By Sam Boughedda
Investing.com -- Veeva Systems Inc. Class A (NYSE:VEEV) reported fourth quarter earnings after the close Wednesday that beat earnings per share and revenue estimates. However, its shares plunged Thursday as analysts cut price targets based on guidance concerns.
Veeva reported earnings per share of $0.90, above analyst estimates of $0.87, while revenue came in at $485.5 million, again above the consensus estimate of $480.42 million.
The company sees revenue for the first quarter between $494 million and $496 million, with adjusted earnings per share between $0.91 and $0.92.
"We are set up for another year of high growth and strong profitability and are tracking ahead of our 2025 targets," the company stated.
However, analysts and investors seem to disagree, with Veeva Systems shares down 17% and Wall Street analysts trimming price targets, pointing to the company's Q1 guidance.
BofA analyst Brad Sills downgraded the stock to Neutral from Buy, reducing the price target to $220 from $300, telling investors the company's first quarter guidance was mixed as a lag in hiring and industry project starts made an impact.