Head to Head Contrast: Veeva Systems (NYSE:VEEV) & Strata Skin Sciences (NASDAQ:SSKN)

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

Valuation & Earnings

This table compares Veeva Systems and Strata Skin Sciences”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Veeva Systems	$3.20 billion	9.77	$908.91 million	$5.41	35.09
Strata Skin Sciences	$30.98 million	0.05	-$10.09 million	($2.67)	-0.10

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

Profitability

This table compares Veeva Systems and Strata Skin Sciences’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Veeva Systems	28.44%	14.11%	11.76%
Strata Skin Sciences	-35.64%	-476.73%	-33.49%

Insider and Institutional Ownership

88.2% of Veeva Systems shares are held by institutional investors. Comparatively, 32.4% of Strata Skin Sciences shares are held by institutional investors. 10.3% of Veeva Systems shares are held by insiders. Comparatively, 40.9% of Strata Skin Sciences shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

Veeva Systems has a beta of 1.09, indicating that its share price is 9% more volatile than the S&P 500. Comparatively, Strata Skin Sciences has a beta of 0.45, indicating that its share price is 55% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations for Veeva Systems and Strata Skin Sciences, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Veeva Systems	1	7	17	0	2.64
Strata Skin Sciences	1	0	0	0	1.00

Veeva Systems presently has a consensus target price of $283.70, suggesting a potential upside of 49.44%. Given Veeva Systems’ stronger consensus rating and higher possible upside, equities analysts clearly believe Veeva Systems is more favorable than Strata Skin Sciences.

Summary

Veeva Systems beats Strata Skin Sciences on 13 of the 14 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 Strata Skin Sciences

STRATA Skin Sciences, Inc., a medical technology company, develops, commercializes, and markets products for the treatment of dermatologic conditions in the United States, Europe, the Middle East, Asia, Australia, South Africa, and Central and South America. The company operates in two segments, Dermatology Recurring Procedures and Dermatology Procedures Equipment. The company products include XTRAC and Pharos excimer lasers, and VTRAC lamp systems for the treatment systems that are used for the treatment of psoriasis, vitiligo, and other skin conditions. It also offers TheraClear Acne Therapy System for the treatment of mild to moderate inflammatory, comedonal, and pustular acne. The company was formerly known as MELA Sciences, Inc and changed its name to STRATA Skin Sciences, Inc. in January 2016. STRATA Skin Sciences, Inc. was incorporated in 1989 and is based in Horsham, Pennsylvania.