I recently joined The REIT Forum and if you are looking for more investment ideas like this one, get them exclusively at The REIT Forum with access to our subscriber only portfolios.When I last wrote about Veeva (NYSE: VEEV ) in January, I reiterated my "buy" rating on the stock while making it my software pick for 2025.Amrita runs a boutique family office fund in beautiful Vancouver, where she leads the investment strategy for the family fund. The fund's objective is to invest capital in sustainable, growt ...

Core Insights - Veeva Systems has launched Veeva AI, an initiative to integrate AI into the Veeva Vault Platform and applications, aimed at automating industry-specific functions and enhancing productivity across various sectors from clinical to commercial [1][5] - Veeva AI utilizes large language models (LLMs) to create application-specific AI Agents and AI Shortcuts, enabling life sciences companies to streamline tasks and improve employee efficiency [1][2] Veeva AI Features - Veeva AI Agents can be quickly deployed with high impact due to their understanding of Veeva application context, application-specific prompts, and secure access to application data and workflows [2] - Customers have the flexibility to configure Veeva-delivered AI Agents or develop custom AI Agents tailored to specific use cases, accessible via a chatbot interface or AI API [2] User Empowerment - Veeva AI Shortcuts allow end users to set up personal AI-powered automations for frequent tasks, such as workflow assistance, generating insights, or conducting research [3] Strategic Vision - Veeva's CEO, Peter Gassner, emphasized that the integration of GenAI with core applications will significantly enhance productivity for knowledge workers by providing human-like capabilities to derive insights from complex data [4] - Veeva AI is designed to be LLM agnostic, supporting various major LLMs, and ensuring customer data security regardless of the LLM used [4] Market Positioning - The first release of Veeva AI is scheduled for December 2025, with a subscription model aimed at promoting broad and thoughtful industry adoption [5] - Veeva serves over 1,000 customers in the life sciences sector, including major biopharmaceutical companies and emerging biotechs, highlighting its leadership in cloud software solutions [6]

Company Performance - Veeva Systems (VEEV) closed at $227.11, reflecting a -0.26% change from the previous day, underperforming the S&P 500's gain of 0.74% [1] - The stock has decreased by 4.11% over the last month, which is better than the Medical sector's loss of 7.7% and the S&P 500's loss of 4.77% [1] Upcoming Earnings - Veeva Systems is expected to report an EPS of $1.74, representing a 16% increase from the same quarter last year [2] - The consensus estimate for revenue is $727.99 million, up 11.94% from the prior-year quarter [2] Full-Year Estimates - The full-year Zacks Consensus Estimates predict earnings of $7.30 per share and revenue of $3.05 billion, indicating year-over-year changes of +10.61% and +10.99%, respectively [3] - Recent revisions in analyst estimates are crucial as they reflect near-term business trends and convey analysts' confidence in the company's performance [3] Zacks Rank and Performance - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), shows that 1 ranked stocks have yielded an average annual return of +25% since 1988 [5] - Veeva Systems currently holds a Zacks Rank of 2 (Buy), with a recent consensus EPS projection moving 1.18% higher in the past 30 days [5] Valuation Metrics - Veeva Systems has a Forward P/E ratio of 31.2, which is a premium compared to its industry's Forward P/E of 24.39 [6] - The company has a PEG ratio of 1.19, significantly lower than the Medical Info Systems industry's average PEG ratio of 2.92 [6] Industry Overview - The Medical Info Systems industry, part of the Medical sector, has a Zacks Industry Rank of 56, placing it in the top 23% of over 250 industries [7] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]

Core Viewpoint - Veeva Systems Inc. is positioned for growth due to a strong product portfolio and strategic deals, despite concerns over rising operational costs [1][11]. Company Performance - Veeva's shares have increased by 4.9% year-to-date, outperforming the industry decline of 1.6% and the S&P 500's decrease of 8.9% [1]. - The company has a market capitalization of $35.88 billion and anticipates a growth rate of 26.2% over the next five years [2]. Growth Drivers - Veeva's robust product portfolio includes the next-gen Vault CRM, with 20 new customers acquired in the fourth quarter, particularly from small and mid-sized biotech firms [3]. - The introduction of AI-driven innovations such as CRM Voice Control and MLR Bot aims to enhance efficiency and compliance [4]. - Veeva's Data Cloud solutions are gaining traction, with Compass supporting over 100 brands and Pulse securing its first seven-figure deal [5]. - Strategic partnerships, including Boehringer Ingelheim's commitment to Veeva Vault CRM and a collaboration with Walgreens Boots Alliance, are expected to enhance market presence [6][8]. Financial Results - Veeva reported better-than-expected results for the fourth quarter of fiscal 2025, with both earnings and revenues exceeding consensus estimates [9]. - The company experienced a 20.6% year-over-year increase in general and administrative expenses, with total operating expenses rising by 9.3% [11][12]. Future Outlook - The Zacks Consensus Estimate for fiscal 2026 earnings per share has increased by 4 cents to $7.30, with first-quarter fiscal 2026 revenues expected to reach $727.9 million, reflecting an 11.9% year-over-year improvement [13].

Core Insights - The Medical Info Systems industry is experiencing significant growth driven by new federal policies and the $500 billion Stargate AI project initiated by Donald Trump, which aims to enhance AI infrastructure in healthcare [1][3][5] - The use of AI in the medical device market is projected to grow at a CAGR of 29.9% from 2026 to 2029, indicating strong demand for digital healthcare solutions [1][3] - The industry faces challenges due to escalating tariffs on imports, which could hinder the development of AI technologies essential for healthcare [2][5] Industry Overview - The Zacks Medical Info Systems industry includes companies that develop healthcare information systems, providing software and hardware solutions for secure access to clinical, administrative, and financial data [2] - The focus on patient satisfaction and data security has increased the demand for big data, cloud computing, blockchain, and AI technologies [2] Trends Influencing the Industry - AI is being increasingly adopted in the medical sector for drug synthesis, device creation, and diagnostics, with the global AI in healthcare market expected to reach $95.65 billion by 2025 [3] - Remote patient monitoring is growing rapidly due to the rise in wearable devices and telehealth services, with the global smart healthcare products market projected to grow from $145.9 billion in 2023 to $485.71 billion by 2032, at a CAGR of 12.78% [4] Financial Performance - The Zacks Medical Info Systems industry has underperformed the S&P 500 and the broader medical sector over the past year, with a decline of 6.6% compared to a 25.3% increase in the S&P 500 [9] - The industry is currently trading at a forward price-to-sales (P/S) ratio of 3.95, lower than the S&P 500's 4.56 and the sector's 2.50 [12] Investment Opportunities - Veeva Systems, with a Zacks Rank 1 (Strong Buy), is expected to see an 11% earnings growth for fiscal 2026 [18] - Hims & Hers Health, holding a Zacks Rank 2 (Buy), anticipates a 58% increase in earnings for 2025, driven by a growing subscriber base [22] - Butterfly Network, also with a Zacks Rank 2, projects a 5.9% improvement in earnings for 2025 [26]

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Veeva Systems (VEEV) .Veeva currently has an average brokerage re ...

Group 1: Vertex Pharmaceuticals - Vertex Pharmaceuticals is a leading drugmaker focused on developing therapies for diseases with high unmet needs, particularly cystic fibrosis (CF) [3][4] - The company has successfully developed the only drugs targeting the underlying genetic causes of CF, resulting in rapid revenue and earnings growth over the past decade [4] - Vertex's recent product launches include Casgevy, approved in 2023 for rare blood disorders, and Journavx, the first non-opioid oral pain inhibitor approved by the FDA [6] - The company aims to launch five new products by 2028, with a promising pipeline that includes potential treatments for kidney diseases [7] - Vertex has established itself as an innovative biotech company with a clear strategy, which could lead to strong stock returns amid market volatility [8] Group 2: Veeva Systems - Veeva Systems is a leader in providing cloud solutions specifically for life science companies, addressing their unique regulatory and operational needs [9][10] - The company has recorded excellent financial results due to its tailored solutions that ensure regulatory compliance and data management for clinical trials [11] - The life sciences industry is expected to continue growing, providing a stable market for Veeva Systems, which estimates a $20 billion addressable market [13] - Even achieving a 30% market penetration in the next five years could result in significant revenue growth for Veeva, potentially reaching $6 billion [14]

Veeva Systems (VEEV) shares rallied 3.7% in the last trading session to close at $217.04. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 9.6% loss over the past four weeks.The upside can be attributed to relief-rally across global markets following the announcement of a 90-day pause on tariff hike by the United States.This provider of cloud-based software services for the life sciences industry is expected t ...

Group 1: Eli Lilly - Eli Lilly is recognized for its innovative culture and strong market position in diabetes medicines, with significant breakthroughs over the years [3][4] - The company is expanding into the weight management market, with Zepbound leading and several promising candidates in development, including Orforglipron [5][6] - Eli Lilly has a robust network within the healthcare industry, including relationships with hospitals and payers, enhancing its competitive advantage [7] - The company has increased its dividend payouts by 200% over the past decade, positioning itself well for future growth as demand for lifesaving medicines rises [8] Group 2: Veeva Systems - Veeva Systems specializes in cloud services tailored for the life sciences industry, successfully carving out a niche in a competitive market [9][10] - The cloud computing industry is expected to continue growing, with advancements in artificial intelligence contributing to its long-term growth potential [11] - The life sciences industry is also projected to expand due to an aging population and increased demand for medical products, benefiting Veeva Systems [12] - Veeva Systems enjoys strong competitive advantages due to high switching costs for life science companies, ensuring its leadership in the niche market [13][14]

A month has gone by since the last earnings report for Veeva Systems (VEEV) . Shares have lost about 6.2% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Veeva due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.How Have Estimates Been Moving Since Then?It turns out, e ...