IQVIA: Competition Is Creating More Challenges Over The Long Haul

I rate IQVIA as a hold due to long-term competitive threats, particularly from one player, and concerns about capital allocation and high debt. IQVIA's business model is solid, but declining gross margins, low ROIC, and slow innovation raise concerns about its ability to sustain long-term value. The competitor's more innovative, integrated ecosystem and better capital discipline position it to capture market share from IQVIA, especially among small biotechs and large pharma.