Reviewing Full Truck Alliance (NYSE:YMM) & Veeva Systems (NYSE:VEEV)

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

Volatility and Risk

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

Valuation and Earnings

This table compares Full Truck Alliance and Veeva Systems”s revenue, earnings per share (EPS) and valuation.

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

Veeva Systems has lower revenue, but higher earnings 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.

Analyst Ratings

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

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

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

Profitability

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

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

Institutional and Insider Ownership

39.0% of Full Truck Alliance shares are held by institutional investors. Comparatively, 88.2% of Veeva Systems shares are held by institutional investors. 16.5% of Full Truck Alliance shares are held by insiders. Comparatively, 10.5% of Veeva Systems shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

Veeva Systems beats Full Truck Alliance on 10 of the 15 factors compared between the two stocks.

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.

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.