Full Truck Alliance (NYSE:YMM) versus Veeva Systems (NYSE:VEEV) Critical Survey

Veeva Systems (NYSE:VEEV) and Full Truck Alliance (NYSE:YMM) are both large-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, profitability, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Earnings and Valuation

This table compares Veeva Systems and Full Truck Alliance”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Veeva Systems	$2.36 billion	15.50	$525.71 million	$4.05	55.72
Full Truck Alliance	$10.47 billion	1.14	$311.68 million	$0.42	26.99

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

Institutional and Insider Ownership

88.2% of Veeva Systems shares are owned by institutional investors. Comparatively, 39.0% of Full Truck Alliance shares are owned by institutional investors. 10.5% of Veeva Systems shares are owned by insiders. Comparatively, 16.5% of Full Truck Alliance shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Veeva Systems	25.07%	13.56%	11.02%
Full Truck Alliance	29.59%	9.02%	8.08%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Veeva Systems and Full Truck Alliance, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Veeva Systems	2	8	17	0	2.56
Full Truck Alliance	0	2	1	1	2.75

Veeva Systems presently has a consensus target price of $253.96, indicating a potential upside of 12.53%. Full Truck Alliance has a consensus target price of $11.67, indicating a potential upside of 2.93%. Given Veeva Systems’ higher possible upside, equities research analysts clearly believe Veeva Systems is more favorable than Full Truck Alliance.

Risk & Volatility

Veeva Systems has a beta of 0.84, suggesting that its share price is 16% less volatile than the S&P 500. Comparatively, Full Truck Alliance has a beta of 0.25, suggesting that its share price is 75% less volatile than the S&P 500.

Summary

Veeva Systems beats Full Truck Alliance on 10 of the 15 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 Full Truck Alliance

Full Truck Alliance Co. Ltd., together with its subsidiaries, operates a digital freight platform that connects shippers with truckers to facilitate shipments across distance ranges, cargo weights, and types in the People's Republic of China. The company offers freight matching services, such as freight listing and brokerage services; and online transaction services, as well as various value-added services, such as credit solutions, insurance brokerage, software solutions, electronic toll collection, and energy services. It also provides technology development and other services. The company was founded in 2011 and is based in Guiyang, China.