Is Medpace Holdings, Inc. overvalued or undervalued?

As of 5 March 2025, the valuation grade for Medpace Holdings, Inc. has moved from very attractive to attractive, indicating a shift in perception of its value. The company is currently assessed as fairly valued. Key ratios include a P/E ratio of 21, an EV to EBITDA of 16.73, and a PEG ratio of 0.59, which suggests that the stock is reasonably priced relative to its earnings growth potential.
In comparison to peers, Medpace's P/E ratio of 20.61 is lower than Charles River Laboratories International, Inc. at 22.38, but higher than WEX, Inc. at 20.11. Additionally, while Medpace shows a strong ROCE of 259.48% and ROE of 70.14%, these figures highlight its operational efficiency compared to the industry. Recent stock performance has been mixed, with a 1-week return of 2.55% against a slight decline in the S&P 500, reinforcing the notion that while the stock has potential, it is currently fairly valued in the market.