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Investing.com - Truist Securities raised its price target on Veeva Systems (NYSE:VEEV) to $275.00 from $268.00 on Thursday, while maintaining a Hold rating on the stock. The stock has shown impressive momentum, delivering a 47.27% return over the past year and currently trading near its 52-week high of $296.72.
The price target increase follows what Truist described as a strong "Beat & Raise" second-quarter performance from the life sciences software provider, though the firm noted that Veeva’s guidance continues to assume no significant changes in the near-term macroeconomic environment.
Truist highlighted progress in Veeva’s Vault CRM product adoption, reporting that seven of the top 20 pharmaceutical companies have committed to the platform, with two additional verbal commitments. This compares favorably to Salesforce, which currently has two top 20 commitments and one verbal commitment. According to InvestingPro, Veeva maintains excellent financial health with a "GREAT" overall score, supported by strong profitability metrics and solid cash flow generation.
The firm noted that Veeva’s second-half outlook reflects some deceleration relative to the first half, which the company attributed to services revenues being more front-end loaded than expected and tough year-over-year comparisons for its Crossix business in the second half.
Despite the positive quarterly performance and raised price target, Truist maintained its Hold rating on Veeva Systems stock.
In other recent news, Veeva Systems has reported strong financial results, prompting several analysts to raise their price targets for the company. UBS increased its price target to $310, citing a $20 million revenue beat in the second quarter, which was a 2.6% surprise above analyst forecasts. Piper Sandler raised its price target to $355, highlighting a $22 million revenue beat and an increase in Veeva’s full-year guidance by $42 million. TD Cowen adjusted its target to $297, noting the company’s solid second-quarter results driven by strength in its Crossix Audience segment and improving subscription growth in research and development.
Stifel increased its price target to $320, following Veeva’s report of 17% revenue growth and a 22% rise in earnings per share, surpassing estimates by 5%. Evercore ISI set its price target at $295, with Veeva’s total revenue reaching $789.1 million, representing 17% year-over-year growth, although billings slightly missed consensus expectations. These developments reflect a positive outlook for Veeva Systems, as indicated by the various analyst firms’ assessments.
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