Financial Survey: Medpace (NASDAQ:MEDP) versus Bio-Techne (NASDAQ:TECH)

Medpace (NASDAQ:MEDP) and Bio-Techne (NASDAQ:TECH) are both large-cap healthcare companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, profitability, valuation, dividends, institutional ownership and earnings.

Volatility & Risk

Medpace has a beta of 1.15, suggesting that its share price is 15% more volatile than the S&P 500. Comparatively, Bio-Techne has a beta of 1.28, suggesting that its share price is 28% more volatile than the S&P 500.

Valuation & Earnings

This table compares Medpace and Bio-Techne”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Medpace	$2.53 billion	6.38	$451.12 million	$17.06	33.91
Bio-Techne	$1.22 billion	9.33	$73.40 million	$1.15	62.96

Medpace has higher revenue and earnings than Bio-Techne. Medpace is trading at a lower price-to-earnings ratio than Bio-Techne, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations for Medpace and Bio-Techne, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Medpace	0	10	3	0	2.23
Bio-Techne	1	14	2	0	2.06

Medpace currently has a consensus target price of $584.18, suggesting a potential upside of 0.98%. Bio-Techne has a consensus target price of $68.92, suggesting a potential downside of 4.80%. Given Medpace’s stronger consensus rating and higher possible upside, research analysts clearly believe Medpace is more favorable than Bio-Techne.

Profitability

This table compares Medpace and Bio-Techne’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Medpace	17.67%	110.15%	24.84%
Bio-Techne	14.97%	13.23%	10.61%

Institutional & Insider Ownership

78.0% of Medpace shares are owned by institutional investors. Comparatively, 99.0% of Bio-Techne shares are owned by institutional investors. 20.5% of Medpace shares are owned by insiders. Comparatively, 1.3% of Bio-Techne shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Medpace beats Bio-Techne on 10 of the 14 factors compared between the two stocks.

About Medpace

Medpace Holdings, Inc. engages in the provision of outsourced clinical development services to the biotechnology, pharmaceutical and medical device industries. Its services include medical department, clinical trial management, data-driven feasibility, study-start-up, clinical monitoring, regulatory affairs, patient recruitment and retention, medical writing, biometrics and data sciences, pharmacovigilance, core laboratory, laboratories, clinics, and quality assurance. The company was founded by August James Troendle in 1992 and is headquartered in Cincinnati, OH.

About Bio-Techne

Bio-Techne Corporation, together with its subsidiaries, develops, manufactures, and sells life science reagents, instruments, and services for the research and clinical diagnostic markets in the United States, the United Kingdom, rest of Europe, Middle East, and Africa, Greater China, rest of Asia-Pacific, and internationally. The company operates through two segments, Protein Sciences, and Diagnostics and Genomics. The Protein Sciences segment develops and manufactures biological reagents used in various aspects of life science research, diagnostics, and cell and gene therapy, such as cytokines and growth factors, antibodies, small molecules, tissue culture sera, and cell selection technologies. This segment also offers proteomic analytical tools for automated western blot and multiplexed ELISA workflow consists of manual and automated protein analysis instruments and immunoassays for use in quantifying proteins in various biological fluids. The Diagnostics and Genomics segment develops and manufactures diagnostic products, including controls, calibrators, and diagnostic assays for regulated diagnostics market, exosome-based molecular diagnostic assays, advanced tissue-based in-situ hybridization assays for spatial genomic and tissue biopsy analysis, and genetic and oncology kits for research and clinical applications; and sells products for genetic carrier screening, oncology diagnostics, molecular controls, and research, as well as instruments and process control products for hematology, blood chemistry and gases, and coagulation controls and reagents used in various diagnostic applications. The company was formerly known as Techne Corporation and changed its name to Bio-Techne Corporation in November 2014. Bio-Techne Corporation was incorporated in 1976 and is headquartered in Minneapolis, Minnesota.