Veeva Systems (NYSE:VEEV) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Friday, February 2nd.
According to Zacks, “Over the last year, Veeva Systems outperformed the broader industry on the back of its splendid earnings surprise history. However, high expenses on the operational side are causing a drag on the company’s margins, partially dampening its revenues. Furthermore, intensifying competition and a saturating life sciences market are key concerns. The stock looks much overvalued at the moment. Further, volatility in foreign currency exchange rate is a headwind. On a favorable note, the company has delivered positive earnings surprise in all the past four quarters. We are encouraged by Veeva Systems’ consistent efforts in product innovation and launches through R&D. Growing global demand for cloud-based and vault applications also boost opportunities for the company. We are also encouraged to note the latest strategic partnerships of the company.”
Several other research analysts have also recently issued reports on VEEV. Stifel Nicolaus reaffirmed a “buy” rating and issued a $67.00 price target on shares of Veeva Systems in a report on Friday, October 13th. Needham & Company LLC reaffirmed a “buy” rating on shares of Veeva Systems in a report on Thursday, October 12th. Canaccord Genuity reissued a “buy” rating and set a $70.00 target price on shares of Veeva Systems in a research note on Wednesday, December 6th. DA Davidson began coverage on shares of Veeva Systems in a research note on Friday, February 2nd. They set a “buy” rating and a $75.00 target price on the stock. Finally, Morgan Stanley raised shares of Veeva Systems from an “equal weight” rating to an “overweight” rating in a research note on Tuesday, January 30th. One investment analyst has rated the stock with a sell rating, two have given a hold rating, nine have given a buy rating and two have given a strong buy rating to the company’s stock. The company presently has an average rating of “Buy” and an average price target of $67.54.
Veeva Systems (VEEV) opened at $56.72 on Friday. The stock has a market capitalization of $7,837.47, a P/E ratio of 65.95, a PEG ratio of 5.72 and a beta of 1.66. Veeva Systems has a 52-week low of $41.30 and a 52-week high of $68.07.
Veeva Systems (NYSE:VEEV) last issued its quarterly earnings data on Tuesday, December 5th. The technology company reported $0.25 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.16 by $0.09. The business had revenue of $176.10 million during the quarter, compared to the consensus estimate of $171.99 million. Veeva Systems had a return on equity of 12.21% and a net margin of 19.97%. The business’s revenue was up 23.3% on a year-over-year basis. During the same period in the previous year, the firm posted $0.22 earnings per share. research analysts expect that Veeva Systems will post 0.68 EPS for the current fiscal year.
In related news, EVP Alan Mateo sold 532 shares of the stock in a transaction dated Monday, December 4th. The shares were sold at an average price of $58.11, for a total value of $30,914.52. Following the completion of the sale, the executive vice president now owns 8,294 shares in the company, valued at $481,964.34. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, SVP Frederic Lequient sold 15,000 shares of the stock in a transaction dated Tuesday, January 30th. The shares were sold at an average price of $62.00, for a total transaction of $930,000.00. Following the completion of the sale, the senior vice president now owns 15,000 shares of the company’s stock, valued at approximately $930,000. The disclosure for this sale can be found here. Insiders sold 152,017 shares of company stock valued at $8,708,375 over the last quarter. 17.50% of the stock is currently owned by corporate insiders.
A number of large investors have recently bought and sold shares of VEEV. State Street Corp raised its position in Veeva Systems by 52.1% in the second quarter. State Street Corp now owns 1,856,894 shares of the technology company’s stock worth $113,851,000 after purchasing an additional 635,842 shares in the last quarter. Champlain Investment Partners LLC acquired a new position in Veeva Systems in the fourth quarter worth about $24,154,000. Koch Industries Inc. acquired a new position in Veeva Systems in the second quarter worth about $408,000. Janus Henderson Group PLC raised its position in Veeva Systems by 202.7% in the third quarter. Janus Henderson Group PLC now owns 594,544 shares of the technology company’s stock worth $33,538,000 after purchasing an additional 398,149 shares in the last quarter. Finally, Ameriprise Financial Inc. raised its position in Veeva Systems by 85.6% in the third quarter. Ameriprise Financial Inc. now owns 606,728 shares of the technology company’s stock worth $34,226,000 after purchasing an additional 279,769 shares in the last quarter. 69.89% of the stock is owned by hedge funds and other institutional investors.
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About Veeva Systems
Veeva Systems Inc (Veeva) is a provider of cloud-based software solutions for the global life sciences industry. The Company offers solutions for a range of requirements within life sciences companies, including multichannel customer relationship management, regulated content and information management, master data management and customer data.
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