Michael Burry, the investor known for “The Big Short,” says he still likes Veeva (VEEV) but has trimmed his stake after the stock’s recent run. He called the move “playing with the house’s money,” not a change in his view of the business.
Veeva’s shares jumped more than 15% in one session after strong earnings, making it one of the top gainers in the S&P 500 ($SPX). The rally followed fiscal second-quarter adjusted EPS of $2.35, above the $2.22 estimate. Burry said the shares had become “more expensive than the buy price by quite a bit” after nearly doubling, so he cut Veeva to about 3% of his portfolio.
Burry’s Take on Veeva’s Value
Burry still believes Veeva trades below its intrinsic value. He likes the company’s Vault platform, which is hard for life-sciences customers to replace once built into their daily work. He also said he could buy more shares if the stock pulls back.
In the same comments, Burry called Snowflake overvalued.
Veeva’s Latest Numbers
Veeva sells cloud software to drugmakers, biotech companies, and medical-device businesses. Fiscal 2027 second-quarter revenue rose 18% from a year earlier to $928.0 million. Subscription revenue grew 16% to $766.8 million. Operating income rose 40% to $275.0 million.
Net income climbed 37% to $273.4 million. Diluted EPS rose to $1.66 from $1.19, and non-GAAP EPS grew to $2.35 from $1.99.
The stock is not cheap. VEEV trades at 41.92x forward earnings, more than twice the sector average of 19.71x.
New Tools and Growth Engines
Veeva launched Veeva EHS in June 2026, an environmental, health, and safety tool within its Quality Cloud. It connects with Veeva QMS and Training, so a safety issue can automatically trigger a quality review and employee retraining.
Around the same time, Veeva acquired Copli and launched Veeva Falcon MLR, a tool to speed up medical, legal, and regulatory content reviews. Veeva believes the tool could cut manual MLR work by 70% or more within five years.
Wall Street’s Targets for VEEV
Analysts have raised their targets after Veeva’s results. Needham’s Ryan MacDonald kept a “Buy” rating and lifted his target to $310 from $270. He pointed to CRM wins with Eli Lilly, Biogen, and Regeneron Pharmaceuticals.
RBC Capital Markets’ Rishi Jaluria kept an “Outperform” rating and raised his target to $325 from $275. He noted that more than 180 customers now use Vault CRM. He also highlighted a top-20 drugmaker rolling out Agentic Call Report to all of its U.S. field representatives.
The 27 analysts covering VEEV rate the stock a consensus “Moderate Buy.” Their average price target of $292.52 suggests about 6% upside.
Veeva reports again on Nov. 19, 2026. Analysts expect $1.68 per share for the fiscal third quarter.
Key Facts Box
- VEEV jumped more than 15% in one session after earnings
- Fiscal Q2 adjusted EPS: $2.35 vs. $2.22 estimate
- Fiscal 2027 adjusted EPS outlook raised to $9.21 from $9.05
- VEEV trades at 41.92x forward earnings
- Average analyst price target: $292.52
- Next earnings: Nov. 19, 2026
Burry’s trim looks like valuation discipline, not a retreat. Veeva keeps posting solid growth, but its premium price leaves little room for a weak quarter.
Source: finance.yahoo.com
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