Veeva Systems Inc. (VEEV) DCF Valuation
Transparent DCF models put Veeva Systems Inc. (VEEV)'s fair value in a range of $111.79 – $114.21 — the low end is TGM's conservative base case (5% FCF growth, 10% discount), the high end the analyst consensus (FMP). Today's price of $163.76 sits above that range — by these conservative assumptions it looks richly valued; the reverse-DCF below is the better lens for a high-growth name.
Reverse DCF: at today's $163.76, the market is pricing in roughly +10.6%/yr free-cash-flow growth over the next decade (at a 10% required return) — versus its actual 5-year FCF CAGR of -6.8%. The price is betting on acceleration above its track record.
Current Price
$163.76
Fair-Value Range
$111.79 – $114.21
Market-Implied Growth
+10.6%/yr
vs -6.8% 5Y actual
VEEV DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Illustrative model — not investment advice. Defaults to a conservative base case; the analyst (FMP) DCF, where available, is shown as a reference below.
Base inputs: FCF $1.0B · 0.16B shares · net cash $1.4B
Estimated Fair Value
$111.79
-31.7% vs $163.76
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $163.76; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 8.0% | $137 | $143 | $151 | $160 | $172 |
| 9.0% | $119 | $123 | $128 | $134 | $142 |
| 10.0% | $105 | $108 | $112 | $116 | $121 |
| 11.0% | $94.14 | $96.49 | $99.11 | $102 | $105 |
| 12.0% | $85.42 | $87.18 | $89.12 | $91.28 | $93.70 |
About Veeva Systems Inc.
Veeva Systems Inc. is a leading provider of cloud-based software solutions, exclusively dedicated to the global life sciences industry. Its extensive operational presence spans across North America, Europe, the Asia Pacific region, the Middle East, Africa, and Latin America. The company's product portfolio is primarily structured around two major offerings. First, the Veeva Commercial Cloud delivers an integrated suite of software, data, and analytics tools designed to optimize commercial operations. This includes vital applications such as Veeva Customer Relationship Management (CRM) and its specialized Medical CRM, Veeva Closed Loop Marketing (CLM), sophisticated analytics via Veeva CRM MyInsights, approved email communication with Veeva CRM Approved Email, digital engagement tools like Veeva CRM Engage, commercial alignment through Veeva Align, event management capabilities with Veeva CRM Events Management, data warehousing solutions (Veeva Nitro), data services (Veeva OpenData, Veeva Link), master data management (Veeva Network), advanced analytical insights (Veeva Crossix, Veeva Data Cloud), and patient engagement platforms (MyVeeva for Patients). Secondly, Veeva Vault provides a robust collection of cloud-native enterprise content and data management applications. These applications are engineered to support both critical commercial functions—encompassing sales, marketing, and medical content and communications—and comprehensive research and development processes, including clinical trials, regulatory compliance, quality management, and patient safety. Beyond its software, Veeva offers a wide array of professional and support services. These range from strategic implementation and deployment planning, project management, and detailed requirements analysis to solution design and configuration. They also include system environment management and deployment, expert consulting for business process transformation related to Veeva solutions, technical guidance on data migration and systems integrations, comprehensive training programs, and ongoing managed services such as outsourced systems administration. Tracing its origins, the company was incorporated in 2007 as Verticals onDemand, Inc., and subsequently rebranded to Veeva Systems Inc. in April 2009. Its corporate headquarters are situated in Pleasanton, California.
- Sector
- Healthcare
- Industry
- Medical - Healthcare Information Services
- CEO
- Peter Gassner