Veeva SystemsLTS:0LO3 +2.29%82 Operating Margin % is 30.93% as of Apr. 2026, which is 21% above its 10-year median of 25.48. GuruFocus rates LTS:0LO3 with a GF Score™ of 82/100 and a GF Value™ of $284.73 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 668 Healthcare Providers & Services companies, Veeva Systems ranks better than 96.11% on this metric.
Veeva Systems Inc operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Veeva Systems's Operating Margin % or its related term are showing as below:
LTS:0LO3'
s Operating Margin % Range Over the Past 10 Years
Min: 18.16 Med: 25.48 Max: 28.79
Current: 28.79
LTS:0LO3's Operating Margin % is ranked better than 96.11% of 668
companies
in the Healthcare Providers & Services industry
Industry Median: 4.845
vs LTS:0LO3: 28.79
Veeva Systems's 5-Year Average Operating Margin % Growth Rate was 0.40% per year.
Veeva Systems (LTS:0LO3) Operating Margin % Explanation
Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.
Be Aware
Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).
If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.
For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokias Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).
Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.
Veeva Systems Operating Margin % Related Terms
Veeva Systems Operating Margin % Historical Data
* Premium members only.
The historical data trend for Veeva Systems's Operating Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LTS:0LO3 vs BTSG, TEM, HQY: Operating Margin % Comparison
For the Health Information Services subindustry, Veeva Systems's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Veeva Systems Operating Margin % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Veeva Systems's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Veeva Systems's Operating Margin % falls into.
Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.
Veeva Systems's Operating Margin % for the fiscal year that ended in Jan. 2026 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Veeva Systems (LTS:0LO3) has a Operating Margin % of 30.93% as of Apr. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Veeva Systems and its competitors. This is 21% above median its historical median of 25.48. Over the past decade, Veeva Systems' Operating Margin % has ranged from 18.16 to 28.79. According to the industry distribution chart, Veeva Systems ranks #26 out of 668 companies in the Healthcare Providers & Services industry, placing it in the top 3.9%.
Is Veeva Systems' Operating Margin % too high?
Veeva Systems' current Operating Margin % of 30.93% is 21% above median its 10-year median of 25.48. Over the past 10 years, this metric has ranged from a low of 18.16 to a high of 28.79. The Healthcare Providers & Services industry median Operating Margin % is 4.85. Veeva Systems' value of 30.93% is 538.4% above this industry median. Based on the distribution chart, Veeva Systems ranks #26 out of 668 companies in the Healthcare Providers & Services industry, which is in the top quartile — a strong position relative to peers. Overall, Veeva Systems has a GF Score™ of 82/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Veeva Systems' Operating Margin % compare to BTSG and TEM?
According to the Healthcare Providers & Services industry distribution chart, Veeva Systems ranks #26 out of 668 companies for Operating Margin %. This places Veeva Systems in the top 4% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 4.85. Veeva Systems' value of 30.93% is 538.4% above this benchmark. Historically, Veeva Systems' own Operating Margin % has ranged from 18.16 to 28.79 over the past decade. While the company's 10-year median is 25.48 vs. the industry median of 4.85, Veeva Systems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Margin % for a Healthcare Providers & Services company?
The median Operating Margin % among Healthcare Providers & Services companies is 4.85, based on 668 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Veeva Systems's current Operating Margin % of 30.93% is 538.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on Veeva Systems and its competitors. For the Healthcare Providers & Services industry, the median Operating Margin % is 4.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Veeva Systems's current Operating Margin % is 30.93%, which is 21% above median its own 10-year median of 25.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Veeva Systems stock overvalued right now?
Based on GuruFocus' analysis, Veeva Systems (LTS:0LO3) is currently considered Significantly Undervalued. The stock's GF Value™ is $284.73, compared to a current price of $163.29 — trading 42.7% below its estimated fair value. The current Operating Margin % is 30.93%, which is 21% above median its 10-year median of 25.48 and 538.4% above the Healthcare Providers & Services industry median of 4.85. Veeva Systems' overall GF Score™ is 82/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For Veeva Systems (LTS:0LO3), the current Operating Margin % is 30.93% as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Veeva Systems (LTS:0LO3) Overvalued in 2026?
Based on GuruFocus' analysis, Veeva Systems stock appears to be undervalued.
The current stock price of $163.29 is trading 42.7% below its estimated GF Value™ of $284.73.
GuruFocus considers Veeva Systems to be Significantly Undervalued.
Key valuation signals for LTS:0LO3:
Operating Margin %: 30.93% (21% above median its 10-year median of 25.48)
GF Value™: $284.73 vs. price of $163.29 (42.7% below fair value)
Industry Position: 538.4% above the Healthcare Providers & Services median (#26 of 668)
No single metric tells the full story. See the LTS:0LO3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Veeva is the global leading supplier of cloud-based software solutions for the life sciences industry. The company's best-of-breed offerings address operating and regulatory requirements for customers ranging from small, emerging biotechnology companies to departments of global pharmaceutical manufacturers. The company leverages its domain expertise to improve the efficiency and compliance of the underserved life sciences industry, displacing large, highly customized and dated enterprise resource planning systems that have limited flexibility. Its two main products are Veeva CRM, a customer relationship management platform for companies with a salesforce, and Veeva Vault, a content management platform that tackles various functions within any life sciences company.
82GF Score
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