Reviewing Zhongchao (NASDAQ:ZCMD) & Veeva Systems (NYSE:VEEV)

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

Institutional & Insider Ownership

88.2% of Veeva Systems shares are owned by institutional investors. Comparatively, 1.7% of Zhongchao shares are owned by institutional investors. 10.6% of Veeva Systems shares are owned by insiders. Comparatively, 28.6% of Zhongchao shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Veeva Systems	$3.32 billion	8.23	$908.91 million	$5.61	29.82
Zhongchao	$11.38 million	0.26	-$6.31 million	N/A	N/A

Veeva Systems has higher revenue and earnings than Zhongchao.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Veeva Systems	28.37%	13.89%	11.57%
Zhongchao	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent recommendations and price targets for Veeva Systems and Zhongchao, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Veeva Systems	1	8	18	0	2.63
Zhongchao	1	0	0	0	1.00

Veeva Systems currently has a consensus target price of $250.96, suggesting a potential upside of 50.00%. Given Veeva Systems’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Veeva Systems is more favorable than Zhongchao.

Risk and Volatility

Veeva Systems has a beta of 0.95, meaning that its share price is 5% less volatile than the S&P 500. Comparatively, Zhongchao has a beta of -0.13, meaning that its share price is 113% less volatile than the S&P 500.

Summary

Veeva Systems beats Zhongchao on 11 of the 12 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 Zhongchao

Zhongchao Inc. provides healthcare information, education, and training services in the People's Republic of China. The company offers online and onsite health information services, healthcare education programs, and healthcare training products, including clinical practice training, open classes of popular medical topics, interactive case studies, academic conference and workshops, continuing education courses, and articles and short videos with educational healthcare content. It also provides customized medical courses and medical training services; and patient management services through online platform under the Zhongxun brand. The company operates through its mdmooc.org online platform under the MDMOOC brand; and Sunshine Health Forums, a Wechat subscription account and mobile app. It serves enterprises, non-for-profit organizations, and medical journals, as well as healthcare professionals, nurses, doctors, and other healthcare workers. The company was founded in 2012 and is headquartered in Shanghai, China.