BMO Capital has lowered its 12-month price target on IQVIA Holdings (NYSE:IQV) to $250 from $260, while keeping an Outperform rating on the stock. The revised target sits inside the analyst range of $210 to $290 and remains higher than IQVIA’s then-current trading price of $185.40.
Market data reported by InvestingPro shows the shares have fallen sharply in the last week, dropping 21.37%, with the stock’s relative strength index pointing to oversold conditions. The swift decline has coincided with renewed analyst scrutiny of the company’s near-term outlook and competitive dynamics.
BMO singled out artificial intelligence as a potential competitive threat that has pressured investor sentiment, even though IQVIA’s fourth-quarter results and its guidance for 2026 broadly met expectations. The research firm also highlighted that IQVIA’s 2026 revenue projection for its Research & Development Solutions (R&DS) segment was somewhat weaker than anticipated, a factor that contributed to the reduced price target.
While noting those headwinds, BMO expressed a constructive view on the underlying direction of the R&DS business. The firm pointed to sustained improvement in book-to-bill ratios and said there is now a lower probability of trial cancellations in 2026 as IQVIA and its clients continue pipeline reprioritization efforts. On balance, BMO said it believes artificial intelligence will ultimately be a net positive for IQVIA, although it cautioned that investor sentiment could remain strained in the near term.
Other analyst moves have followed a similar pattern of trimming targets while maintaining positive or outperforming stances. Jefferies reduced its price target to $255 from $270, citing margin pressures but leaving a Buy rating in place. Evercore ISI cut its target to $225 from $250 and maintained an Outperform rating, flagging both concerns about artificial intelligence effects and expectations for biopharma spending.
These analyst adjustments come against the backdrop of IQVIA’s latest reported financials. For the fourth quarter of 2025 the company posted earnings per share of $3.42, slightly above the forecasted $3.40. Revenue for the quarter came in at $4.36 billion, exceeding the expected $4.24 billion. Despite those results, the mix of cautious guidance for specific segments and broader market apprehension has kept pressure on the stock.
InvestingPro analysis mentioned that IQVIA appears undervalued relative to its Fair Value, and noted tools and commentary available to subscribers who want further detail on valuation and comparative metrics within the Life Sciences Tools & Services industry. The juxtaposition of solid quarterly performance with lingering external concerns - particularly around AI and spending patterns in biopharma - helps explain why price targets and investor sentiment continue to diverge.
In sum, recent analyst activity reflects a nuanced view: firms are acknowledging IQVIA’s operational strengths and improving indicators within R&DS, while recalibrating near-term expectations in response to competitive questions around artificial intelligence and pressure on certain revenue and margin assumptions. That balance has produced lowered price targets and continued debate about the stock’s short-term trajectory.
Key takeaways
- BMO lowered its price target to $250 from $260 and maintained an Outperform rating; the target is within a $210-$290 analyst range and above the trading price of $185.40.
- IQVIA reported Q4 2025 EPS of $3.42 versus a $3.40 forecast and revenue of $4.36 billion versus $4.24 billion expected, yet shares have fallen sharply in the last week.
- Other analysts, including Jefferies and Evercore ISI, reduced price targets while keeping positive ratings, citing margin pressures, AI concerns, and biopharma spending expectations.
Risks and uncertainties
- Artificial intelligence is cited as a potential competitive threat affecting investor sentiment, which could continue to weigh on the stock and the Life Sciences Tools & Services sector.
- A somewhat softer 2026 revenue outlook for the R&DS segment may pressure near-term expectations and investor confidence in R&DS-driven revenue growth.
- Margin pressures and biopharma spending dynamics were noted by analysts as additional uncertainties that could affect IQVIA’s financial performance and market valuation.