Jesse J Geiger At Medpace Hldgs Secures Company Stock Options: $118K Acquired

In a new SEC filing on March 10, it was unveiled that Geiger, President at Medpace Hldgs MEDP, acquired stock options for 9,886 shares.

What Happened: A Form 4 filing from the U.S. Securities and Exchange Commission on Monday showed that Geiger, President at Medpace Hldgs, a company in the Health Care sector, acquired stock options for 9,886 shares of MEDP. The options allow Geiger to buy the company's stock at $325.73 per share.

Medpace Hldgs shares are trading up 0.09% at $337.72 at the time of this writing on Tuesday morning. Since the current price is $337.72, this makes Geiger's 9,886 shares worth $118,533.

Delving into Medpace Hldgs's Background

Medpace is a late-stage contract research organization that provides full-service drug-development and clinical trial services to small and midsize biotechnology, pharmaceutical, and medical-device firms. It also offers ancillary services such as bioanalytical laboratory services and imaging capabilities. The company was founded over 30 years ago and has over 5,400 employees across 40 countries. Medpace is headquartered in Cincinnati and its operations are principally based in the us, but it also operates in Europe, Asia, South America, Africa, and Australia. Cinven, a global private equity firm, acquired Medpace for $915 million in 2014 and exited its investment in 2018.

Medpace Hldgs: Delving into Financials

Revenue Growth: Over the 3 months period, Medpace Hldgs showcased positive performance, achieving a revenue growth rate of 7.66% as of 31 December, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Health Care sector.

Key Profitability Indicators:

• Gross Margin: The company shows a low gross margin of 33.23%, indicating concerns regarding cost management and overall profitability relative to its industry counterparts.

• Earnings per Share (EPS): Medpace Hldgs's EPS is notably higher than the industry average. The company achieved a positive bottom-line trend with a current EPS of 3.78.

Debt Management: Medpace Hldgs's debt-to-equity ratio is below the industry average at 0.15, reflecting a lower dependency on debt financing and a more conservative financial approach.

Evaluating Valuation:

• Price to Earnings (P/E) Ratio: The P/E ratio of 26.72 is lower than the industry average, implying a discounted valuation for Medpace Hldgs's stock.

• Price to Sales (P/S) Ratio: The current P/S ratio of 5.12 is above industry norms, reflecting an elevated valuation for Medpace Hldgs's stock and potential overvaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Boasting an EV/EBITDA ratio of 20.45, Medpace Hldgs demonstrates a robust market valuation, outperforming industry benchmarks.

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

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Understanding the Significance of Insider Transactions

Insider transactions are not the sole determinant of investment choices, but they are a factor worth considering.

Considering the legal perspective, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, according to Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.

Nevertheless, insider sells may not necessarily indicate a bearish view and can be influenced by various factors.

A Closer Look at Important Transaction Codes

Surveying the realm of stock transactions, investors often give prominence to those unfolding in the open market, systematically detailed in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S signifies a sale. Transaction code C denotes the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Medpace Hldgs's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.