VEEVA SYSTEMS INC-CLASS A (VEEV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:VEEV - US9224751084 - Common Stock
219.3 USD
-0.8 (-0.36%)
219 USD
-0.3 (-0.14%)
Taking everything into account, VEEV scores 7 out of 10 in our fundamental rating. VEEV was compared to 35 industry peers in the Health Care Technology industry. Both the health and profitability get an excellent rating, making VEEV a very profitable company, without any liquidiy or solvency issues. 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.
In the past 5 years VEEV always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 10.63%, VEEV belongs to the top of the industry, outperforming 97.14% of the companies in the same industry.
VEEV has a Return On Equity of 12.22%. This is amongst the best in the industry. VEEV outperforms 97.14% of its industry peers.
With an excellent Return On Invested Capital value of 10.39%, VEEV belongs to the best of the industry, outperforming 91.43% of the companies in the same industry.
VEEV had an Average Return On Invested Capital over the past 3 years of 9.16%. This is above the industry average of 6.61%.
The last Return On Invested Capital (10.39%) for VEEV is above the 3 year average (9.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.63% | ||
| ROE | 12.22% | ||
| ROIC | 10.39% |
ROA(3y)9.59%
ROA(5y)10.49%
ROE(3y)12.23%
ROE(5y)13.63%
ROIC(3y)9.16%
ROIC(5y)11.04%
1.3 Margins
VEEV has a Profit Margin of 27.93%. This is amongst the best in the industry. VEEV outperforms 97.14% of its industry peers.
VEEV's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 28.88%, VEEV belongs to the top of the industry, outperforming 97.14% of the companies in the same industry.
In the last couple of years the Operating Margin of VEEV has remained more or less at the same level.
With a decent Gross Margin value of 75.67%, VEEV is doing good in the industry, outperforming 80.00% of the companies in the same industry.
VEEV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.88% | ||
| PM (TTM) | 27.93% | ||
| GM | 75.67% |
OM growth 3Y-2.45%
OM growth 5Y-0.44%
PM growth 3Y4.03%
PM growth 5Y-0.95%
GM growth 3Y0.79%
GM growth 5Y0.55%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so VEEV is still creating some value.
Compared to 1 year ago, VEEV has more shares outstanding
The number of shares outstanding for VEEV has been increased compared to 5 years ago.
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 22.84. This indicates that VEEV is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of VEEV (22.84) is better than 94.29% 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 | 22.84 |
ROIC/WACC1.1
WACC9.43%
2.3 Liquidity
A Current Ratio of 7.53 indicates that VEEV has no problem at all paying its short term obligations.
With an excellent Current ratio value of 7.53, VEEV belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
VEEV has a Quick Ratio of 7.53. 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 7.53, VEEV belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 7.53 | ||
| Quick Ratio | 7.53 |
3. Growth
3.1 Past
VEEV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.84%, which is quite impressive.
Measured over the past years, VEEV shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.72% on average per year.
Looking at the last year, VEEV shows a quite strong growth in Revenue. The Revenue has grown by 15.96% in the last year.
The Revenue has been growing by 19.99% on average over the past years. This is quite good.
EPS 1Y (TTM)23.84%
EPS 3Y21.12%
EPS 5Y24.72%
EPS Q2Q%16.57%
Revenue 1Y (TTM)15.96%
Revenue growth 3Y14.06%
Revenue growth 5Y19.99%
Sales Q2Q%16.02%
3.2 Future
The Earnings Per Share is expected to grow by 15.33% on average over the next years. This is quite good.
The Revenue is expected to grow by 14.37% on average over the next years. This is quite good.
EPS Next Y22.5%
EPS Next 2Y15.02%
EPS Next 3Y14.7%
EPS Next 5Y15.33%
Revenue Next Year16.37%
Revenue Next 2Y14.29%
Revenue Next 3Y13.76%
Revenue Next 5Y14.37%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of 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 28.33, which means the current valuation is very expensive for VEEV.
Compared to the rest of the industry, the Price/Earnings ratio of VEEV indicates a somewhat cheap valuation: VEEV is cheaper than 77.14% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.43. VEEV is around the same levels.
A Price/Forward Earnings ratio of 25.08 indicates a quite expensive valuation of VEEV.
Based on the Price/Forward Earnings ratio, VEEV is valued a bit cheaper than 74.29% of the companies in the same industry.
VEEV is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.66, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.33 | ||
| Fwd PE | 25.08 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VEEV is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, VEEV is valued a bit cheaper than the industry average as 68.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.68 | ||
| EV/EBITDA | 26.3 |
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 an outstanding 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 14.70% in the coming years.
PEG (NY)1.26
PEG (5Y)1.15
EPS Next 2Y15.02%
EPS Next 3Y14.7%
5. Dividend
5.1 Amount
VEEV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
219.3
-0.8 (-0.36%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners90.38%
Inst Owner Change1.76%
Ins Owners8.43%
Ins Owner Change-0.03%
Market Cap36.05B
Revenue(TTM)3.08B
Net Income(TTM)860.33M
Analysts78.5
Price Target319.04 (45.48%)
Short Float %2.98%
Short Ratio3.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.64%
Min EPS beat(2)2.55%
Max EPS beat(2)2.73%
EPS beat(4)4
Avg EPS beat(4)6.08%
Min EPS beat(4)2.55%
Max EPS beat(4)11.08%
EPS beat(8)8
Avg EPS beat(8)5.47%
EPS beat(12)12
Avg EPS beat(12)5.91%
EPS beat(16)15
Avg EPS beat(16)5%
Revenue beat(2)2
Avg Revenue beat(2)0.5%
Min Revenue beat(2)0.32%
Max Revenue beat(2)0.68%
Revenue beat(4)4
Avg Revenue beat(4)0.94%
Min Revenue beat(4)0.32%
Max Revenue beat(4)1.66%
Revenue beat(8)4
Avg Revenue beat(8)0.17%
Revenue beat(12)5
Avg Revenue beat(12)-0.16%
Revenue beat(16)5
Avg Revenue beat(16)-0.27%
PT rev (1m)-1.39%
PT rev (3m)0.09%
EPS NQ rev (1m)2%
EPS NQ rev (3m)1.94%
EPS NY rev (1m)1.7%
EPS NY rev (3m)3.58%
Revenue NQ rev (1m)1.21%
Revenue NQ rev (3m)1.3%
Revenue NY rev (1m)0.97%
Revenue NY rev (3m)1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.33 | ||
| Fwd PE | 25.08 | ||
| P/S | 11.7 | ||
| P/FCF | 26.68 | ||
| P/OCF | 26.16 | ||
| P/B | 5.12 | ||
| P/tB | 5.49 | ||
| EV/EBITDA | 26.3 |
EPS(TTM)7.74
EY3.53%
EPS(NY)8.74
Fwd EY3.99%
FCF(TTM)8.22
FCFY3.75%
OCF(TTM)8.38
OCFY3.82%
SpS18.74
BVpS42.83
TBVpS39.96
PEG (NY)1.26
PEG (5Y)1.15
Graham Number86.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.63% | ||
| ROE | 12.22% | ||
| ROCE | 12.44% | ||
| ROIC | 10.39% | ||
| ROICexc | 144.3% | ||
| ROICexgc | 1750.77% | ||
| OM | 28.88% | ||
| PM (TTM) | 27.93% | ||
| GM | 75.67% | ||
| FCFM | 43.86% |
ROA(3y)9.59%
ROA(5y)10.49%
ROE(3y)12.23%
ROE(5y)13.63%
ROIC(3y)9.16%
ROIC(5y)11.04%
ROICexc(3y)59.89%
ROICexc(5y)59.49%
ROICexgc(3y)196.73%
ROICexgc(5y)318.62%
ROCE(3y)10.96%
ROCE(5y)13.22%
ROICexgc growth 3Y-36.21%
ROICexgc growth 5Y-13.57%
ROICexc growth 3Y1.45%
ROICexc growth 5Y14.29%
OM growth 3Y-2.45%
OM growth 5Y-0.44%
PM growth 3Y4.03%
PM growth 5Y-0.95%
GM growth 3Y0.79%
GM growth 5Y0.55%
F-Score7
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 67.76% | ||
| Cap/Sales | 0.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 148.3% | ||
| Profit Quality | 157.04% | ||
| Current Ratio | 7.53 | ||
| Quick Ratio | 7.53 | ||
| Altman-Z | 22.84 |
F-Score7
WACC9.43%
ROIC/WACC1.1
Cap/Depr(3y)59.59%
Cap/Depr(5y)52.02%
Cap/Sales(3y)0.83%
Cap/Sales(5y)0.77%
Profit Quality(3y)158.47%
Profit Quality(5y)158.74%
High Growth Momentum
Growth
EPS 1Y (TTM)23.84%
EPS 3Y21.12%
EPS 5Y24.72%
EPS Q2Q%16.57%
EPS Next Y22.5%
EPS Next 2Y15.02%
EPS Next 3Y14.7%
EPS Next 5Y15.33%
Revenue 1Y (TTM)15.96%
Revenue growth 3Y14.06%
Revenue growth 5Y19.99%
Sales Q2Q%16.02%
Revenue Next Year16.37%
Revenue Next 2Y14.29%
Revenue Next 3Y13.76%
Revenue Next 5Y14.37%
EBIT growth 1Y38.28%
EBIT growth 3Y11.27%
EBIT growth 5Y19.47%
EBIT Next Year30.64%
EBIT Next 3Y20.19%
EBIT Next 5Y18.86%
FCF growth 1Y51.03%
FCF growth 3Y12.54%
FCF growth 5Y19.82%
OCF growth 1Y50.27%
OCF growth 3Y12.55%
OCF growth 5Y20.04%
VEEVA SYSTEMS INC-CLASS A / VEEV FAQ
What is the fundamental rating for VEEV stock?
ChartMill assigns a fundamental rating of 7 / 10 to VEEV.
Can you provide the valuation status for VEEVA SYSTEMS INC-CLASS A?
ChartMill assigns a valuation rating of 5 / 10 to VEEVA SYSTEMS INC-CLASS A (VEEV). This can be considered as Fairly Valued.
How profitable is VEEVA SYSTEMS INC-CLASS A (VEEV) stock?
VEEVA SYSTEMS INC-CLASS A (VEEV) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for VEEV stock?
The Price/Earnings (PE) ratio for VEEVA SYSTEMS INC-CLASS A (VEEV) is 28.33 and the Price/Book (PB) ratio is 5.12.
What is the financial health of VEEVA SYSTEMS INC-CLASS A (VEEV) stock?
The financial health rating of VEEVA SYSTEMS INC-CLASS A (VEEV) is 9 / 10.