Why IQVIA Holdings (IQV) is a Top Growth Stock for the Long-Term

Zacks Investment Research highlights IQVIA Holdings (IQV) as a promising long-term growth stock, driven by its strong Zacks Style Scores, including an 'A' for VGM and 'B' for Growth, despite a #3 (Hold) Zacks Rank. The life sciences analytics and research firm is projected for 6.4% year-over-year earnings growth in the current fiscal year, with analysts recently raising 2025 estimates to $11.84 per share. This combination of robust growth indicators and positive analyst revisions suggests IQV warrants consideration for investor shortlists.

Analysis

IQVIA Holdings (IQV) presents a mixed signal for investors, characterized by strong underlying growth metrics juxtaposed with a neutral near-term stock rating. According to the provided Zacks analysis, while the stock carries a #3 (Hold) rank, its Style Scores are notably positive, with an 'A' for VGM (Value, Growth, Momentum) and a 'B' for Growth. This suggests the company's fundamentals are robust, even if immediate price catalysts are not apparent. The growth outlook is supported by a forecast of 6.4% year-over-year earnings growth for the current fiscal year and a consistent history of beating estimates, evidenced by an average earnings surprise of +1.7%. Looking ahead to fiscal 2025, the sentiment from analysts is constructive, with three upward earnings estimate revisions in the last 60 days, establishing a consensus estimate of $11.84 per share. These factors position IQV, a key service provider to the life sciences industry, as a company with a solid long-term growth trajectory.

Key Decisions for Investors

• Given the strong 'A' VGM Score and positive long-term earnings growth forecast of 6.4%, growth-oriented investors should consider adding IQV to their watchlist, despite the neutral Zacks #3 'Hold' rating.
• Investors should monitor for any changes in earnings estimate revisions, as a catalyst that shifts the consensus and upgrades the stock's rank from 'Hold' would signal a more favorable entry point.
• For those already holding a position, the combination of a consistent +1.7% average earnings surprise and positive analyst revisions for fiscal 2025 provides a basis for maintaining the investment while awaiting stronger near-term momentum.