Veeva Systems (VEEV) ended the recent trading session at $240.78, demonstrating a +0.48% swing from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily loss of 0.39%. On the other hand, the Dow registered a loss of 0.27%, and the technology-centric Nasdaq decreased by 0.38%.
The provider of cloud-based software services for the life sciences industry's shares have seen an increase of 14.07% over the last month, surpassing the Medical sector's gain of 1.31% and the S&P 500's gain of 13.07%.
Market participants will be closely following the financial results of Veeva Systems in its upcoming release. The company plans to announce its earnings on May 28, 2025. The company is expected to report EPS of $1.74, up 16% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $727.99 million, up 11.94% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $7.30 per share and revenue of $3.05 billion, indicating changes of +10.61% and +10.99%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Veeva Systems. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been a 0.06% fall in the Zacks Consensus EPS estimate. Veeva Systems is holding a Zacks Rank of #3 (Hold) right now.
From a valuation perspective, Veeva Systems is currently exchanging hands at a Forward P/E ratio of 32.83. This valuation marks a premium compared to its industry's average Forward P/E of 32.73.
Also, we should mention that VEEV has a PEG ratio of 1.25. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical Info Systems was holding an average PEG ratio of 2.36 at yesterday's closing price.
The Medical Info Systems industry is part of the Medical sector. Currently, this industry holds a Zacks Industry Rank of 69, positioning it in the top 28% 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.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming 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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