEX - Free Report) has an Earnings ESP of +0.49% and a Zacks Rank #2. The company is scheduled to report results on Oct 31. You can see the complete list of today’s Zacks #1 Rank stocks here.

TransUnion (TRU - Free Report) has an Earnings ESP of +3.54% and a Zacks Rank #3. The company is slated to release results on Oct 23.

Republic Services (RSG - Free Report) has an Earnings ESP of +0.31% and a Zacks Rank #3. The company is scheduled to report results on Oct 25.

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IQVIA Holdings Inc. (IQV) - free report >>

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