IQVIA Holdings stock took the S&P 500's top spot on Tuesday after the healthcare analytics company busted out a earnings report that boosted full-year guidance based on strong revenue growth.
Shares rose 13% to $240.91, set to notch their best daily percentage gain in a year, according to Dow Jones Market Data. The stock is up 25% this month and on pace to log its best monthly performance since April 2020, when it rose 32%.
Before the market open, IQVIA posted adjusted second-quarter earnings of $3.15 a share, above the $2.81 from a year ago and Wall Street's expectation of $3.03. Revenue grew 9% to $4.37 billion, beating the analyst consensus of $4.3 billion, according to FactSet.
IQVIA ended the quarter with a backlog of $34.2 billion, with expectations to convert about $9.2 billion into revenue in the next 12 months.
In the earnings release, CEO Ari Bousbib said the market is "strengthening" for IQVIA, which does research as well as provide biopharmaceutical development and commercial outsourcing services.
Bousbib added that IQVIA's quarterly performance benefited from double-digit revenue growth in the company's patient solutions and commercial engagement services. The company also saw high-single-digit organic sales growth in its analytics and consulting businesses.
Besides delivering solid financials, the company seriously upped its 2026 outlook.
For the full year, the forecast is now for per-share adjusted earnings of $12.80 to $13 and revenue of $17.3 billion to $17.5 billion. The previous guidance called for $12.65 to $12.95 and $17.2 billion to $17.4 billion. Wall Street's consensus calls for $12.81 and $17.3 billion, according to FactSet.
"Increased adoption of our AI solutions all contributed to strong acceleration of organic revenue growth year-over-year," Bousbib said. "This excellent operational performance combined with favorable forward-looking indicators across both segments point to sustained momentum for the balance of the year and into 2027."
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