VEEVA SYSTEMS INC-CLASS A (VEEV)
US9224751084 - Common Stock
VEEV gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 40 industry peers in the Health Care Technology industry. VEEV has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. VEEV is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings could make VEEV a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
VEEV had positive earnings in the past year.
VEEV had a positive operating cash flow in the past year.
VEEV had positive earnings in each of the past 5 years.
VEEV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
VEEV has a better Return On Assets (8.89%) than 94.87% of its industry peers.
Looking at the Return On Equity, with a value of 11.32%, VEEV belongs to the top of the industry, outperforming 94.87% of the companies in the same industry.
VEEV's Return On Invested Capital of 7.17% is amongst the best of the industry. VEEV outperforms 97.44% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for VEEV is above the industry average of 5.56%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.89% | ||
| ROE | 11.32% | ||
| ROIC | 7.17% |
ROA(3y)10.08%
ROA(5y)11.19%
ROE(3y)13.04%
ROE(5y)14.79%
ROIC(3y)10.05%
ROIC(5y)11.22%
1.3 Margins
With an excellent Profit Margin value of 22.24%, VEEV belongs to the best of the industry, outperforming 94.87% of the companies in the same industry.
VEEV's Profit Margin has declined in the last couple of years.
VEEV has a better Operating Margin (18.16%) than 97.44% of its industry peers.
In the last couple of years the Operating Margin of VEEV has declined.
Looking at the Gross Margin, with a value of 71.35%, VEEV is in the better half of the industry, outperforming 71.79% of the companies in the same industry.
In the last couple of years the Gross Margin of VEEV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.16% | ||
| PM (TTM) | 22.24% | ||
| GM | 71.35% |
OM growth 3Y-11.02%
OM growth 5Y-6.82%
PM growth 3Y-5%
PM growth 5Y-3.55%
GM growth 3Y-0.34%
GM growth 5Y-0.06%
2. Health
2.1 Basic Checks
VEEV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for VEEV has been increased compared to 1 year ago.
Compared to 5 years ago, VEEV has more shares outstanding
There is no outstanding debt for VEEV. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
VEEV has an Altman-Z score of 18.15. This indicates that VEEV is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of VEEV (18.15) is better than 92.31% of its industry peers.
There is no outstanding debt for VEEV. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 18.15 |
ROIC/WACC0.68
WACC10.49%
2.3 Liquidity
A Current Ratio of 4.24 indicates that VEEV has no problem at all paying its short term obligations.
VEEV has a better Current ratio (4.24) than 76.92% of its industry peers.
VEEV has a Quick Ratio of 4.24. This indicates that VEEV is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 4.24, VEEV is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.24 | ||
| Quick Ratio | 4.24 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.56% over the past year.
The Earnings Per Share has been growing by 24.47% on average over the past years. This is a very strong growth
Looking at the last year, VEEV shows a quite strong growth in Revenue. The Revenue has grown by 9.68% in the last year.
VEEV shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 22.35% yearly.
EPS 1Y (TTM)12.56%
EPS 3Y18.08%
EPS 5Y24.47%
EPS growth Q2Q20%
Revenue 1Y (TTM)9.68%
Revenue growth 3Y17.28%
Revenue growth 5Y22.35%
Revenue growth Q2Q11.93%
3.2 Future
VEEV is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.14% yearly.
VEEV is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.63% yearly.
EPS Next Y29.53%
EPS Next 2Y19.83%
EPS Next 3Y17.26%
EPS Next 5Y16.14%
Revenue Next Year16.08%
Revenue Next 2Y14.87%
Revenue Next 3Y14.02%
Revenue Next 5Y13.63%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 43.44, which means the current valuation is very expensive for VEEV.
82.05% of the companies in the same industry are more expensive than VEEV, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 28.60, VEEV is valued quite expensively.
VEEV is valuated quite expensively with a Price/Forward Earnings ratio of 33.54.
Based on the Price/Forward Earnings ratio, VEEV is valued a bit cheaper than 79.49% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.15. VEEV is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.44 | ||
| Fwd PE | 33.54 |
4.2 Price Multiples
69.23% of the companies in the same industry are more expensive than VEEV, based on the Enterprise Value to EBITDA ratio.
74.36% of the companies in the same industry are more expensive than VEEV, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.34 | ||
| EV/EBITDA | 57.55 |
4.3 Compensation for Growth
VEEV's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
VEEV has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as VEEV's earnings are expected to grow with 17.26% in the coming years.
PEG (NY)1.47
PEG (5Y)1.78
EPS Next 2Y19.83%
EPS Next 3Y17.26%
5. Dividend
5.1 Amount
VEEV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
VEEVA SYSTEMS INC-CLASS A
NYSE:VEEV (5/17/2024, 7:04:00 PM)
After market: 210.2 -0.07 (-0.03%)210.27
+0.62 (+0.3%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap33.93B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.44 | ||
| Fwd PE | 33.54 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.47
PEG (5Y)1.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.89% | ||
| ROE | 11.32% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 18.16% | ||
| PM (TTM) | 22.24% | ||
| GM | 71.35% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 4.24 | ||
| Quick Ratio | 4.24 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)12.56%
EPS 3Y18.08%
EPS 5Y
EPS growth Q2Q
EPS Next Y29.53%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.68%
Revenue growth 3Y17.28%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y