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Veeva Systems (VEEV)
NYSE:VEEV
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Veeva Systems (VEEV) AI Stock Analysis

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VEEV

Veeva Systems

(NYSE:VEEV)

Rating:79Outperform
Price Target:
$311.00
▲(13.95% Upside)
Veeva Systems' strong financial performance and strategic advancements, particularly the resolution with IQVIA and progress in AI, are key strengths. However, the high valuation and mixed technical indicators temper the overall score. The company's robust financial health and strategic partnerships position it well for future growth, despite some short-term challenges.
Positive Factors
Customer acquisition
Veeva secured three new Top 20 commitments to Vault CRM migration as well as two verbal commits, which now brings its Top 20 count to nine that should be moving to Vault CRM.
Earnings
Veeva reported another upside quarter with subscription and total revenue both growing 17% year-over-year, solidly ahead of consensus.
Legal resolution
Veeva resolved its legal dispute with IQVIA, removing a key barrier that should enable deeper data integration, potentially strengthening Veeva’s competitive positioning.
Negative Factors
Billings growth
There are risks to second-half estimates given the assumed acceleration in normalized billings growth.
Competition
Increased competition is a long-term concern as it could pressure prices and/or renewal rates, especially as Salesforce gains traction in life sciences.
Stock valuation
Despite solid results and an improved guide, VEEV shares were indicating down a bit in the after-market, which signals that an interim peak on valuation could be nearing.

Veeva Systems (VEEV) vs. SPDR S&P 500 ETF (SPY)

Veeva Systems Business Overview & Revenue Model

Company DescriptionVeeva Systems Inc. provides cloud-based software for the life sciences industry in North America, Europe, the Asia Pacific, the Middle East, Africa, and Latin America. The company offers Veeva Commercial Cloud, a suite of software, data, and analytics solutions, which include Veeva customer relationship management (CRM) and Veeva Medical CRM, Veeva CLM, Veeva CRM MyInsights, Veeva CLM, Veeva CRM Approved Email, Veeva CRM Engage, Veeva Align, Veeva CRM Events Management, Veeva Nitro, Veeva OpenData, Veeva Link, Veeva Network, Veeva Crossix, Veeva Data Cloud, and MyVeeva for Patients; and Veeva Vault, a cloud-based enterprise content and data management applications for managing commercial functions, including sales and marketing, and medical content and communications, as well as research and development functions, such as clinical, regulatory, quality, and safety. It also provides professional and support services in the areas of implementation and deployment planning and project management; requirements analysis, solution design, and configuration; systems environment management and deployment services; services focused on advancing or transforming business and operating processes related to Veeva solutions; technical consulting services related to data migration and systems integrations; training on its solutions; and ongoing managed services that include outsourced systems administration. The company was formerly known as Verticals onDemand, Inc. and changed its name to Veeva Systems Inc. in April 2009. Veeva Systems Inc. was incorporated in 2007 and is headquartered in Pleasanton, California.
How the Company Makes MoneyVeeva Systems generates revenue primarily through subscription-based services. The company offers its software solutions via a cloud model, allowing customers to pay for access on a recurring basis. Key revenue streams include subscriptions to its various applications, such as Veeva Vault, Veeva CRM, and Veeva Network, which cater to different aspects of life sciences operations, including clinical trials, regulatory submissions, and commercial sales. Veeva also provides professional services to assist clients in implementing and optimizing its software. Significant partnerships with major pharmaceutical companies and ongoing investments in product development further contribute to its earnings, as does the growing demand for cloud-based solutions in the life sciences sector.

Veeva Systems Key Performance Indicators (KPIs)

Any
Any
Revenue by Segment
Revenue by Segment
Shows revenue distribution across various business segments, indicating which segments drive growth and how diversified Veeva Systems' income streams are.
Chart InsightsVeeva Systems' Subscription Services segment has shown consistent growth, bolstered by strong performance in Vault CRM and Crossix, which saw over 30% year-over-year growth. Despite macroeconomic uncertainties, Veeva's strategic focus on AI and expansion into horizontal CRM markets is driving optimism. The Professional Services segment, however, shows fluctuating growth, possibly impacted by macro pressures. The company's robust execution and achievement of a $3 billion revenue run rate goal underscore its resilience and strategic agility in navigating market challenges.
Data provided by:Main Street Data

Veeva Systems Earnings Call Summary

Earnings Call Date:Aug 27, 2025
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Dec 03, 2025
Earnings Call Sentiment Positive
The earnings call highlighted strong financial performance and significant strategic advancements, particularly with the resolution of the IQVIA lawsuit and progress in AI development. Although there are some challenges, such as resistance to certain products and flat sequential growth in one segment, these are outweighed by the positive developments and future potential.
Q2-2026 Updates
Positive Updates
Strong Quarterly Performance
Veeva Systems Inc. reported total revenue of $789 million for the second quarter, exceeding their guidance. Non-operating income was $353 million.
Resolution of IQVIA Lawsuit
The longstanding dispute with IQVIA has been resolved, removing historical barriers and potentially unlocking significant opportunities for collaboration and data integration.
AI Development and Future Potential
Veeva is making significant progress with Veeva AI, expected to transform the industry by increasing efficiency. Although not contributing materially in 2026 or 2027, it is expected to significantly increase Veeva's market size over time.
Broad-Based R&D Subscription Growth
R&D subscriptions and services saw substantial growth, driven by broad-based execution and a stable environment.
Positive Customer Reaction to IQVIA Collaboration
The resolution with IQVIA received overwhelmingly positive feedback from customers, indicating potential for improved collaboration and integration.
Top 20 Vault CRM Commitments
Veeva Systems Inc. secured commitments from nine top 20 pharmaceutical companies for Vault CRM, marking significant progress in customer adoption.
Crossix Growth
Continued strong performance in Crossix, driven by both measurement and audience business segments.
Negative Updates
Challenges with Compass Prescriber Adoption
Veeva Systems Inc. faced resistance in the market for their Compass Prescriber product, partly due to underestimated resistance to change.
Sequential Flat Growth in Commercial Cloud Subscriptions
Commercial Cloud subscriptions were flat quarter-over-quarter, despite strength in Crossix.
Company Guidance
During the Veeva Systems Inc. fiscal 2026 second quarter earnings call, the company reported a strong performance, delivering total revenue of $789 million and non-operating income of $353 million, both exceeding guidance. The call highlighted progress in their industry cloud vision and the transformative potential of Veeva AI. They discussed the resolution of a longstanding dispute with IQVIA, which now allows for the integration of IQVIA data into Veeva's commercial products, unlocking significant opportunities. The company also raised its annual billings guidance by $35 million, reflecting confidence in their financial outlook. Additionally, Veeva noted ongoing strength in their Crossix segment, driven by both audience and measurement businesses, contributing to robust growth within their commercial cloud. Overall, the call emphasized Veeva's strategic advancements and optimistic future outlook, particularly in the AI space.

Veeva Systems Financial Statement Overview

Summary
Veeva Systems demonstrates strong financial health with robust profitability, a solid balance sheet, and impressive cash flow metrics. The company shows consistent revenue growth, efficient operations, low leverage, and high equity, positioning it well for continued success.
Income Statement
85
Very Positive
Veeva Systems demonstrates strong profitability with a TTM gross profit margin of 75.59% and a net profit margin of 27.29%. Revenue growth is steady at 3.95% TTM, indicating consistent expansion. EBIT and EBITDA margins are robust at 29.27% and 29.94% respectively, reflecting efficient operations. Overall, the company shows solid financial health with a positive growth trajectory.
Balance Sheet
88
Very Positive
The balance sheet is strong with a low debt-to-equity ratio of 0.0129, indicating minimal leverage and financial risk. Return on equity is healthy at 13.40% TTM, showcasing effective use of equity capital. The equity ratio is solid, reflecting a stable financial structure. Veeva Systems maintains a strong balance sheet with low debt and high equity.
Cash Flow
90
Very Positive
Cash flow metrics are impressive with a free cash flow growth rate of 12.48% TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is 1.08, and the free cash flow to net income ratio is 0.99, both suggesting efficient cash flow management. Veeva Systems exhibits strong cash flow performance, supporting its operational and financial stability.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.97B2.75B2.36B2.16B1.85B1.47B
Gross Profit2.24B2.05B1.69B1.55B1.35B1.06B
EBITDA888.74M730.82M461.96M488.21M532.94M407.25M
Net Income809.93M714.14M525.71M487.71M427.39M380.00M
Balance Sheet
Total Assets8.00B7.34B5.91B4.80B3.82B3.05B
Cash, Cash Equivalents and Short-Term Investments6.40B5.15B4.03B3.10B2.38B1.66B
Total Debt85.45M75.78M55.77M60.98M54.59M63.12M
Total Liabilities1.36B1.51B1.27B1.09B904.83M779.75M
Stockholders Equity6.64B5.83B4.64B3.72B2.91B2.27B
Cash Flow
Free Cash Flow1.34B1.07B885.14M766.96M750.25M542.56M
Operating Cash Flow1.35B1.09B911.34M780.47M764.46M551.25M
Investing Cash Flow-755.30M-700.14M-1.08B-1.01B-346.15M-333.63M
Financing Cash Flow169.84M26.11M-16.19M-19.38M-4.14M33.82M

Veeva Systems Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price272.93
Price Trends
50DMA
281.75
Negative
100DMA
266.52
Positive
200DMA
246.40
Positive
Market Momentum
MACD
-2.61
Positive
RSI
44.00
Neutral
STOCH
24.20
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VEEV, the sentiment is Neutral. The current price of 272.93 is below the 20-day moving average (MA) of 279.18, below the 50-day MA of 281.75, and above the 200-day MA of 246.40, indicating a neutral trend. The MACD of -2.61 indicates Positive momentum. The RSI at 44.00 is Neutral, neither overbought nor oversold. The STOCH value of 24.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for VEEV.

Veeva Systems Risk Analysis

Veeva Systems disclosed 43 risk factors in its most recent earnings report. Veeva Systems reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Veeva Systems Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
$12.99B59.5224.25%19.45%46.46%
79
Outperform
$44.74B55.9913.70%15.33%30.51%
78
Outperform
$34.58B15.5025.60%0.18%2.30%41.46%
77
Outperform
$7.88B55.386.78%15.45%37.72%
76
Outperform
$4.27B81.631.60%20.60%
65
Neutral
$13.83B-97.95%59.84%76.46%
51
Neutral
$7.95B-0.40-42.50%2.21%22.29%-1.85%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
VEEV
Veeva Systems
272.93
50.34
22.62%
HQY
Healthequity
91.48
15.17
19.88%
DOCS
Doximity
69.34
32.41
87.76%
GEHC
GE Healthcare Technologies Inc
75.73
-9.24
-10.87%
BTSG
BrightSpring Health Services, Inc.
24.13
11.07
84.76%
TEM
Tempus AI, Inc. Class A
79.62
32.35
68.44%

Veeva Systems Corporate Events

Legal ProceedingsBusiness Operations and Strategy
Veeva Systems and IQVIA Settle Litigation, Announce Partnership
Positive
Aug 18, 2025

On August 13, 2025, Veeva Systems Inc. and IQVIA Inc. resolved all ongoing litigations that began in 2017 through a settlement agreement, which includes no damages paid by either party. The agreement also facilitates mutual access to data and software, enhancing service offerings for mutual customers. Additionally, Veeva and IQVIA announced global clinical and commercial partnerships aimed at improving efficiency and effectiveness for customers by integrating their software, data, and technology solutions. This collaboration is expected to accelerate clinical development and improve market access for treatments, benefiting shared clients and the overall industry.

Executive/Board ChangesShareholder Meetings
Veeva Systems Holds Annual Shareholder Meeting
Neutral
Jun 23, 2025

On June 18, 2025, Veeva Systems held its Annual Meeting where shareholders voted on two key proposals. The first proposal involved the election of directors to serve until the 2026 annual meeting, with all nominees successfully elected. The second proposal ratified the appointment of KPMG LLP as the independent registered public accounting firm for the fiscal year ending January 31, 2026.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 29, 2025