Contrasting Veeva Systems (NYSE:VEEV) & BOX (NYSE:BOX)

Veeva Systems (NYSE:VEEV) and BOX (NYSE:BOX) are both medical companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, dividends, risk, institutional ownership, valuation, profitability and analyst recommendations.

Earnings & Valuation

This table compares Veeva Systems and BOX”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Veeva Systems	$2.36 billion	15.98	$525.71 million	$4.05	57.44
BOX	$1.04 billion	4.60	$129.03 million	$0.80	41.54

Veeva Systems has higher revenue and earnings than BOX. BOX is trading at a lower price-to-earnings ratio than Veeva Systems, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and price targets for Veeva Systems and BOX, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Veeva Systems	2	8	17	0	2.56
BOX	1	2	8	0	2.64

Veeva Systems presently has a consensus price target of $253.96, suggesting a potential upside of 9.16%. BOX has a consensus price target of $35.89, suggesting a potential upside of 7.99%. Given Veeva Systems’ higher probable upside, equities analysts plainly believe Veeva Systems is more favorable than BOX.

Volatility and Risk

Veeva Systems has a beta of 0.84, indicating that its stock price is 16% less volatile than the S&P 500. Comparatively, BOX has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500.

Profitability

This table compares Veeva Systems and BOX’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Veeva Systems	25.07%	13.56%	11.02%
BOX	13.96%	-17.20%	6.15%

Insider & Institutional Ownership

88.2% of Veeva Systems shares are owned by institutional investors. Comparatively, 86.7% of BOX shares are owned by institutional investors. 10.5% of Veeva Systems shares are owned by company insiders. Comparatively, 4.1% of BOX shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Veeva Systems beats BOX on 12 of the 14 factors compared between the two stocks.

About Veeva Systems

Veeva Systems Inc. provides cloud-based software for the life sciences industry. It offers Veeva Commercial Cloud, a suite of software and analytics solutions, such as Veeva customer relationship management (CRM) that enable customer-facing employees at pharmaceutical and biotechnology companies; Veeva Vault PromoMats, an end-to-end content and digital asset management solution; Veeva Vault Medical that provides source of medical content across multiple channels and geographies; Veeva Crossix, an analytics platform for pharmaceutical brands; Veeva OpenData, a customer reference data solution; Veeva Link, a data application that allows link to generate real-time intelligence; and Veeva Compass includes de-identified and longitudinal patient data for the United States. The company also provides Veeva Development Cloud, a suite of applications for the clinical, regulatory, quality, and safety functions, including Veeva Vault Clinical, Veeva Vault RIM, Veeva Vault Safety, and Veeva Vault Quality; Veeva QualityOne, a quality and document management, and training solution; Veeva RegulatoryOne, a solution that helps companies to manage regulatory submission content; and Veeva Claims addresses the end-to-end product and marketing claims management process. In addition, it offers professional and support services, including implementation and deployment planning and project management; requirements analysis, solution design, and configuration; systems environment management and deployment services; services focused on advancing or transforming business and operating processes related to Veeva solutions; data migration and systems integrations technical consulting services; training on its solutions; and ongoing managed services, such as outsourced systems administration. The company was formerly known as Verticals onDemand, Inc. and changed its name to Veeva Systems Inc. in April 2009. Veeva Systems Inc. was incorporated in 2007 and is headquartered in Pleasanton, California.

About BOX

Box, Inc. engages in the provision of an enterprise content platform that enables organizations to securely manage enterprise content while allowing easy, secure access and sharing of this content from anywhere, on any device. Its products include cloud content management, IT and admin controls, Box Governance, Box Zones, Box Relay, Box Shuttle, and Box KeySafe. The company was founded by Aaron Levie, Dylan Smith, Jeff Queisser, and Sam Ghods in March 2005 and is headquartered in Redwood City, CA.