Contrasting Veeva Systems (NYSE:VEEV) and Zepp Health (NYSE:ZEPP)

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

Valuation and Earnings

This table compares Zepp Health and Veeva Systems”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zepp Health	$258.90 million	0.92	-$40.07 million	($2.51)	-6.54
Veeva Systems	$3.20 billion	8.59	$908.91 million	$5.41	31.06

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

Volatility & Risk

Zepp Health has a beta of 1.76, indicating that its stock price is 76% more volatile than the S&P 500. Comparatively, Veeva Systems has a beta of 1.1, indicating that its stock price is 10% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Zepp Health and Veeva Systems, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zepp Health	1	0	1	0	2.00
Veeva Systems	1	8	16	1	2.65

Zepp Health currently has a consensus target price of $64.37, suggesting a potential upside of 292.28%. Veeva Systems has a consensus target price of $278.70, suggesting a potential upside of 65.84%. Given Zepp Health’s higher probable upside, analysts plainly believe Zepp Health is more favorable than Veeva Systems.

Insider and Institutional Ownership

52.6% of Zepp Health shares are owned by institutional investors. Comparatively, 88.2% of Veeva Systems shares are owned by institutional investors. 36.0% of Zepp Health shares are owned by insiders. Comparatively, 10.3% of Veeva Systems shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Zepp Health and Veeva Systems’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zepp Health	-15.48%	-15.00%	-6.07%
Veeva Systems	28.44%	13.80%	11.39%

Summary

Veeva Systems beats Zepp Health on 12 of the 15 factors compared between the two stocks.

About Zepp Health

Zepp Health Corporation operates as a smart wearable and health technology company worldwide. The company operates in two segments: Self-Branded Products and Others, and Xiaomi Wearable Products. It empowers users to live lives by optimizing health, fitness, and wellness journeys through its consumer brands, Amazfit, Zepp Clarity, and Zepp Aura. The company through its proprietary Zepp Digital Management Platform, which includes the Zepp OS, AI chips, biometric sensors, and data algorithms, delivers cloud-based 24/7 actionable insights and guidance to help users attain wellness goals. The company offers smart bands, watches, modules, and scales; and associated accessories, smart hearable products, sportswear, home fitness equipment, home appliances, and smart watch accessories. It also provides charts and graphs to display analysis of the activity and biometric data collected from users through its Zepp Life and Zepp mobile apps. It offers its products under the Amazfit and Zepp brand names in approximately 90 countries. The company was formerly known as Huami Corporation and changed its name to Zepp Health Corporation in February 2021. Zepp Health Corporation was founded in 2013 and is headquartered in Hefei, the People's Republic of China.

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.