MDSO - Medidata: Future Potential But There Are Risks
Introduction
Medidata Solutions, Inc. (MDSO) provides cloud-based solutions worldwide for pharmaceutical, biotechnology and medical device companies.
The company has a solid history of growth which is expected to slow through 2019. Over the last quarter the company has started to expand into China which will help boost its future earnings.
Medidata’s stock is expensive with a forward PE multiple of 77x and a forward PEG of 9.4.
While Medidata has the potential for future growth (especially in global markets), there is the real risk that future earnings do not grow sufficiently to satisfy