IQVIA and Salesforce expand partnership for new platform

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IQVIA and Salesforce expand partnership for new platform

RESEARCH TRIANGLE PARK, N.C. & SAN FRANCISCO, CA – IQVIA (NYSE:IQV), a prominent provider of analytics and technology services in life sciences, and Salesforce (NYSE: CRM ), a leader in AI-driven customer relationship management, have announced the expansion of their strategic partnership to further develop Salesforce’s Life Sciences Cloud.

This collaboration aims to deliver a comprehensive customer engagement platform for the life sciences industry.

The partnership, enhancing the IQVIA Orchestrated Customer Engagement (OCE) platform introduced in 2017, will integrate IQVIA's data, domain expertise, and analytics with Salesforce's CRM capabilities. The collaboration is set to revolutionize the way healthcare professionals and patients engage with each other.

IQVIA will license its OCE CRM software to Salesforce and will assist in expediting the development of the Life Sciences Cloud, which is anticipated to be available in 2025. Meanwhile, IQVIA will continue to support its existing OCE CRM product and its nearly 400 global customers until 2029. Both companies will combine their resources to ensure a smooth transition to the new platform.

Bernd Haas, SVP and Head of Digital Products and Solutions at IQVIA, emphasized that the enhanced relationship with Salesforce will leverage their joint strengths in data, AI, and technology to serve life sciences customers better. Frank Defesche, SVP and General Manager, Life Sciences at Salesforce, echoed this sentiment, highlighting the potential to transform the future of healthcare professional engagement.

While the complete Life Sciences Cloud is slated for a June 2024 launch, it is noted that sales automation functions for pharmaceutical and biotechnology customers will not be available for sale by Salesforce until after September 1, 2025. However, commercial functions for medical technology customers are currently available.

The collaboration is based on a press release statement and represents the ongoing efforts by both IQVIA and Salesforce to improve healthcare outcomes through innovative technology and customer engagement solutions.

InvestingPro Insights

As IQVIA (NYSE:IQV) embarks on an ambitious collaboration with Salesforce to enhance customer engagement in the life sciences sector, investors are closely monitoring the company's financial health and market performance. IQVIA's strategic moves, such as the expansion of its partnership with Salesforce, are backed by a solid financial foundation, as indicated by key metrics from InvestingPro.

With a market capitalization of $43.96 billion, IQVIA is a significant player in the Life Sciences Tools & Services industry. The company's commitment to innovation and technology is also reflected in its financial data. As of the last twelve months ending Q4 2023, IQVIA reported a revenue of $14.98 billion, with a growth rate of 3.98%, showcasing its steady performance in a competitive market.

Despite its strong market presence, IQVIA's stock is trading at a high earnings multiple, with a P/E ratio of 32.74 and an adjusted P/E ratio of 32.17 for the same period. This indicates that the stock may be priced at a premium, possibly due to investor confidence in the company's future profitability and its role as a prominent player in its industry. Moreover, the company's Price / Book ratio stands at 7.2, signifying a high valuation compared to its book value.

For investors seeking to understand the intricacies of IQVIA's stock performance, the InvestingPro platform offers additional insights. There are 11 more InvestingPro Tips available for IQVIA, which can provide a deeper analysis of the company's financial health and stock potential. For those interested in accessing these exclusive tips, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.

With analysts predicting profitability for the upcoming year and a track record of profitability over the last twelve months, IQVIA's financial outlook appears promising. The company's aggressive share buyback strategy further reflects management's confidence in the company's value. However, it's important to note that IQVIA does not pay a dividend, which may influence the investment decisions of income-focused shareholders.

As IQVIA continues to innovate within the life sciences industry, particularly through its enhanced partnership with Salesforce, its financial metrics and InvestingPro Tips will remain critical for investors to watch.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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