VEEVA SYSTEMS INC-CLASS A (VEEV) Stock Fundamental Analysis
USA - NYSE:VEEV - US9224751084 - Common Stock
270.5 USD
-2.5 (-0.92%)
252.4 USD
-18.1 (-6.69%)
Overall VEEV gets a fundamental rating of 7 out of 10. We evaluated VEEV against 35 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 not overvalued while it is showing excellent growth. This is an interesting combination. With these ratings, VEEV could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year VEEV was profitable.
In the past year VEEV had a positive cash flow from operations.
Each year in the past 5 years VEEV has been profitable.
VEEV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
VEEV has a better Return On Assets (10.12%) than 97.14% of its industry peers.
VEEV has a better Return On Equity (12.20%) than 97.14% of its industry peers.
VEEV has a Return On Invested Capital of 10.28%. This is amongst the best in the industry. VEEV outperforms 91.43% of its industry peers.
The Average Return On Invested Capital over the past 3 years for VEEV is above the industry average of 6.84%.
The last Return On Invested Capital (10.28%) for VEEV is above the 3 year average (9.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.12% | ||
| ROE | 12.2% | ||
| ROIC | 10.28% |
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 27.29%. This is amongst the best in the industry. VEEV outperforms 97.14% of its industry peers.
In the last couple of years the Profit Margin of VEEV has remained more or less at the same level.
VEEV's Operating Margin of 27.96% is amongst the best of the industry. VEEV outperforms 97.14% of its industry peers.
VEEV's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 75.59%, VEEV belongs to the top of the industry, outperforming 82.86% 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 | 27.96% | ||
| PM (TTM) | 27.29% | ||
| GM | 75.59% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), VEEV is destroying 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.
VEEV has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 21.98 indicates that VEEV is not in any danger for bankruptcy at the moment.
The Altman-Z score of VEEV (21.98) is better than 94.29% of its industry peers.
VEEV has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 21.98 |
ROIC/WACC0.96
WACC10.71%
2.3 Liquidity
A Current Ratio of 5.57 indicates that VEEV has no problem at all paying its short term obligations.
The Current ratio of VEEV (5.57) is better than 91.43% of its industry peers.
VEEV has a Quick Ratio of 5.57. This indicates that VEEV is financially healthy and has no problem in meeting its short term obligations.
VEEV's Quick ratio of 5.57 is amongst the best of the industry. VEEV outperforms 91.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.57 | ||
| Quick Ratio | 5.57 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 27.57% 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 24.72% on average per year.
VEEV shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.33%.
Measured over the past years, VEEV shows a quite strong growth in Revenue. The Revenue has been growing by 19.99% on average per year.
EPS 1Y (TTM)27.57%
EPS 3Y21.12%
EPS 5Y24.72%
EPS Q2Q%22.84%
Revenue 1Y (TTM)15.33%
Revenue growth 3Y14.06%
Revenue growth 5Y19.99%
Sales Q2Q%16.7%
3.2 Future
The Earnings Per Share is expected to grow by 15.71% on average over the next years. This is quite good.
The Revenue is expected to grow by 14.31% on average over the next years. This is quite good.
EPS Next Y20.45%
EPS Next 2Y14.16%
EPS Next 3Y14.72%
EPS Next 5Y15.71%
Revenue Next Year15.26%
Revenue Next 2Y13.63%
Revenue Next 3Y13.53%
Revenue Next 5Y14.31%
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 36.31, which means the current valuation is very expensive for VEEV.
Based on the Price/Earnings ratio, VEEV is valued a bit cheaper than 71.43% of the companies in the same industry.
VEEV is valuated rather expensively when we compare the Price/Earnings ratio to 25.07, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 31.40, the valuation of VEEV can be described as expensive.
Based on the Price/Forward Earnings ratio, VEEV is valued a bit cheaper than 65.71% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of VEEV to the average of the S&P500 Index (34.08), we can say VEEV is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.31 | ||
| Fwd PE | 31.4 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as VEEV.
Based on the Price/Free Cash Flow ratio, VEEV is valued a bit cheaper than the industry average as 62.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.39 | ||
| EV/EBITDA | 38.94 |
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 14.72% in the coming years.
PEG (NY)1.78
PEG (5Y)1.47
EPS Next 2Y14.16%
EPS Next 3Y14.72%
5. Dividend
5.1 Amount
No dividends for VEEV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
270.5
-2.5 (-0.92%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners89.1%
Inst Owner Change1.67%
Ins Owners8.46%
Ins Owner Change-0.02%
Market Cap44.34B
Revenue(TTM)2.97B
Net Income(TTM)809.93M
Analysts78.5
Price Target323.55 (19.61%)
Short Float %2.93%
Short Ratio3.94
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)6.9%
Min EPS beat(2)2.73%
Max EPS beat(2)11.08%
EPS beat(4)4
Avg EPS beat(4)7.6%
Min EPS beat(4)2.73%
Max EPS beat(4)11.08%
EPS beat(8)8
Avg EPS beat(8)5.29%
EPS beat(12)12
Avg EPS beat(12)5.99%
EPS beat(16)15
Avg EPS beat(16)5.36%
Revenue beat(2)2
Avg Revenue beat(2)1.17%
Min Revenue beat(2)0.68%
Max Revenue beat(2)1.66%
Revenue beat(4)3
Avg Revenue beat(4)0.75%
Min Revenue beat(4)-0.41%
Max Revenue beat(4)1.66%
Revenue beat(8)3
Avg Revenue beat(8)-0.1%
Revenue beat(12)4
Avg Revenue beat(12)-0.26%
Revenue beat(16)5
Avg Revenue beat(16)-0.28%
PT rev (1m)1.33%
PT rev (3m)7.87%
EPS NQ rev (1m)1.4%
EPS NQ rev (3m)3.34%
EPS NY rev (1m)0.15%
EPS NY rev (3m)1.88%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)1.91%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)1.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.31 | ||
| Fwd PE | 31.4 | ||
| P/S | 14.94 | ||
| P/FCF | 33.39 | ||
| P/OCF | 32.86 | ||
| P/B | 6.68 | ||
| P/tB | 7.2 | ||
| EV/EBITDA | 38.94 |
EPS(TTM)7.45
EY2.75%
EPS(NY)8.61
Fwd EY3.18%
FCF(TTM)8.1
FCFY3%
OCF(TTM)8.23
OCFY3.04%
SpS18.11
BVpS40.5
TBVpS37.6
PEG (NY)1.78
PEG (5Y)1.47
Graham Number82.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.12% | ||
| ROE | 12.2% | ||
| ROCE | 12.31% | ||
| ROIC | 10.28% | ||
| ROICexc | 203.55% | ||
| ROICexgc | N/A | ||
| OM | 27.96% | ||
| PM (TTM) | 27.29% | ||
| GM | 75.59% | ||
| FCFM | 44.74% |
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 Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 53.26% | ||
| Cap/Sales | 0.71% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 155.11% | ||
| Profit Quality | 163.97% | ||
| Current Ratio | 5.57 | ||
| Quick Ratio | 5.57 | ||
| Altman-Z | 21.98 |
F-Score7
WACC10.71%
ROIC/WACC0.96
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)27.57%
EPS 3Y21.12%
EPS 5Y24.72%
EPS Q2Q%22.84%
EPS Next Y20.45%
EPS Next 2Y14.16%
EPS Next 3Y14.72%
EPS Next 5Y15.71%
Revenue 1Y (TTM)15.33%
Revenue growth 3Y14.06%
Revenue growth 5Y19.99%
Sales Q2Q%16.7%
Revenue Next Year15.26%
Revenue Next 2Y13.63%
Revenue Next 3Y13.53%
Revenue Next 5Y14.31%
EBIT growth 1Y40.59%
EBIT growth 3Y11.27%
EBIT growth 5Y19.47%
EBIT Next Year27.8%
EBIT Next 3Y20.11%
EBIT Next 5Y19.14%
FCF growth 1Y39.06%
FCF growth 3Y12.54%
FCF growth 5Y19.82%
OCF growth 1Y38.09%
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 4 / 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 9 / 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 36.31 and the Price/Book (PB) ratio is 6.68.
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 8 / 10.