Veeva Systems (VEEV) AI Stock Analysis

• Market Cap: $46.74B
• Dividend Yield: N/A
• Average Volume (3M): 1.28M
• Price to Earnings (P/E): 60.6
• Beta (1Y): 1.05
• Revenue Growth: 14.78%
• EPS Growth: 39.33%
• Country: US
• Employees: 7,291
• Sector: Healthcare
• Sector Strength: 37
• Industry: Medical - Healthcare Information Services
• EPS (TTM): 1.97
• Shares Outstanding: 163,412,280
• 10 Day Avg. Volume: 1,267,913
• 30 Day Avg. Volume: 1,277,756
• PEG Ratio: 6.45
• Price to Book (P/B): 7.35
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 38.08
• Enterprise Value/Market Cap: 0.94
• Enterprise Value/Revenue: 4.04
• Enterprise Value/Gross Profit: 20.30
• Enterprise Value/Ebitda: 15.61
• 1Y Price Target: $295.52
• Price Target Upside: 1.76% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 23

• Rating: 81 Outperform
• Price Target: $323.00 ▲(11.22%Upside)

Veeva Systems scores highly due to its robust financial performance and positive earnings call, highlighting strong revenue growth and strategic advancements in AI and CRM markets. However, the high P/E ratio and potential overbought technical indicators present valuation concerns and a risk of short-term pullbacks.

Positive Factors

Client Retention

Veeva announced Merck, a 6th top-20 pharma, will stay on Veeva CRM, offsetting 2 exits, implying a net positive for Veeva after accounting for licensing fee savings.

Product Innovation

The accelerated platform innovation and product development afforded by owning the underlying infrastructure of the platform will provide sustained runway for cross-selling opportunities and value creation.

Strategic Partnerships

Merck's decision to migrate to Vault CRM builds upon a 10-year strategic partnership, indicating a deepening of their relationship with Veeva.

Negative Factors

Competition

Pfizer and Takeda are switching to Salesforce, which indicates competition for Veeva in the CRM space.

Regulatory Risks

Regulatory risks exist but are expected to lead to newer disclosure and compliance requirements rather than outright bans, which might lead to a reallocation of omni-channel budgets.

Veeva Systems Business Overview & Revenue Model

Company Description

Veeva 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 Money

Veeva Systems generates revenue primarily through subscription fees for its cloud-based software solutions offered to the life sciences sector. The company's revenue model is largely based on multi-year contracts with customers, which provide a steady and predictable income stream. Key revenue streams include Veeva Vault, Veeva CRM, and Veeva Network, each catering to different aspects of the life sciences industry such as content management, customer engagement, and data management, respectively. Additionally, Veeva offers professional services, including implementation, training, and support, which contribute to its overall earnings. Strategic partnerships with major pharmaceutical companies and other stakeholders in the life sciences ecosystem further enhance Veeva's revenue potential by expanding its market reach and customer base.

Veeva Systems Financial Statement Overview

Summary

Veeva Systems exhibits strong financial performance with robust revenue growth, excellent profitability margins, and a stable balance sheet with minimal leverage. The company's cash flow management is exceptional, supporting operational and growth needs effectively. Potential risks include a slight decrease in EBIT Margin and the need to maintain growth momentum.

Income Statement

Veeva Systems demonstrates strong revenue growth with a Revenue Growth Rate of 17.5% from the previous year and a solid Gross Profit Margin of 75.5% for TTM. The company maintains a high EBIT Margin of 27% and a Net Profit Margin of 27.3%, indicating robust profitability. However, there is a slight decrease in EBIT Margin compared to the previous year, which could be a point of concern if it continues.

Balance Sheet

The balance sheet is highly stable with a low Debt-to-Equity Ratio of 0.0124, showcasing minimal leverage and financial risk. The Equity Ratio stands at 80%, reflecting a strong capital base. The Return on Equity (ROE) is impressive at 12.6% for TTM, indicating efficient use of equity capital to generate profits. The strong liquidity position further enhances the company's financial stability.

Cash Flow

Veeva Systems exhibits consistent cash flow generation with a strong Operating Cash Flow to Net Income Ratio of 1.54 and a Free Cash Flow to Net Income Ratio of 1.54, highlighting efficient cash conversion. The Free Cash Flow Growth Rate is 10.4%, demonstrating healthy cash flow management. The company's cash flow performance supports its operational and growth needs effectively.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	2.75B	2.36B	2.16B	1.85B	1.47B
Gross Profit	2.05B	1.69B	1.55B	1.35B	1.06B
EBITDA	730.82M	461.96M	488.21M	532.94M	407.25M
Net Income	714.14M	525.71M	487.71M	427.39M	380.00M
Balance Sheet
Total Assets	7.34B	5.91B	4.80B	3.82B	3.05B
Cash, Cash Equivalents and Short-Term Investments	5.15B	4.03B	3.10B	2.38B	1.66B
Total Debt	75.78M	55.77M	60.98M	54.59M	63.12M
Total Liabilities	1.51B	1.27B	1.09B	904.83M	779.75M
Stockholders Equity	5.83B	4.64B	3.72B	2.91B	2.27B
Cash Flow
Free Cash Flow	1.09B	885.14M	777.98M	761.97M	551.81M
Operating Cash Flow	1.09B	911.34M	780.47M	764.46M	551.25M
Investing Cash Flow	-700.14M	-1.08B	-1.01B	-346.15M	-333.63M
Financing Cash Flow	26.11M	-16.19M	-19.38M	-4.14M	33.82M

Veeva Systems Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 290.41
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VEEV, the sentiment is Positive. The current price of 290.41 is above the 20-day moving average (MA) of 282.61, above the 50-day MA of 272.91, and above the 200-day MA of 236.71, indicating a bullish trend. The MACD of 3.14 indicates Positive momentum. The RSI at 62.33 is Neutral, neither overbought nor oversold. The STOCH value of 85.29 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VEEV.

Veeva Systems Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VEEV	81 Outperform	$46.74B	60.61	14.07%	―	14.78%	39.33%
GEHC	77 Outperform	$35.15B	16.24	26.32%	0.17%	1.55%	38.51%
DOCS	73 Outperform	$11.37B	54.76	22.50%	―	19.98%	53.10%
HQY	69 Neutral	$8.16B	68.69	5.77%	―	19.21%	50.06%
Sector *	65 Neutral	¥355.44B	11.10	-2.99%	2.49%	11.76%	-10.16%
BTSG	64 Neutral	$3.63B	73.42	2.30%	―	23.40%	―
TEM	47 Neutral	$11.23B	―	-1252.79%	―	42.93%	-160.27%

Veeva Systems Corporate Events

Veeva Systems Holds Annual Shareholder Meeting

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.

The most recent analyst rating on (VEEV) stock is a Buy with a $240.00 price target. To see the full list of analyst forecasts on Veeva Systems stock, see the VEEV Stock Forecast page.