Why Veeva Systems Stock Is Surging Today

Shares of Veeva Systems (NYSE: VEEV) are posting big gains in Thursday's trading despite broader sell-offs for the tech sector. The life-sciences software company's stock was up 10.2% as of 12:30 p.m. ET today.

Veeva Systems reported its fourth-quarter results after the market closed yesterday and posted better-than-expected sales and earnings results. The company's outlook also topped Wall Street's expectations.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

Veeva stock rises on a strong Q4

Adjusted earnings per share (EPS) of $1.74 on sales of $720.89 million topped the average analyst estimate's call for EPS of $1.58 on sales of $699.39 million.

Revenue rose 14.3% year over year in the fourth quarter, and adjusted EPS was up 26% compared to last year's quarter. It was a strong period for the business, wit subscription services revenue climbing 17% year over year to $608.6 million, helping to power substantial sales and earnings beats.

Earnings guidance came in significantly ahead of Wall Street's targets

For the first quarter, Veeva guided for sales between $726 million and $729 million, beating the average Wall Street forecast for sales of $725.82 million. Even better, adjusted EPS is projected to come in between $1.74 and $1.75, beating the average analyst forecast for $1.62.

And while the company's full-year target for revenue between $3.04 billion and $3.055 billion fell slightly short of the consensus forecast of $3.06 billion, guidance for adjusted EPS of roughly $7.32 came in far better than Wall Street's target for $6.97. Momentum looks strong as growth for subscription services is powering expansion and supporting strong margins.

Don’t miss this second chance at a potentially lucrative opportunity

Ever feel like you missed the boat in buying the most successful stocks? Then you’ll want to hear this.

On rare occasions, our expert team of analysts issues a “Double Down” stock recommendation for companies that they think are about to pop. If you’re worried you’ve already missed your chance to invest, now is the best time to buy before it’s too late. And the numbers speak for themselves:

• Nvidia: if you invested $1,000 when we doubled down in 2009, you’d have $304,161!*
• Apple: if you invested $1,000 when we doubled down in 2008, you’d have $44,694!*
• Netflix: if you invested $1,000 when we doubled down in 2004, you’d have $534,395!*

Right now, we’re issuing “Double Down” alerts for three incredible companies, and there may not be another chance like this anytime soon.

Continue »

*Stock Advisor returns as of March 3, 2025

Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Veeva Systems. The Motley Fool has a disclosure policy.