As of December 15, 2025, IQVIA Holdings Inc's estimated intrinsic value ranges from $139.11 to $336.69 per share, depending on the valuation methodology applied.
| Valuation Method | Fair Value (USD) | Implied Upside/Downside |
|---|---|---|
| Discounted Cash Flow (10Y) | $336.69 | +51.5% |
| Discounted Cash Flow (5Y) | $287.20 | +29.2% |
| Dividend Discount Model (Multi-Stage) | $185.70 | -16.4% |
| Dividend Discount Model (Stable) | $139.11 | -37.4% |
| Earnings Power Value | $182.80 | -17.8% |
Is IQVIA Holdings Inc (IQV) undervalued or overvalued?
With the current market price at $222.26, the stock appears to be moderately undervalued.
Intrinsic value represents the "true" worth of a company based on its fundamentals rather than market sentiment. We've employed multiple methodologies to triangulate IQVIA Holdings Inc's intrinsic value, including:
The cost of capital is a critical factor in valuation models, representing the required return for investors.
| WACC Component | Low | High |
|---|---|---|
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.73 | 0.9 |
| Cost of equity | 7.2% | 9.9% |
| Cost of debt | 4.0% | 5.6% |
| Tax rate | 16.6% | 18.5% |
| Debt/Equity ratio | 0.38 | 0.38 |
| After-tax WACC | 6.2% | 8.4% |
Our DCF model projects cash flows over 5-year and 10-year horizons, with the following key assumptions:
| DCF Model | Fair Value | Enterprise Value | % from Terminal Value |
|---|---|---|---|
| 5-Year Growth | $287 | $62,053M | 84.2% |
| 10-Year Growth | $337 | $70,481M | 69.5% |
| 5-Year EBITDA | $253 | $56,314M | 82.5% |
| 10-Year EBITDA | $299 | $64,005M | 66.4% |
The DDM values a company based on its expected future dividend payments. We used two approaches:
EPV assesses a company's value based on its current normalized earnings power, assuming no growth.
| EPV Component | Value |
|---|---|
| Normalized Earnings | $3,150M |
| Discount Rate (WACC) | 8.4% - 6.2% |
| Enterprise Value | $37,329M - $51,219M |
| Net Debt | $13,143M |
| Equity Value | $24,186M - $38,076M |
| Outstanding Shares | 170M |
| Fair Value | $142 - $224 |
| Selected Fair Value | $182.80 |
| Metric | Value |
|---|---|
| Market Capitalization | $37851M |
| Enterprise Value | $50994M |
| Trailing P/E | 29.50 |
| Forward P/E | 23.62 |
| Trailing EV/EBITDA | 13.85 |
| Current Dividend Yield | 77.06% |
| Dividend Growth Rate (5Y) | 0.00% |
| Debt-to-Equity Ratio | 0.38 |
To determine the most reliable intrinsic value estimate, we weigh each valuation method based on:
| Valuation Method | Weight | Weighted Value |
|---|---|---|
| Discounted Cash Flow (10Y) | 30% | $101.01 |
| Discounted Cash Flow (5Y) | 25% | $71.80 |
| Dividend Discount Model (Multi-Stage) | 20% | $37.14 |
| Dividend Discount Model (Stable) | 15% | $20.87 |
| Earnings Power Value | 10% | $18.28 |
| Weighted Average | 100% | $249.09 |
Based on our comprehensive valuation analysis, IQVIA Holdings Inc's intrinsic value is $249.09, which is approximately 12.1% above the current market price of $222.26.
Key investment considerations:
Given these factors, we believe IQVIA Holdings Inc is currently moderately undervalued with the potential for long-term appreciation based on the company's growth trajectory and financial strength.