Here's Why Veeva Systems Stock Climbed 11% in March
Shares of Veeva Systems (NYSE: VEEV) rose 10.9% last month following a strong quarterly earnings report. The stock enjoyed momentum in the second half of March as tech stocks charged higher, spurred on by hopes that macroeconomic conditions would become more favorable for growth stocks this year.
Veeva reported earnings on March 1, and investors were pleased. The company met revenue expectations but achieved better-than-expected earnings. Quarterly sales rose 16%, adjusted operating profits increased 12%, and adjusted net earnings grew 27% over the prior year. Notably, the company delivered 17% growth in subscription revenue, which has been one of its priorities. Veeva also produced over $750 million of free cash flow for the full year.
The company's 2023 forecast calls for slowing sales growth, but investors have come to expect that in the current global macroeconomic environment. It also helped that Veeva indicated that it expects acceleration throughout 2024 as conditions improve.
Source Fool.com
