1Q26 Results: Sustained Demand Helps Mitigate AI Fears, Strengthens '27 Outlook

研报英文原文证据摘录

1Q26 Results: Sustained Demand Helps Mitigate AI Fears, Strengthens '27 Outlook

ICON - Block Summary Model

Income Statement 2024A 2025A 2026E 2027E

Revenue 8,189 8,251 8,017 8,237

Adj. EBITDA 1,670 1,531 1,325 1,419 Valuation

Adj. EPS $13.37 $12.53 $10.56 $11.69 Our $187 target price is 16x our 2027 adjusted EPS estimate,

which is in line with its five-year historical average and Cash Flow Statement 2024A 2025A 2026E 2027E

indicative of the strengthening demand backdrop.

Cash from Ops. 1,287 1,036 826 901

Capex 168 174 198 165 Upside Scenario $217.00

Our $217 upside valuation is based on 18x our 2027 upside

Free Cash Flow 1,119 862 628 736

EPS estimate, which assumes an acceleration in biotech

Balance Sheet 2024A 2025A 2026E 2027E funding and continued deceleration in cancellations.

Cash & Cash Equivalents 539 647 930 1,631

Downside Scenario $122.00

Total Debt 3,426 3,402 3,374 3,345 Our $122 downside valuation is based on 11x our 2027

Source: BMO Capital Markets, Company Reports downside EPS estimate, which assumes slower sales

growth and persistent macro volatility—i.e., choppy

fundraising activity and elevated cancellations resurface.

in USD

-23% +18% +37%

Downside Current Target Upside

Scenario Price Price Scenario

122.00 158.17 187.00 217.00

Key Catalysts

The primary catalysts will be quarterly earnings releases

with investors particularly focused on bookings trends and

margin trajectory. However, changes in large pharma R&D

spending trends and reprioritization updates could impact

shares intra-quarter.

Company Description

ICON is one of the largest of the global CROs. Its solutions

help its primarily large pharma and biotech clients bring

new treatments to market faster by leveraging its global

scale, rich data assets, and clinical expertise to run clinical