Veeva Systems (VEEV) Reports Earnings Tomorrow: What To Expect
Healthcare software provider Veeva Systems (NASDAQ:VEEV) will be reporting earnings tomorrow after market hours. Here's what to look for.
Veeva Systems beat analysts' revenue expectations by 3.1% last quarter, reporting revenues of $720.9 million, up 14.3% year on year. It was a strong quarter for the company, with an impressive beat of analysts' billings estimates and a solid beat of analysts' EBITDA estimates.
Is Veeva Systems a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting Veeva Systems's revenue to grow 12% year on year to $728.2 million, slowing from the 23.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.74 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Veeva Systems has a history of exceeding Wall Street's expectations, beating revenue estimates every single time over the past two years by 1.6% on average.
Looking at Veeva Systems's peers in the vertical software segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Doximity delivered year-on-year revenue growth of 17.1%, beating analysts' expectations by 3.5%, and Upstart reported revenues up 67%, topping estimates by 5.2%. Doximity traded down 10.1% following the results while Upstart was also down 9.7%.
Read our full analysis of Doximity's results here and Upstart's results here.
There has been positive sentiment among investors in the vertical software segment, with share prices up 7.3% on average over the last month. Veeva Systems is up 3% during the same time and is heading into earnings with an average analyst price target of $262.68 (compared to the current share price of $232.50).
Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
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