VEEV Stock Toys With The No. 1 Sell Rule Despite Its Quarterly Beat2 min read

Veeva Systems</strong> (VEEV) handily beat second-quarter forecasts Wednesday and crushed guidance estimates, but VEEV stock tumbled in after-hours action.




X



During the second quarter, Veeva earned 94 cents per share on $455.6 million in sales. Earnings popped nearly 31% year over year and topped FactSet’s forecast by 7 cents. Sales advanced 29% vs. the year-earlier period and beat VEEV stock analysts’ view for $452 million.

But in after-hours trading on the stock market today, VEEV stock toppled 9.5% near 302. During the regular session, shares rose 0.6% to 333.82.

VEEV Stock Falls Despite Beat

Chief Executive Peter Gassner called it a “great quarter” for Veeva. Subscription sales for the medical software giant also jumped 29% year over year to $366.4 million.

For the fiscal 2022 year, Veeva guided to adjusted income of $3.57 per share. VEEV stock analysts called for adjusted profit of $3.50 a share. The company also expects $1.83 billion to $1.835 billion in sales, above forecasts for $1.82 billion.

Veeva shares have a strong Composite Rating of 93 out of a best-possible 99, according to IBD Digital. This puts VEEV stock in the leading 7% of all stocks in terms of fundamental and technical growth measures.

But, if the after-hours action holds, it would put shares dangerously close to a sell zone. Shares topped a buy point at 325.64 out of a cup base in mid-July, according to MarketSmith.com. Investors are encouraged to cut their losses when a stock falls 7%-8% below a buy point. For VEEV stock, that runs from 299.59-302.85.

Follow Allison Gatlin on Twitter at @IBD_AGatlin.

YOU MAY ALSO LIKE:

AbbVie Stock: Why A New FDA Order Hit It Harder Than Rivals Pfizer, Lilly

in-n-arj-fghql/">Inppvar Fgbpxf Qviretr; Jul Zbqrean Zvtug Unir Gur Fgebatre Pbivq Fubg

See Stocks On The List Of Leaders Near A Buy Point

Best Growth Stocks To Buy And Watch: See Updates To IBD Stock Lists

Find The Best Long-Term Investments With IBD Long-Term Leaders

Get more stuff like this

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.

Thank you for subscribing.

Something went wrong.

Leave a Reply

I accept the Privacy Policy

Get more stuff like this
in your inbox

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.

Thank you for subscribing.

Something went wrong.

Pin It on Pinterest

Share This