VEEV US S&P 500Russell 1000 Earnings call
Veeva Systems (VEEV) · Q2 2026 results and valuation
Share price: $304.77 · 2026-11-11
Veeva Systems provides cloud software, data, and business consulting for the global life sciences industry. Its products support pharmaceutical, biotechnology, and medical device companies in areas such as research and development, quality, and commercialization. The company operates globally to help these organizations manage clinical trials, regulatory information, and marketing activities. Source: 10-K annual report (2026-03-20)
Results Q2 2026 vs Q1 2026 · previous quarter · fiscal Q2 2027 · published 26 Aug 2026 and 3 Jun 2026
Net income up 4.8% on the previous quarter. Management sounded restrained, in its script and in answers to analysts.
1 · Numbers
+4.8%
Net income vs Q1 2026
Net income 273.4M vs 260.9M
Revenue +5.1%
2 · How management spoke
Restrained
Less upbeat than 79% of company calls
Answers to analysts: typical, in line with the script.
Similar to last call.
3 · What stood out
Veeva Systems introduced a simplified technical stack and pricing approach featuring a cost of $50 a user a month to provide productivity.
Valuation
Is Veeva Systems undervalued?
Reverse DCF on net income from the last full fiscal year (no meaningful free cash flow: a bank, insurer or a year of negative cash flow) (2026-01-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At 10.0% growth a year (3-year revenue growth), the model's fair value is $172.49 a share — the stock trades 77% above it. Today's price assumes 19.2% growth a year.
Current price
$304.77
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+19.2% for 10 yrs
Fair value / share
$172.49
Buy below
$129.37
Price vs fair value
Overvalued 77%
Price vs buy-below price
Overvalued 136%
Read between the lines
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Figure
Total revenue reached $928 million with non-GAAP operating income of $416 million, establishing the core financial results for the quarter.
Source quote
“Total revenue in the quarter was $928 million with non-GAAP operating income of $416 million.”
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Key theme
Customers will pay monthly overage charges on the overage.
Source quote
“So there are the overage charges that you will pay monthly on the overage.”
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Key theme
The company reported its best CRM quarter ever, indicating a significant milestone in its CRM business performance.
Source quote
“It was our best CRM quarter ever.”
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Key theme
The company expects certain costs to remain very small on the Veeva scale because keeping them low is necessary when working with early customers and iterating an early product.
Source quote
“That's very small on the Veeva scale. It's not something that Brian, our CFO, notices really on the Veeva scale because you have to keep that very small when you're working with early customers and you're iterating an early product.”
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Key theme
The selling cycle is expected to be easier because IT is not involved in agentic labor.
Source quote
“First off, it's actually going to be an easier selling cycle because IT is really not involved in the agentic labor.”
3 more
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Figure
Growth through 2030 and beyond is being driven by a different set of products, including EDC, eCOA, RTSM, Safety, and LIMS.
Source quote
“And a lot of the growth as you look out over the next few years to 2030 and beyond is being driven by a different set of products, EDC, eCOA, RTSM, Safety, and LIMS.”
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Key theme
Veeva reports that China is a profitable and growing market that provides synergy for global customers in the U.S., Japan, and Europe who require a global team for China operations.
Source quote
“China is good business for us, and we're proud to do that in China, and it's profitable for us there and it's growing, but it's also synergistic with our global business because our global customers when they have their headquarters in the U.S. or Japan or Europe, they want a team, a global Veeva team that can help them with China also.”
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Figure
One of VEEV's top 20 CRM customers turned on AI for their entire field force this quarter, marking a significant milestone for the company.
Source quote
“We had a big milestone in CRM this quarter where one of our top 20 turned AI on in CRM for their entire field force.”
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“Execution was exceptional this quarter as we made strong progress in many key areas.”
“Please refer to the risks listed in our earnings release and the risk factors included in our most recent filing on Form 10-Q.”
“But it's about customer success and the industry success and driving our application business.”
Full figures
USD · SEC EDGAR XBRL (10-Q, period end 2026-07-31)
| Metric | Q2 2026period end 2026-07-31 | Q1 2026period end 2026-04-30 | Change | Q2 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 928.0M | 882.9M | +5.1% | 789.1M | +17.6% |
| Gross profit | 696.0M | 662.0M | +5.1% | 593.8M | +17.2% |
| Operating income | 275.0M | 273.1M | +0.7% | 195.9M | +40.4% |
| Net income | 273.4M | 260.9M | +4.8% | 200.3M | +36.5% |
| EPS | 1.66 | 1.57 | +5.7% | 1.19 | +39.5% |
| P/E today 49.8 | 33.4 | 27.7 | +5.7 | 58.5 | −25.1 |
Topics
Most discussed now
- New Veeva Systems' focused acquisition strategy is working, bringing great people and capabilities to Veeva.
- New If Veeva Systems is going to do an acquisition there, it would be more for talent acquisition and not for product because...
- New Veeva Systems has its China CRM suite, and that's gaining market share that's written on the China tech stack, et cetera.
Faded since Q1 2026
- Fading Veeva Systems hopes you have had a chance to read them before the call.
- Fading A reconciliation to comparable GAAP measures can be found in today's earnings release and in the...
- Fading Today's call will be used primarily for Q&A.
- Fading Please refer to the risks listed in Veeva Systems' earnings release and the risk factors included in its most recent filing...
Latest announcements
Official filings, newest first. Summaries are generated from each filing and its attachment; every figure is checked against the source.
- Results of operations · SEC 8-K
- Results of operations · SEC 8-K
Veeva Systems reported total revenues of $928.0 million for the second quarter of fiscal 2027, an increase of 18% compared to $789.1 million in the same period last year.
- Director or officer change · SEC 8-K
Veeva Systems Inc. appointed Dan Rizzo as EVP, Sales, Consulting, and Services, effective October 2, 2026, to succeed Thomas D. Schwenger who is resigning from his role.
- Shareholder vote results · SEC 8-K · routine
- Results of operations · SEC 8-K
Veeva Systems reported total revenues of $882.9 million for the first quarter of fiscal 2027, representing a 16% increase from $759.0 million in the same period last year.
- Director or officer change · SEC 8-K
Josh Faddis intends to retire as Senior Vice President and General Counsel of Veeva Systems Inc. effective November 1, 2026, and transition into a part-time advisor role.
- Results of operations · SEC 8-K
Veeva Systems reported fiscal year 2026 total revenues of $3,195.3 million, up 16% year over year, and subscription revenues of $2,684.2 million, up 17% year over year.
- Other events · SEC 8-K
Veeva Systems Inc. announced a share repurchase program authorized to buy up to $2 billion of its Class A common stock over a 2-year term.
Catalyst calendar
management-stated targets — from the latest earnings call; plans, not promises.
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this fiscal year
nothing material to call out regarding investment changes
Source quote
“And so we scale investment as we scale revenue, there's certainly nothing material that I would call out for this fiscal year.”
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FY '27
updated guidance
Source quote
“It's all factored into the guidance that we've updated for FY '27.”
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next year
factoring into guidance
Source quote
“And as we get another couple of quarters ahead and gain in the future of next year, we'll factor that into our guidance for next year.”
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2027 and 2028
bulk of win back of customers
Source quote
“I think the bulk of that win back would probably be in 2027 and 2028 because Veeva CRM, they have that backstop until the end of 2029.”
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the end of 2029
backstop for using Veeva CRM
Source quote
“Veeva CRM, they have that backstop until the end of 2029.”