Veeva Systems (NYSE:VEEV) shares soared 15% after the company released first-quarter results that exceeded Wall Street expectations and issued optimistic guidance for both the upcoming quarter and full fiscal year 2026.
The company reported earnings per share of $1.97 for Q1, beating analysts’ forecasts by $0.23. Revenue reached $759 million, outperforming the consensus estimate of $728.32 million. The year-over-year revenue growth of 17% was driven largely by a 19% increase in subscription services revenue.
Looking ahead, Veeva anticipates second-quarter earnings per share between $1.89 and $1.90, compared to the consensus forecast of $1.79. Revenue for the same period is projected to land between $766 million and $769 million, surpassing the expected $750.3 million. For fiscal 2026, the company expects EPS of $7.63 and revenue in the $3.09–3.1 billion range—both above current market estimates.
CEO Peter Gassner described the quarter as a standout: “Bottom line: Veeva delivered a strong F1Q as total revenue of $759.0mn (+17%) outpaced expectations (~$728.1/+12%) based on solid performance across the portfolio as well as Crossix outperformance.” He added that the company’s execution and innovation continue to align with long-term objectives and values. Veeva also announced that it hit its 2025 revenue run-rate milestone of $3 billion during the quarter, marking a major step forward in its goal to double that number by 2030.
The solid performance caught the attention of analysts. Evercore ISI’s Kirk Materne raised his price target from $240.00 to $285.00 while keeping an “In Line” rating, stating, “Bottom line: Veeva delivered a strong F1Q… based on solid performance across the portfolio as well as Crossix outperformance.”
Craig Hettenbach at Morgan Stanley also lifted his price target from $201.00 to $210.00, maintaining an “Underweight” rating. He acknowledged that Veeva continues to show strength even as the broader life sciences sector faces headwinds.
Meanwhile, Stifel analyst David Grossman expressed confidence in the company’s growth trajectory by upping his price target to $295.00 from $272.00, retaining a “Buy” rating.
The quarter also featured product advancements, including the launch of Veeva AI, aimed at enhancing productivity and automation in the life sciences field. Additionally, the company expanded its commercial data offerings with Veeva CRM Pulse, reinforcing its presence in the healthcare technology space.
With strong earnings, upbeat guidance, and strategic product rollouts, investor sentiment around Veeva Systems remains highly favorable as the company continues to navigate growth in the competitive life sciences market.