VEEVA SYSTEMS INC-CLASS A (VEEV) Stock Fundamental Analysis
NYSE:VEEV - New York Stock Exchange, Inc. - US9224751084 - Common Stock - Currency: USD
We assign a fundamental rating of 7 out of 10 to VEEV. VEEV was compared to 37 industry peers in the Health Care Technology industry. VEEV scores excellent points on both the profitability and health parts. This is a solid base for a good stock. VEEV is not priced too expensively while it is growing strongly. Keep and eye on this one! This makes VEEV very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
VEEV had positive earnings in the past year.
VEEV had a positive operating cash flow in the past year.
In the past 5 years VEEV has always been profitable.
In the past 5 years VEEV always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 9.73%, VEEV belongs to the best of the industry, outperforming 97.30% of the companies in the same industry.
With an excellent Return On Equity value of 12.24%, VEEV belongs to the best of the industry, outperforming 97.30% of the companies in the same industry.
VEEV has a Return On Invested Capital of 9.79%. This is amongst the best in the industry. VEEV outperforms 91.89% of its industry peers.
The Average Return On Invested Capital over the past 3 years for VEEV is above the industry average of 6.37%.
The 3 year average ROIC (9.16%) for VEEV is below the current ROIC(9.79%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.73% | ||
| ROE | 12.24% | ||
| ROIC | 9.79% |
ROA(3y)9.59%
ROA(5y)10.49%
ROE(3y)12.23%
ROE(5y)13.63%
ROIC(3y)9.16%
ROIC(5y)11.04%
1.3 Margins
The Profit Margin of VEEV (26.00%) is better than 94.59% of its industry peers.
In the last couple of years the Profit Margin of VEEV has remained more or less at the same level.
With an excellent Operating Margin value of 25.36%, VEEV belongs to the best of the industry, outperforming 97.30% of the companies in the same industry.
In the last couple of years the Operating Margin of VEEV has remained more or less at the same level.
VEEV's Gross Margin of 74.53% is amongst the best of the industry. VEEV outperforms 81.08% of its industry peers.
VEEV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.36% | ||
| PM (TTM) | 26% | ||
| GM | 74.53% |
OM growth 3Y-2.45%
OM growth 5Y-0.44%
PM growth 3Y4.03%
PM growth 5Y-0.95%
GM growth 3Y0.79%
GM growth 5Y0.55%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so VEEV is destroying value.
Compared to 1 year ago, VEEV has more shares outstanding
The number of shares outstanding for VEEV has been increased compared to 5 years ago.
There is no outstanding debt for VEEV. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
VEEV has an Altman-Z score of 17.59. This indicates that VEEV is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 17.59, VEEV belongs to the top of the industry, outperforming 89.19% of the companies in the same industry.
VEEV has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 17.59 |
ROIC/WACC0.9
WACC10.88%
2.3 Liquidity
VEEV has a Current Ratio of 4.51. This indicates that VEEV is financially healthy and has no problem in meeting its short term obligations.
VEEV has a Current ratio of 4.51. This is amongst the best in the industry. VEEV outperforms 86.49% of its industry peers.
VEEV has a Quick Ratio of 4.51. This indicates that VEEV is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 4.51, VEEV belongs to the top of the industry, outperforming 86.49% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.51 | ||
| Quick Ratio | 4.51 |
3. Growth
3.1 Past
VEEV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 36.57%, which is quite impressive.
VEEV shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.72% yearly.
VEEV shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.20%.
VEEV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.99% yearly.
EPS 1Y (TTM)36.57%
EPS 3Y21.12%
EPS 5Y24.72%
EPS Q2Q%26.09%
Revenue 1Y (TTM)16.2%
Revenue growth 3Y14.06%
Revenue growth 5Y19.99%
Sales Q2Q%14.31%
3.2 Future
Based on estimates for the next years, VEEV will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.05% on average per year.
Based on estimates for the next years, VEEV will show a quite strong growth in Revenue. The Revenue will grow by 13.21% on average per year.
EPS Next Y12.6%
EPS Next 2Y11.46%
EPS Next 3Y11.93%
EPS Next 5Y14.05%
Revenue Next Year11.87%
Revenue Next 2Y11.81%
Revenue Next 3Y12.35%
Revenue Next 5Y13.21%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 35.55, which means the current valuation is very expensive for VEEV.
Based on the Price/Earnings ratio, VEEV is valued cheaper than 81.08% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.35, VEEV is valued a bit more expensive.
The Price/Forward Earnings ratio is 31.57, which means the current valuation is very expensive for VEEV.
Based on the Price/Forward Earnings ratio, VEEV is valued a bit cheaper than 75.68% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of VEEV to the average of the S&P500 Index (22.20), we can say VEEV is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.55 | ||
| Fwd PE | 31.57 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VEEV is valued a bit cheaper than 67.57% of the companies in the same industry.
72.97% of the companies in the same industry are more expensive than VEEV, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.8 | ||
| EV/EBITDA | 40.24 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates VEEV does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of VEEV may justify a higher PE ratio.
PEG (NY)2.82
PEG (5Y)1.44
EPS Next 2Y11.46%
EPS Next 3Y11.93%
5. Dividend
5.1 Amount
No dividends for VEEV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:VEEV (5/28/2025, 3:59:51 PM)
234.98
-3.08 (-1.29%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners84.77%
Inst Owner Change0.53%
Ins Owners8.83%
Ins Owner Change0.05%
Market Cap38.29B
Analysts77.37
Price Target267.62 (13.89%)
Short Float %2.45%
Short Ratio2.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.29%
Min EPS beat(2)7.97%
Max EPS beat(2)8.61%
EPS beat(4)4
Avg EPS beat(4)5.82%
Min EPS beat(4)3.17%
Max EPS beat(4)8.61%
EPS beat(8)8
Avg EPS beat(8)5.77%
EPS beat(12)11
Avg EPS beat(12)5.29%
EPS beat(16)15
Avg EPS beat(16)5.79%
Revenue beat(2)1
Avg Revenue beat(2)0.34%
Min Revenue beat(2)-0.41%
Max Revenue beat(2)1.09%
Revenue beat(4)1
Avg Revenue beat(4)-0.21%
Min Revenue beat(4)-0.82%
Max Revenue beat(4)1.09%
Revenue beat(8)2
Avg Revenue beat(8)-0.57%
Revenue beat(12)2
Avg Revenue beat(12)-0.57%
Revenue beat(16)4
Avg Revenue beat(16)-0.26%
PT rev (1m)-1.68%
PT rev (3m)-0.87%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.79%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)5.6%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.28%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.55 | ||
| Fwd PE | 31.57 | ||
| P/S | 13.94 | ||
| P/FCF | 35.8 | ||
| P/OCF | 35.13 | ||
| P/B | 6.57 | ||
| P/tB | 7.16 | ||
| EV/EBITDA | 40.24 |
EPS(TTM)6.61
EY2.81%
EPS(NY)7.44
Fwd EY3.17%
FCF(TTM)6.56
FCFY2.79%
OCF(TTM)6.69
OCFY2.85%
SpS16.86
BVpS35.79
TBVpS32.82
PEG (NY)2.82
PEG (5Y)1.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.73% | ||
| ROE | 12.24% | ||
| ROCE | 11.72% | ||
| ROIC | 9.79% | ||
| ROICexc | 73.54% | ||
| ROICexgc | 189.64% | ||
| OM | 25.36% | ||
| PM (TTM) | 26% | ||
| GM | 74.53% | ||
| FCFM | 38.94% |
ROA(3y)9.59%
ROA(5y)10.49%
ROE(3y)12.23%
ROE(5y)13.63%
ROIC(3y)9.16%
ROIC(5y)11.04%
ROICexc(3y)59.89%
ROICexc(5y)59.49%
ROICexgc(3y)196.73%
ROICexgc(5y)318.62%
ROCE(3y)10.96%
ROCE(5y)13.22%
ROICexcg growth 3Y-36.21%
ROICexcg growth 5Y-13.57%
ROICexc growth 3Y1.45%
ROICexc growth 5Y14.29%
OM growth 3Y-2.45%
OM growth 5Y-0.44%
PM growth 3Y4.03%
PM growth 5Y-0.95%
GM growth 3Y0.79%
GM growth 5Y0.55%
F-Score7
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 52.1% | ||
| Cap/Sales | 0.75% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 148.14% | ||
| Profit Quality | 149.76% | ||
| Current Ratio | 4.51 | ||
| Quick Ratio | 4.51 | ||
| Altman-Z | 17.59 |
F-Score7
WACC10.88%
ROIC/WACC0.9
Cap/Depr(3y)59.59%
Cap/Depr(5y)52.02%
Cap/Sales(3y)0.83%
Cap/Sales(5y)0.77%
Profit Quality(3y)158.47%
Profit Quality(5y)158.74%
High Growth Momentum
Growth
EPS 1Y (TTM)36.57%
EPS 3Y21.12%
EPS 5Y24.72%
EPS Q2Q%26.09%
EPS Next Y12.6%
EPS Next 2Y11.46%
EPS Next 3Y11.93%
EPS Next 5Y14.05%
Revenue 1Y (TTM)16.2%
Revenue growth 3Y14.06%
Revenue growth 5Y19.99%
Sales Q2Q%14.31%
Revenue Next Year11.87%
Revenue Next 2Y11.81%
Revenue Next 3Y12.35%
Revenue Next 5Y13.21%
EBIT growth 1Y62.24%
EBIT growth 3Y11.27%
EBIT growth 5Y19.47%
EBIT Next Year18.21%
EBIT Next 3Y15.23%
EBIT Next 5Y17.62%
FCF growth 1Y20.83%
FCF growth 3Y12.54%
FCF growth 5Y19.82%
OCF growth 1Y19.61%
OCF growth 3Y12.55%
OCF growth 5Y20.04%