Why Veeva Systems Stock Stumbled This Week
Earlier this week, Veeva Systems (NYSE: VEEV) notched beats on both the top and bottom lines in its second quarter. Hooray!
But investors weren't breaking out the party favors and Champagne, as the company's guidance wasn't inspiring, and a clutch of analysts cut their price targets largely based on those fundamentals. According to data compiled by S&P Global Market Intelligence, Veeva's stock suffered a nearly 18% decline over this week.
It's a truism that stocks nearly always trade on future expectations, not past glories. That was the theme of the Veeva sell-off, because the company actually did pretty well during the reported period. Its year-over-year revenue growth clocked in at 17%, with non-GAAP (adjusted) net earnings climbing by 10%. Both headline figures were a bit higher than the collective analyst estimates.
Source Fool.com
