Veeva Systems Inc. (NYSE: VEEV)

Veeva Systems Inc. (NYSE: VEEV) is a leading supplier of software solutions for the life sciences industry.

Recommendation Rationale – Sell at USD 232.24 

• The markets in which VEEV participates are significantly competitive. Therefore, the company is exposed to the risk of increased competition, which could impact its business and operating results. Furthermore, over the longer term, the company’s revenue growth rates are likely to fluctuate from YoY and might witness a decline.
• The sales to customers outside the US or with international operations expose VEEV to risks related to the international sales.
• The company’s share price is trading close to its R1 level recommended on January 15, 2025 (closing price of 14^th January). Therefore, there can be a possible decline from the specified resistance levels.

VEEV’s Daily Price Chart 

Fundamental Valuation

Considering the increasing volatility over global equity market, inflationary pressures, geopolitical tensions, etc. the company’s stock might trade at slight discount. For the valuation, peers such as Definitive Healthcare Corp (DH.OQ), Doximity Inc (DOCS.N), etc. were considered.

Given its current trading levels, and risks associated, it is prudent to book profit at the current levels.

Hence, a ‘Sell’ rating has been provided on the stock at the closing price of USD 232.24 per share as on January 28, 2025

Veeva Systems Inc. (NYSE: VEEV) is part of Kalkine’s Global Big Money Report. 

Markets are trading in a highly volatile zone currently due to certain macro-economic issues and geopolitical issues prevailing geopolitical tensions. Therefore, it is prudent to follow a cautious approach while investing. 

Note 1: Past performance is neither an indicator nor a guarantee of future performance. 

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is 28 January 2025. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above. 

Note 4: Kalkine reports are prepared based on the stock prices captured either from REFINITIV or Trading View. Typically, REFINITIV or Trading View may reflect stock prices with a delay which could be a lag of 25-30 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice. 

Technical Indicators Defined: -

Support: A level at which the stock prices tend to find support if they are falling, and downtrend may take a pause backed by demand or buying interest.  

Resistance: A level at which the stock prices tend to find resistance when they are rising, and uptrend may take a pause due to profit booking or selling interest. 

Stop-loss: In general, it is a level to protect further losses in case of any unfavourable movement in the stock prices.