NYSE:VEEV, a growth stock which is not overvalued.

Last update: Nov 28, 2024

Our stock screening tool has pinpointed VEEVA SYSTEMS INC-CLASS A (NYSE:VEEV) as a growth stock that isn't overvalued. NYSE:VEEV is excelling in various growth indicators while maintaining a solid financial footing. Furthermore, it remains attractively priced. Let's delve into the specifics below.

Assessing Growth for NYSE:VEEV

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NYSE:VEEV has received a 8 out of 10:

The Earnings Per Share has grown by an impressive 32.73% over the past year.
Measured over the past years, VEEV shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.47% on average per year.
The Revenue has grown by 15.29% in the past year. This is quite good.
The Revenue has been growing by 22.35% on average over the past years. This is a very strong growth!
VEEV is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.59% yearly.
Based on estimates for the next years, VEEV will show a quite strong growth in Revenue. The Revenue will grow by 13.11% on average per year.

Analyzing Valuation Metrics

An integral part of ChartMill's stock analysis is the Valuation Rating, which spans from 0 to 10. This rating evaluates diverse valuation factors, including price to earnings and cash flows, while considering the stock's profitability and growth. NYSE:VEEV has received a 5 out of 10:

Based on the Price/Earnings ratio, VEEV is valued cheaply inside the industry as 80.56% of the companies are valued more expensively.
VEEV's Price/Forward Earnings ratio is rather cheap when compared to the industry. VEEV is cheaper than 80.56% of the companies in the same industry.
Based on the Enterprise Value to EBITDA ratio, VEEV is valued a bit cheaper than 63.89% of the companies in the same industry.
VEEV's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. VEEV is cheaper than 66.67% of the companies in the same industry.
The decent profitability rating of VEEV may justify a higher PE ratio.
A more expensive valuation may be justified as VEEV's earnings are expected to grow with 16.43% in the coming years.

Assessing Health Metrics for NYSE:VEEV

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NYSE:VEEV scores a 9 out of 10:

VEEV has an Altman-Z score of 21.43. This indicates that VEEV is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 21.43, VEEV belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
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.
VEEV has a Current Ratio of 5.01. This indicates that VEEV is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 5.01, VEEV belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
VEEV has a Quick Ratio of 5.01. This indicates that VEEV is financially healthy and has no problem in meeting its short term obligations.
VEEV has a Quick ratio of 5.01. This is amongst the best in the industry. VEEV outperforms 91.67% of its industry peers.

Profitability Insights: NYSE:VEEV

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:VEEV has achieved a 7:

VEEV has a Return On Assets of 9.72%. This is amongst the best in the industry. VEEV outperforms 94.44% of its industry peers.
Looking at the Return On Equity, with a value of 11.87%, VEEV belongs to the top of the industry, outperforming 94.44% of the companies in the same industry.
VEEV's Return On Invested Capital of 8.87% is amongst the best of the industry. VEEV outperforms 97.22% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for VEEV is above the industry average of 6.38%.
With an excellent Profit Margin value of 23.91%, VEEV belongs to the best of the industry, outperforming 94.44% of the companies in the same industry.
VEEV's Operating Margin of 22.94% is amongst the best of the industry. VEEV outperforms 97.22% of its industry peers.
VEEV has a Gross Margin of 73.35%. This is in the better half of the industry: VEEV outperforms 75.00% of its industry peers.

More Affordable Growth stocks can be found in our Affordable Growth screener.

For an up to date full fundamental analysis you can check the fundamental report of VEEV

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.