Veeva Systems price target raised to $297 from $284 at TD Cowen

Investing.com - TD Cowen raised its price target on Veeva Systems (NYSE:VEEV) to $297 from $284 while maintaining a Hold rating on the stock. Currently trading at $277.31, Veeva’s stock has shown remarkable strength with a 39.64% gain year-to-date, according to InvestingPro data.

The research firm cited Veeva’s solid second-quarter results, which were driven by continued strength in Crossix, particularly in its Audience segment, and improving subscription growth in the company’s research and development division. The company maintains excellent financial health with an InvestingPro Financial Health Score of "GREAT," supported by strong liquidity and minimal debt.

TD Cowen noted that despite the positive quarterly performance, Veeva shares declined in after-market trading, likely due to a slight miss in billings for the second quarter and third-quarter guidance that fell short of expectations.

The analyst firm expressed a more positive outlook following the earnings call, highlighting continued momentum in Crossix, a potential inflection point in R&D subscription growth, multiple Vault CRM wins, and the possibility that IQV could unlock Commercial and R&D products.

Based on its discounted cash flow analysis, TD Cowen revised its fiscal year 2026/2027 revenue estimates to $3.14 billion/$3.55 billion from $3.10 billion/$3.49 billion, and adjusted operating income projections to $1.39 billion/$1.58 billion from $1.36 billion/$1.58 billion. With current revenue growth of 14.78% and a P/E ratio of 61.37, investors seeking deeper insights into Veeva’s valuation and growth prospects can access comprehensive analysis through InvestingPro’s detailed research reports.

In other recent news, Veeva Systems reported strong fiscal second-quarter results, with revenue reaching $789.1 million, a 17% increase year-over-year, surpassing consensus estimates of $768 million. The company’s earnings per share also exceeded expectations, coming in at $1.99 compared to the consensus estimate of $1.90. Adjusted operating income rose 26% year-over-year to $352.6 million, further highlighting the company’s robust performance.

Following these results, several analyst firms have adjusted their price targets for Veeva Systems. Stifel raised its price target to $320, maintaining a Buy rating, while Evercore ISI increased its target to $295, keeping an "In Line" rating. Raymond James and BTIG both raised their price targets to $340, with Raymond James citing significant progress in key initiatives, including major wins among top pharmaceutical companies. Baird also adjusted its price target to $314, noting a strong outlook for the company. These developments reflect a positive sentiment among analysts regarding Veeva Systems’ recent performance and future prospects.

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