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Actionable news in VEEV: VEEVA SYSTEMS Inc,

You Can Buy Recent IPO Veeva 3 Years Later Near Opening Price

Summary

Excellent execution on business plan.

Clear market expansion opportunities.

Attractive candidate for more institutional support.

Veeva Systems Inc. (NYSE: VEEV) has turned out to be a very attractive opportunity. The company when public back in 2013 with an IPO price of $20 and an opening trade of $38. The stock closed at $37.99 on Friday.

Veeva has spent the last 3 years building a base, at one point falling to the high teens. During this period management has completed a secondary offering but more importantly executed what appears to be a very solid business plan.

Veeva is headed by Chief Executive Peter Gassner who left Salesforce.com (NYSE:CRM) to start Veeva in 2007. He had one singular goal in mind at the time - replace legacy systems at biopharma companies with cloud based solutions. Solutions that help these companies manage customer relationships, clinical trials, and more recently product manufacturing. It appears the company has done an excellent job of executing on these opportunities. Sales and earnings have been very strong since going public and a recent successful rollout of their technology at customer Johnson & Johnson (NYSE: JNJ), has captured industry attention.

Biopharma is a heavy regulated industry with complex decision making involved with every step of the process; collectively involving thousands of employees at the larger companies. Veeva's ability to execute well on this industry may speak volumes about the potential for the company to tackle other industries. They have already announced the development of a small team to explore new market opportunities.

Prior to founding Veeva, Peter Gassner, was Senior VP of Technology at salesforce.com. The company was co-founded by Matt Wallach who has strong industry experience in biopharma application technology. He has clearly demonstrated his value and is now President after holding different roles at the company. A look at the rest of the large team and you will find a group of accomplished professionals. It short, Veeva looks to have a highly capable executive management team in place.

When you consider the massive burden regulations have placed on many industries (finance, energy, food, etc.) combined with the power and flexibility of cloud computing in general, it appears Veeva is presented with a very large growth opportunity. An investor presentation on the company earlier this year reported Veeva already had 375+ customers in over 80 countries.

Let's take a look at how the company has done to date. It should be noted; the company is schedule to report earnings on August...


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