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

Risk and Volatility

Tabula Rasa Healthcare has a beta of 2.81, indicating that its share price is 181% more volatile than the S&P 500. Comparatively, Veeva Systems has a beta of 1.6, indicating that its share price is 60% more volatile than the S&P 500.

Valuation & Earnings

This table compares Tabula Rasa Healthcare and Veeva Systems’ revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Tabula Rasa Healthcare $94.06 million 5.43 -$6.25 million ($0.25) -114.40
Veeva Systems $544.04 million 14.29 $68.80 million $0.91 61.60

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

Analyst Ratings

This is a summary of current recommendations for Tabula Rasa Healthcare and Veeva Systems, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Tabula Rasa Healthcare 0 1 5 0 2.83
Veeva Systems 0 4 7 0 2.64

Tabula Rasa Healthcare currently has a consensus target price of $28.33, suggesting a potential downside of 0.93%. Veeva Systems has a consensus target price of $67.70, suggesting a potential upside of 20.76%. Given Veeva Systems’ higher probable upside, analysts plainly believe Veeva Systems is more favorable than Tabula Rasa Healthcare.

Institutional and Insider Ownership

31.9% of Tabula Rasa Healthcare shares are held by institutional investors. Comparatively, 72.4% of Veeva Systems shares are held by institutional investors. 45.8% of Tabula Rasa Healthcare shares are held by insiders. Comparatively, 19.2% of Veeva Systems shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Tabula Rasa Healthcare and Veeva Systems’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Tabula Rasa Healthcare -2.27% -5.58% -3.49%
Veeva Systems 19.97% 12.68% 9.15%

Summary

Veeva Systems beats Tabula Rasa Healthcare on 10 of the 13 factors compared between the two stocks.

Tabula Rasa Healthcare Company Profile

Tabula Rasa HealthCare, Inc. (Tabula Rasa), formerly CareKinesis, Inc., is a provider of patient-specific, data-driven technology and solutions that enable healthcare organizations to optimize medication regimens to improve patient outcomes, reduce hospitalizations and manage risk. The Company delivers its solutions through a suite of technology-enabled products and services for medication risk management, which includes bundled prescription fulfillment and adherence packaging services for client populations with complex prescription needs. It also provides risk adjustment services, which help its clients to properly characterize a patient’s acuity, or severity of health condition, and optimize the associated payments for care. The Company serves approximately 100 healthcare organizations that focus on populations with complex healthcare needs and extensive medication requirements. Its products and services are built around the Medication Risk Mitigation Matrix, or MRM Matrix.

Veeva Systems Company Profile

Veeva Systems Inc. (Veeva) is a provider of cloud-based software solutions for the global life sciences industry. The Company offers solutions for a range of requirements within life sciences companies, including multichannel customer relationship management, regulated content and information management, master data management and customer data. The Company offers solutions to areas, including the Veeva CRM family of applications for multichannel customer relationship management to enable coordinated and personalized customer engagement through multiple touch points; Veeva Vault for regulated content management and information management solutions to enable the management of content-centric processes; the Veeva Network master data management solutions for the management of customer master and product master data, and Veeva’s data and data services offerings, including Veeva OpenData for customer reference data and Veeva KOL Data for data.

Receive News & Ratings for Tabula Rasa Healthcare Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Tabula Rasa Healthcare Inc. and related companies with Analyst Ratings Network's FREE daily email newsletter.