Veeva Systems (VEEV - Free Report) closed at $141.44 in the latest trading session, marking a +1.3% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.16%. At the same time, the Dow added 0.01%, and the tech-heavy Nasdaq lost 0.26%.
Heading into today, shares of the provider of cloud-based software services for the life sciences industry had gained 5.87% over the past month, outpacing the Computer and Technology sector's loss of 0.03% and the S&P 500's loss of 0.19% in that time.
Wall Street will be looking for positivity from VEEV as it approaches its next earnings report date. This is expected to be May 29, 2019. On that day, VEEV is projected to report earnings of $0.45 per share, which would represent year-over-year growth of 36.36%. Meanwhile, our latest consensus estimate is calling for revenue of $238.68 million, up 22.05% from the prior-year quarter.
VEEV's full-year Zacks Consensus Estimates are calling for earnings of $1.94 per share and revenue of $1.03 billion. These results would represent year-over-year changes of +19.02% and +19.74%, respectively.
Investors should also note any recent changes to analyst estimates for VEEV. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate remained stagnant within the past month. VEEV is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that VEEV has a Forward P/E ratio of 72.09 right now. For comparison, its industry has an average Forward P/E of 52.58, which means VEEV is trading at a premium to the group.
We can also see that VEEV currently has a PEG ratio of 4.87. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 3.32 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.