Veeva Systems (VEEV) closed at $233.21 in the latest trading session, marking a -2.88% move from the prior day. This change lagged the S&P 500's 0.16% gain on the day. On the other hand, the Dow registered a gain of 0.17%, and the technology-centric Nasdaq increased by 0.26%.
The provider of cloud-based software services for the life sciences industry's stock has climbed by 7.55% in the past month, exceeding the Medical sector's gain of 2.84% and the S&P 500's gain of 1.89%.
Investors will be eagerly watching for the performance of Veeva Systems in its upcoming earnings disclosure. The company's upcoming EPS is projected at $1.92, signifying a 10.34% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $808.89 million, indicating a 12.21% upward movement from the same quarter last year.
VEEV's full-year Zacks Consensus Estimates are calling for earnings of $7.93 per share and revenue of $3.16 billion. These results would represent year-over-year changes of +20.15% and +15.13%, respectively.
Investors should also take note of any recent adjustments to analyst estimates for Veeva Systems. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.26% higher. As of now, Veeva Systems holds a Zacks Rank of #3 (Hold).
Looking at valuation, Veeva Systems is presently trading at a Forward P/E ratio of 30.29. This signifies a premium in comparison to the average Forward P/E of 30.22 for its industry.
We can additionally observe that VEEV currently boasts a PEG ratio of 1.27. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Medical Info Systems industry stood at 2.31 at the close of the market yesterday.
The Medical Info Systems industry is part of the Medical sector. Currently, this industry holds a Zacks Industry Rank of 104, positioning it in the top 43% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Veeva Systems Inc. (VEEV): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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