Is Veeva Systems (VEEV) stock a good buy?

This is a step-by-step stock review to answer the question, is Veeva Systems (VEEV) stock a good buy?

This article will teach you how to use the 4Ms of investing. This will be a detailed walkthrough to show you how the 4Ms work and why they are important. If you are interested, you can log into Tykr to use the 4M Confidence Booster (Powered by OpenAI) which will allow you to complete a 4M Analysis in less than 60 seconds.

What are the 4Ms?

• MOS (Margin of Safety) – The MOS is the math part of investing which includes the Summary, Score, and MOS (Margin of Safety).
• Meaning – The meaning is the business model and how scalable the revenue streams are.
• Moat – The moat is how the business compares to other companies in the same Sector and Industry.
• Management – The management is the track record of the CEO.

What 4M score are we going for?

• 80-100 = High confidence – Yay! You should have high confidence buying this stock. It passes all 4M!
• 60-79 = Moderate confidence – Alert! There may be better stocks in the market. Only buy this stock if you truly believe the company will improve!
• 0-59 = Low confidence – Warning! There are better stocks in the market. Due to the low score, you should consider looking at other stocks.

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Table of Contents

The following links will direct you to key topics to help answer the question, is Veeva Systems (VEEV) stock a good buy?

1. Veeva Systems company history
2. MOS
3. Meaning
4. Moat
5. Management
6. 4M Score
7. Is Veeva Systems (VEEV) stock a good buy?

1. Veeva Company History

When investing in stocks, it’s important to know the company’s history. This helps us understand the various revenue streams, if they acquired other companies, how they grew through difficult times, and how they separated themselves from the competition.

• Founded in 2007: Veeva Systems was established by Peter Gassner in Pleasanton, California.
• Initial Focus: Aimed to provide cloud-based software solutions for the life sciences industry.
• First Product: Launched Veeva CRM, a customer relationship management system tailored for the pharmaceutical and biotech sectors.
• Rapid Growth: Quickly gained traction due to its industry-specific solutions and user-friendly platform.
• Public Listing: Went public in 2013, listed on the NYSE under the ticker symbol VEEV.
• Expanding Solutions: Introduced Veeva Vault, a content management platform for regulated industries, further expanding its product offerings.
• Industry Leadership: Recognized as a leader in cloud solutions for the life sciences industry, providing tools for clinical, regulatory, quality, and commercial operations.
• Global Expansion: Expanded operations globally, serving customers across North America, Europe, and Asia.
• Strategic Acquisitions: Acquired companies to enhance its product portfolio and technological capabilities.
• Innovative Technology: Invested in AI and data analytics to drive innovation and improve customer outcomes.
• Customer Success: Known for its strong customer relationships and commitment to client success.
• Sustainability Commitment: Focused on sustainable practices and corporate social responsibility initiatives.

Veeva Systems’ rise from a startup to a global leader in cloud-based solutions for the life sciences industry showcases its dedication to innovation, customer success, and industry-specific excellence. By continuously evolving and expanding its product offerings, Veeva remains at the forefront of transforming the life sciences sector.

2. MOS (Margin of Safety)

When investing in a company, the first step is to look at the financials. Fortunately, Tykr does this for us automatically. The higher the score, the stronger the financials and the safer the investment. The higher the MOS, the higher the potential returns you can make.

• Summary: Watch
• Score: 72
• MOS: 1%

To see the most up-to-date Summary, Score, and MOS, please log into Tykr.

3. Meaning

When investing in a company, it’s important to know how a company makes money. A mature business model has multiple streams of revenue which allow the company to weather downturns in the economy.

Here is how Veeva Systems makes money:

• Subscription Services: Charges for access to its cloud-based software solutions through subscription plans.
• Veeva CRM: Fees for using Veeva’s customer relationship management platform tailored for the life sciences industry.
• Veeva Vault: Charges for using Veeva’s content management platform for regulated industries, including document management and quality management.
• Professional Services: Fees for consulting, implementation, and training services.
• Data and Analytics Services: Charges for data analytics and insights services related to the life sciences industry.
• Integration Services: Fees for integrating Veeva’s software solutions with existing systems and applications.
• Support and Maintenance: Charges for ongoing technical support and software maintenance services.
• Event Management: Revenue from event management software solutions for the life sciences industry.
• Clinical Trial Management: Fees for clinical trial management software solutions and services.
• Regulatory Compliance Solutions: Charges for regulatory compliance software solutions and services tailored for the life sciences industry.
• Partner Programs: Revenue share from partnerships with other companies and organizations in the life sciences ecosystem.

Here are a few of the other companies that Veeva Systems has acquired over the years. This is important because a company will use a “Buy before build” philosophy to go to market faster and add additional streams of revenue. A company with more revenue streams has a more stable business model. Keep in mind, that most companies don’t build new software because it takes too long to go to market and generate revenue.

• Zinc Ahead
• Physicians World
• Qforma
• Crossix Solutions
• Zephyr Health
• Align Biopharma
• ArcheMedX

4. Moat

When investing in a company, it’s important to understand how a company ranks against other companies in the same sector and industry. Based on the Score, here is how Veeva Systems stacks up against other companies.

1. Doximity (DOCS) – 78
2. Veeva Systems (VEEV) – 72
3. Teladoc (TDOC) – 50
4. Evolent Health, Inc.(EVH) – 45
5. Phreesia (PHR) – 45
6. American Well Corporation (AMWL) – 17

To see the most up-to-date Summary, Score, and MOS and each stock, please log into Tykr.

5. Management

When investing in a company, it’s important to understand who the CEO is, what they have accomplished in the past, and how they have helped this company grow. Good leaders typically have stronger cultures, less turnover, and better returns in the stock market.

• Founding Veeva Systems: Peter Gassner founded Veeva Systems and has led the company from its inception to become a leader in cloud-based software for the life sciences industry.
• Growth and Innovation: Under his leadership, Veeva has grown significantly, expanding its product offerings and customer base.
• Public Benefit Corporation: Peter transformed Veeva into a Public Benefit Corporation, balancing stakeholder interests and promoting social responsibility.
• Customer Success Focus: He emphasized a strong focus on customer success, ensuring high levels of customer satisfaction and loyalty.
• Industry Leadership: Peter positioned Veeva as a thought leader and innovator in the life sciences software industry.

6. 4M Score

All of our homework on this company leads up to the 4M Score. A lot of investors only look at the numbers. Yes, it’s important to look at the first M (MOS) which is the math part of investing but it’s also important to look past the numbers and also look at the Meaning, Moat, and Management. If all 4Ms pass, we should have high confidence in buying this stock.

What 4M score are we going for?

• 80-100 = High confidence – Yay! You should have high confidence buying this stock. It passes all 4M!
• 60-79 = Moderate confidence – Alert! There may be better stocks in the market. Only buy this stock if you truly believe the company will improve!
• 0-59 = Low confidence – Warning! There are better stocks in the market. Due to the low score, you should consider looking at other stocks.

👉 The 4M Score of Veeva Systems is ?.

To see the most up-to-date 4M Score, please log into Tykr.

7. Is Veeva Systems (VEEV) stock a good buy?

Some of the top questions investors can have is Veeva Systems (VEEV) stock a good buy or should I buy Veeva Systems (VEEV) stock?

Veeva Systems stands out as a promising investment due to its leadership in cloud-based solutions for life sciences. Specializing in software tailored to pharmaceutical, biotech, and healthcare companies, Veeva streamlines critical processes such as clinical trials and regulatory compliance. Its reputation for reliability and innovation has led to strong partnerships with industry giants. With the life sciences sector expanding rapidly, Veeva is poised for sustained growth. Its robust financial performance and consistent revenue growth underscore its investment potential. Overall, Veeva Systems offers a compelling opportunity for investors seeking exposure to the thriving life sciences industry.

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To truly know if Veeva Systems is a good stock to buy or sell, we recommend you log into Tykr. Within seconds you can see the Summary, Score, MOS, and 4M Score.

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