In the latest close session, Veeva Systems (VEEV) was down 1.01% at $195.38. The stock performed in line with S&P 500. Meanwhile, the Dow experienced a drop of 0.77%, and the technology-dominated Nasdaq saw a decrease of 1.4%.
The provider of cloud-based software services for the life sciences industry's shares have seen an increase of 28.75% over the last month, surpassing the Medical sector's gain of 5.37% and the S&P 500's gain of 0.32%.
The investment community will be paying close attention to the earnings performance of Veeva Systems in its upcoming release. It is anticipated that the company will report an EPS of $2.22, marking a 11.56% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $904.07 million, up 14.57% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $9.05 per share and revenue of $3.64 billion, which would represent changes of +11.73% and +13.96%, respectively, from the prior year.
Any recent changes to analyst estimates for Veeva Systems should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Veeva Systems is holding a Zacks Rank of #3 (Hold) right now.
From a valuation perspective, Veeva Systems is currently exchanging hands at a Forward P/E ratio of 21.82. This signifies a discount in comparison to the average Forward P/E of 27.82 for its industry.
Meanwhile, VEEV's PEG ratio is currently 0.62. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Medical Info Systems industry had an average PEG ratio of 3.15 as trading concluded yesterday.
The Medical Info Systems industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 74, finds itself in the top 31% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Veeva Systems Inc. (VEEV): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).