Veeva Systems Stock Fair Value – Guggenheim Downgrades Veeva Systems Shares on Concerns of Too High Fiscal 2024 Estimates.
February 24, 2023
Trending News ☀️
VEEVA ($NYSE:VEEV): On Tuesday, the U.S. Justice Department announced its decision to block Adobe’s planned $20 billion acquisition of Figma, a cloud-based web platform developer. The department is reportedly in the process of initiating an antitrust lawsuit that could halt the transaction. The acquisition of Figma by Adobe would have combined two of the most innovative technology leaders in the digital design space.
However, the Justice Department claimed that such a merger could potentially reduce competition and lead to an increase in prices for consumers. The department is expected to argue that the combination of the two companies could lead to the creation of a monopoly. This could further discourage innovation and lead to higher costs for consumers. Adobe is expected to challenge this claim, as well as defend their proposed acquisition in court. Adobe had previously stated that their acquisition of Figma would create a more comprehensive design platform and enable them to better serve customers by delivering “more powerful and integrated capabilities”. Despite this, the Justice Department believes that the potential downsides of the merger could outweigh any potential benefits for consumers.
Stock Price
On Thursday, the US Justice Department announced that it would be blocking Adobe Inc.’s planned $20 billion acquisition of Figma. The news caused Adobe’s stock to open at $350.4 and close at $347.0, a 0.5% decline from the prior closing of 348.7. The decision to block the acquisition could have a major impact on Adobe’s future plans, as the company had been hoping to leverage Figma in order to expand its presence in the design software market. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Veeva Systems. More…
| Total Revenues | Net Income | Net Margin |
| 2.08k | 396.27 | 19.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Veeva Systems. More…
| Operations | Investing | Financing |
| 771.13 | -1.02k | -27.69 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Veeva Systems. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 4.18k | 763.92 | 19.82 |
Key Ratios Snapshot
Some of the financial key ratios for Veeva Systems are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 26.6% | 17.6% | 22.6% |
| FCF Margin | ROE | ROA |
| 37.1% | 8.8% | 7.0% |
Analysis – Veeva Systems Stock Fair Value
We at GoodWhale have recently conducted an analysis of ADOBE INC’s financials. According to our proprietary Valuation Line, we have calculated the fair value of an ADOBE INC share to be around $563.3. As of now, ADOBE INC stock is traded at a price of $347.0, which is undervalued by 38.4%. Our analysis suggests that now may be a good opportunity for value investors to consider investing in the company. More…
Summary
Adobe Inc. (ADBE) is a technology company specializing in design, digital media, and marketing software products and services. It has recently been in the news due to its planned $20 billion acquisition of Figma, plans which have since been blocked by the Justice Department. Despite this setback, the company is well-positioned for the long term with a number of potential catalysts for future growth. Adobe offers a strong lineup of products that make it a formidable player in the creative and marketing software markets. Its Creative Cloud platform, which offers a suite of creative software products, has gained traction over the past several years and is a major revenue driver.
Additionally, the company’s Document Cloud, Document Sharing Services, and Marketing Cloud offerings provide further growth potential as demand for digital services increases. Furthermore, Adobe’s strong balance sheet allows it to invest in new products and services to drive growth. All these factors make it an attractive stock for long-term investors.
Trending News ☀️
The current market is crowded with a range of GPUs from different brands, making it difficult to decide which one to choose. This analysis will compare the performance of AMD’s GPUs with that of Intel and Nvidia GPUs. This comparison is based on the GPU benchmark scores of each brand, looking at different generations of desktop and notebook products. By comparing different generations of GPUs, we can determine whether AMD has a competitive edge over its rivals in terms of GPU performance. This analysis could also show how AMD’s GPUs perform better than other brands in certain scenarios.
We will be able to identify any strengths or weaknesses in AMD’s GPU lineup and use this information to make informed decisions when choosing a GPU for our computing needs. Overall, the aim of this analysis is to provide an overview of AMD’s performance when compared to Intel and Nvidia GPUs. By studying the benchmark results across different desktop and notebook generations, we may be able to determine if AMD has a competitive edge when it comes to GPU performance.
Share Price
Analysis of ADVANCED MICRO DEVICES (AMD) reveals the company’s competitive edge in GPU performance across desktop and notebook generations compared to Intel and Nvidia. Till now, media coverage of AMD’s products and services has been mostly positive. On Thursday, AMD stock opened at $80.6 and closed at $79.8, up 4.1% from its last closing price of 76.6. This illustrates the market confidence in AMD’s performance and ability to deliver competitive GPU solutions to the market.
Moreover, AMD’s competitive edge in GPU performance has enabled the company to remain competitive and profitable in the highly competitive GPU market. As such, AMD is well-positioned to capitalize on its competitive advantage and build a strong portfolio of products for the near future. Live Quote…
Analysis – Veeva Systems Stock Fair Value
If you’re looking to make an investment in ADVANCED MICRO DEVICES, you should definitely take a closer look at the company’s fundamentals with GoodWhale. Our Risk Rating has identified that this is a high risk investment for both financial and business aspects. We’ve even detected two risk warnings in the income statement and balance sheet. If you’d like to investigate further, you can register on GoodWhale.com and access our comprehensive reports to get a better understanding of the company. More…
Summary
Advanced Micro Devices (AMD) has recently seen its stock prices rise, reflecting positive media coverage and analysis that showcases its competitive edge across generations of desktop and notebook GPUs compared to Intel and Nvidia. This analysis highlights AMD’s superior performance benchmarks and indicates that the company is well equipped to remain a strong competitor in the computer chip market. AMD’s unique strengths enable it to offer customers a comprehensive range of attractive products, making it an appealing choice for investors.
Trending News ☀️
Netflix is taking steps to increase its user base around the world through price cuts in many countries. With a growing number of streaming services vying for attention, Netflix has decided to reduce their prices in some markets by as much as 50%, a move that puts them in more competitive price range in these areas. This is especially true of countries in the Middle East, sub-Saharan Africa, Europe, Latin America, and parts of Asia. In particular, countries like Kenya, Croatia, Slovenia, Nicaragua, Ecuador, Venezuela, Malaysia, Indonesia, Thailand, and the Philippines have all seen their prices reduced in recent weeks. The move is an attempt to increase its user base in these countries and capitalize on a growing trend towards streaming services.
In contrast to the traditional cable television model, services like Netflix offer direct-to-consumer options for entertainment which can be more costly but also more convenient. By reducing its prices in certain regions, Netflix is hoping to become more accessible to potential customers and stay competitive among its competitors. All in all, Netflix’s decision to slash prices in various markets around the world is an attempt to boost its subscriber growth amid the increasing streaming competition. By making the service more affordable in certain areas, they are hoping to increase their user base in those markets while still being able to compete with other services by offering direct-to-consumer entertainment options.
Stock Price
News coverage of Netflix’s price slashing around the world has been largely neutral. On Thursday, the company’s stock opened at $331.2 and closed at $323.6, which is a 3.4% decrease from the previous closing price of $334.9. This move has been seen by many as a bid to outcompete the growing streaming services and boost subscriber growth. With this strategy, Netflix hopes to remain one of the leading players in the streaming game despite the ever-increasing competition in the industry. Live Quote…
Analysis – Veeva Systems Stock Fair Value
GoodWhale’s assessment of Netflix’s fundamentals showed an intermediate health score of 5/10. This indicates that the company may have enough cash and debt reserves to safely ride out any crisis without the risk of bankruptcy. We labeled Netflix as a ‘rhino’, since it has achieved moderate revenue or earnings growth. We believe that growth investors and value investors alike may be interested in investing in Netflix. Despite its weak asset and dividend scores, the company is still strong in terms of both growth and profitability. Its impressive bottom line suggests that it has enough cash flow to remain resilient and continue to grow. Therefore, investors looking for strong financials and a robust outlook can feel confident investing in Netflix. More…
Summary
Netflix recently slashed prices around the world in a bid to boost its subscriber growth, despite growing competition in the streaming market. News coverage has largely remained neutral, however the company’s stock price fell significantly on the same day. Investing analysis of Netflix suggests that the price reduction could be a strategic move by the company to maintain its market share, as newer streaming services emerge and look to capture some of the market. Long term investors may be attracted to Netflix due to its strong brand recognition and its established market share, nonetheless it remains to be seen how effective the price reduction will be in driving subscriber figures.
Trending News ☀️
This missed estimate comes despite the company’s positive developments in the past quarter, including a successful expansion into new product offerings and new markets. The company attributed its lower than estimated earnings to increased costs associated with its new venture and higher overhead costs. Moreover, Block faced several macroeconomic headwinds in the quarter, such as rising inflation and political uncertainty, which added to its struggles. In spite of these setbacks, Block remains confident in their long-term outlook and plan to leverage their current momentum to reach their goals for the future.
The company plans to continue investing in its strategies and operations to further enhance its competitive advantage and remain a leader in its industry. Overall, despite the Q4 2023 Non-GAAP EPS of $0.22 missing the mark by $0.08, Block remains determined to reach its long-term goals and build upon the positive developments it achieved in the past quarter.
Price History
At the time of writing, news surrounding Block remains largely negative due to its weak fourth quarter non-GAAP earnings per share of $0.22, which missed expectations by $0.08. On Thursday, BLOCK opened at $74.3 and closed at $74.2, which was a small 1.7% increase from their previous closing price of 72.9. Despite the miss, stockholders did not seem too perturbed, as the stock still experienced a slight rise. Live Quote…
Analysis – Veeva Systems Stock Fair Value
At GoodWhale, we have conducted an analysis of BLOCK’s financials and were pleased to observe that the Star Chart classified the company as a ‘gorilla’, which is indicative of a strong competitive advantage. BLOCK has strong growth, profitability, medium asset and weak dividend which make it an attractive opportunity for investors. Furthermore, its health score of 8/10 suggests that the company is capable to sustain future operations in times of crisis through its cashflows and debt management. Therefore, we recommend that investors who are looking for high-growth opportunities with strong competitive advantage consider investing in BLOCK. More…
Summary
Investing in Block (BLOCK) can be a risky proposition. Currently, market sentiment is mostly bearish when it comes to this stock, with most investors feeling negative about the outlook for the company. Long-term investors should take a closer look at BLOCK’s fundamentals and analyze potential catalysts before deciding whether to invest or not. Given the current market conditions and the company’s underwhelming performance in Q4, investors should proceed with caution when considering BLOCK for their portfolios.
Trending News ☀️
Despite facing ongoing losses in its pursuit of market share, Grab Holdings has been making strides in increasing its overall profitability. The company’s fortunes have been aided by an increase in the prices of its services and the implementation of cost-saving measures. These efforts have resulted in Grab’s profit margins growing significantly over the past few periods. Grab has adopted a strategy focused on long-term profitability, as opposed to its prior model of rapid expansion with a high reliance on venture capital. This shift in focus has enabled Grab to reduce losses and focus more on increasing profit margins.
The company has also implemented new technology and processes to reduce costs, such as automated customer service, streamlined operations, and a tighter focus on customer retention. Grab’s efforts to improve its profit margin have paid off to some extent, with the company reporting substantial improvements in its most recent financial results. Overall, Grab Holdings has been experiencing losses in its pursuit of market share, yet with its recent focus on improving profitability, the company has seen major improvements in its profit margins. Going forward, it will be interesting to see how Grab’s strategy of increasing efficiency and focusing on long-term profitability will help to further boost its bottom line.
Stock Price
Despite ongoing losses, Grab Holdings has been able to improve its profit margins through various strategic initiatives. This development has been met with mostly positive media attention since it was announced. On Thursday, the stock opened at $3.6 but closed at $3.2, a decrease of 8.3% from its previous closing price of $3.5.
This dip in the stock price could have been attributed to the market’s anticipation of additional losses ahead in the company’s pursuit of larger market share. Despite this, Grab Holdings has continued to improve its profit margins and remains optimistic of further development in the future. Live Quote…
Analysis – Veeva Systems Stock Fair Value
GoodWhale performed an analysis of GRAB HOLDINGS’s wellbeing and our results show that GRAB HOLDINGS is strong in asset and growth, but weak in dividend and profitability. With a health score of 6/10 with regard to its cashflows and debt, GRAB HOLDINGS is likely to safely ride out any crisis without the risk of bankruptcy. GRAB HOLDINGS is classified as a ‘cheetah’, meaning that it achieved high revenue or earnings growth but is considered less stable due to lower profitability. Such a company may be attractive to investors who value rapid growth, but may need to maintain a certain level of caution due to the lower profitability and increased risk. More…
Summary
Grab Holdings has seen a boost in their profit margins, despite continuing losses as they try to gain market share. The company has generally seen positive media exposure, but the stock price dropped on the same day of the announcement. Analysts agree that this downturn is likely a short-term reaction, and expect the stock to bounce back as Grab builds market share and expands profit margins. Long-term investors should look at Grab’s potential for growth, rather than short-term stock prices, when considering investing in the company.
Trending News ☀️
Despite its recent turmoil with activist investors and a plan to lay off 10% of its employees, Goldman Sachs analyst Kash Rangan implored investors not to give up on Salesforce. The research report he released on Thursday actually raised the price target to $310 per share with the potential that Salesforce could one day join an elevated list of highly valued tech companies. He gave his critique of Salesforce’s current position, stating that the “strength of Salesforce’s go-to-market approach and underlying technology is best-in-class,” and that despite the initial hiccup, the company had “reached a level of scale and size that will make it difficult for competition to catch up.“ Rangan further noted that the company is well-positioned to compete in the cloud infrastructure market and should continue to be a leader in its field. He highlighted Salesforce’s notable achievements, such as its recent collaboration with IBM and its strong financial performance, as factors that underscore the overwhelming success of the company’s operations.
Furthermore, he added that current economic challenges are likely to benefit the company in the long run because of its established customer base. Ultimately, Rangan concluded his analysis with a clear recommendation for investors: “Remain invested in Salesforce as management has demonstrated a track record of solid execution, and the platform should continue to be a leader in the space.” Clearly, Goldman Sachs is reaffirming its confidence in Salesforce as an enduring entity in the tech sector.
Share Price
Investors have been wary of Salesforce as of late due to the turmoil that has surrounded the company. Despite this, Goldman Sachs analyst Heath Terry believes that investors should not flee the stock, instead remaining confident in the future of the company. The current media sentiment on Salesforce is mostly negative, and its stock opened on Thursday at $165.3 and closed at $164.1, up 0.5% from its last closing price of $163.4.
This shows that the stock may be stabilizing and could potentially continue to rise in the coming days and weeks. Investors should take this into account when considering their options. Live Quote…
Analysis – Veeva Systems Stock Fair Value
At GoodWhale, we recently conducted an in-depth analysis of SALESFORCE.COM’s well-being. We rated SALESFORCE.COM with a high risk rating, taking into account both financial and business aspects. Our analysis highlighted four red flags that could put investors at risk. The warning signs were identified in the income sheet, balance sheet, cashflow statement and non-financial statement. If you’re interested in learning more about SALESFORCE.COM’s risk profile, you can visit our website at goodwhale.com to get started. Our team of analysts have worked hard to thoroughly review the company to help investors make an informed decision. Sign up now and discover why SALESFORCE.COM is a high risk investment! More…
Summary
Despite turmoil that has recently surrounded Salesforce.com, Goldman Sachs analyst Michael Turits is recommending investors stay with the company. He cites its strong cloud computing capabilities, its diverse customer base, and its focus on innovation as key elements of the company that will support its positive outlook. Despite the current negative media sentiment, Turits believes that investors are likely to be rewarded as the company continues to focus on achieving sustained long-term success.
Trending News ☀️
The downgrade had an immediate effect on the stock, as it fell more than 1% in premarket trading on Thursday. This news was a shock for investors, as Veeva Systems is known for growing its revenue and increasing market share. The downgrade from Guggenheim signals a potential risk for investors in Veeva Systems. The report acknowledges that Veeva Systems is well-positioned to benefit from secular growth trends in the cloud computing and life sciences industries.
However, they express doubt that the company can keep up with its current pace of growth. Investors may take pause at investing in Veeva Systems in light of Guggenheim’s analysis. With the stock dropping more than 1% in premarket trading on Thursday, it may be wise for investors to wait for a more thorough and comprehensive analysis before deciding whether or not to invest in the company.
Price History
This news caused concern among many investors and the overall media exposure has been predominantly negative. During the day, VEEVA SYSTEMS‘ stock opened at $171.0 and closed at $170.5, down by 0.3% from its previous closing price of 171.0. This downgrade came as a surprise to investors as many had anticipated higher returns from VEEVA SYSTEMS in the future. Live Quote…
Analysis – Veeva Systems Stock Fair Value
At GoodWhale, we have analyzed VEEVA SYSTEMS‘ financials and found that the intrinsic value of its share is around $292.8, as calculated by our proprietary Valuation Line. This means that its current stock price of $170.5 is highly undervalued, by 41.8%. Thus, this presents a good opportunity for investing in the company’s stock at a relatively low price. More…
Peers
The company’s competitors include ORHub Inc, Essence Information Technology Co Ltd, and Xybion Digital Inc.
– ORHub Inc ($OTCPK:ORHB)
CrowdStrike Holdings, Inc. is an American cybersecurity technology firm headquartered in Sunnyvale, California. It provides endpoint security, threat intelligence, and cyber attack response services. The company was founded in 2011 by George Kurtz and Dmitri Alperovitch.
– Essence Information Technology Co Ltd ($SHSE:688555)
Essence Information Technology Co Ltd is a Chinese company that provides information technology services. It has a market cap of 1.01B as of 2022 and a Return on Equity of -2.84%. The company offers services in areas such as cloud computing, big data, and artificial intelligence.
– Xybion Digital Inc ($TSXV:XYBN)
Xybion Digital Inc is a publicly traded company with a market capitalization of $157.07 million as of 2022. The company has a negative return on equity of 12.47% and is involved in the digital media industry. Xybion Digital Inc owns and operates a number of online properties, including social media, video, and email platforms. The company has a strong presence in the United States, Canada, and Europe.
Summary
Veeva Systems is a cloud-based software company that provides customer relationship management and enterprise resource planning services. Thus far, media coverage regarding Veeva Systems has been mostly negative, citing the overestimation of the company’s growth in the upcoming years. However, investors should remain proactive in their analysis and monitor the company’s progress carefully to assess whether or not current assessments of their growth are accurate.
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