Veeva Systems Inc. [NYSE: VEEV] shares soared incredibly following the company’s healthy financial report for the first fiscal quarter of 2019. The trading on Thursday saw VEEV close at $154.30 following a 14.73% increase in value and a +19.81 relative change. The company with a massive market cap of $22.683 billion closed the trading on Wednesday at $134.49 but opened the session yesterday at $147.60.
VEEV ranged between $145.77 and $156.30 across the day. VEEV 52-week range is $73.41 – $156.93. The volume of shares that exchanged hands yesterday hit 6,218,957 but had an average volume of $1,232,714. The next earnings date on the shares is scheduled between August 21 2019 and August 26, 2019.
Investors are impressed by the first fiscal quarter financial report for Veeva Systems. The company reported a formidable 50 cents earnings per share from the previous earnings per share of 33 cents in the same period last year. The stock by far beat expert prediction of 44 cents earning per share for the Q1. Veeva Systems posted a net income of $73.45 million for its fiscal Q1 of 2020. This was a large margin in comparison with the net income in its fiscal Q1 of 2019.
The firm’s earnings for the fiscal Q1 of 2020 recorded a $71.17 million operating income. The current operating income is a huge step from $43.96 million that had been reported in the same period last year.
The company also announced a revenue of $244.75 million, which is great improvement from $195.55 million reported in the same fiscal quarter of last year. VEEV stock also surpassed the Wall Street’s estimated revenue of $238.68 million for the fiscal first quarter of 2020.
As far as investor expectations are concerned Veeva Syatems earnings per share should range between $2.01 and $2.03 while revenue will dance between $1.045 billion to $1.050 billion. Wall Street targets $1.91 earnings per share and places the revenue around $1.04 billion the fiscal year.
Analysts take on VEEV Stock
Brad Sills, an analyst with the Bank of America has maintained a Buy rating for Veeva Sytems but adjusted the target price from $140 to $160. Another analyst Stan Zlotsky of Morgan Stanley has sustained Equal-Weight for the stock but raised the price target from $144 to $152. Moreover, Brent Bracelin of KeyBanc Capital Markets has maintains Overweight on the stock but also lifted the target price from $133 to $172.
(NYSE/VEEV) Technical Picture
Looking at the 4-hour chart for stock, we see an asset that has sustained above the ascending trendline since the beginning of 2019. The consolidation towards the end of 2018 gave the buyers the strength to relentlessly push the limits. Moreover, the price has been trading above the 200 SMA 4-hour for nearly five months, which means that the stock has the potential to rise higher. The surge yesterday will be looking for a support in the coming sessions. As long as it can find support above $140 and/or the trendline, VEEV is likely to push for gains above $160 in the near-term.