Veeva Systems (VEEV) closed the most recent trading day at $237.81, moving +0.26% from the previous trading session. This move lagged the S&P 500's daily gain of 0.67%. Meanwhile, the Dow experienced a rise of 0.38%, and the technology-dominated Nasdaq saw an increase of 0.98%.
Coming into today, shares of the provider of cloud-based software services for the life sciences industry had gained 8.93% in the past month. In that same time, the Medical sector gained 4.09%, while the S&P 500 gained 2.07%.
The upcoming earnings release of Veeva Systems will be of great interest to investors. The company is expected to report EPS of $1.58, up 14.49% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $698.28 million, showing a 10.73% escalation compared to the year-ago quarter.
Any recent changes to analyst estimates for Veeva Systems should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been a 0.29% fall in the Zacks Consensus EPS estimate. Currently, Veeva Systems is carrying a Zacks Rank of #3 (Hold).
In the context of valuation, Veeva Systems is at present trading with a Forward P/E ratio of 34.08. This denotes no noticeable deviation relative to the industry's average Forward P/E of 34.08.
Investors should also note that VEEV has a PEG ratio of 1.3 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Medical Info Systems industry currently had an average PEG ratio of 3.57 as of yesterday's close.
The Medical Info Systems industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 56, finds itself in the top 23% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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