VEEV Stock Is Surging Overnight: Michael Burry Says Incoming S&P 500 Entrant ‘Still Cheap’

• Veeva Systems is a cloud-computing company that provides software, data, and other services for the life sciences industry. 
• “VEEV is still cheap,” Michael Burry said in a chat to subscribers on Substack. 
• VEEV stock trades at a forward P/E of 17.6, compared to Tyler Technologies’ multiple of 26.4x and Oracle’s 21.4x.

Shares of Veeva Systems Inc. (VEEV) rallied more than 11% in Thursday’s overnight trading session following an announcement that it will join the S&P 500 index.

According to a statement from the index provider, the healthcare software company will replace Coterra Energy Inc. (CTRA) in the S&P 500 from May 7, following its acquisition by Devon Energy Corp. (DVN), a deal expected to close soon.

Meanwhile, ‘The Big Short’ investor Michael Burry believes that VEEV stock is undervalued.

More About Veeva Systems

Pleasanton, California-based Veeva Systems is a cloud-computing company that provides software, data, and other services for the life sciences industry.

With a market capitalization of more than $25.5 billion, Veeva serves a range of small biotechnology firms and large pharmaceutical companies. In March, the company acquired Ostro, an AI-driven brand engagement platform for life sciences that gives patients and doctors quick responses via chat.

Veeva Vault CRM, the company’s cloud-based software for pharmaceutical and life sciences companies, competes with the likes of Oracle’s (ORCL) Siebel CRM and Salesforce’s (CRM) Life Sciences Cloud.

In March, the company posted a 16% growth in both the quarter and fiscal year 2026 revenues, bolstered by growing subscription revenues. However, VEEV stock has declined nearly 29% this year amid a broader selloff in cloud software companies.

Meanwhile, Burry has taken a contrarian bet on "beaten-down" software stocks, arguing that AI-driven sell-offs have created excessive discounts. “VEEV is still cheap,” Burry said in a chat to subscribers on Substack.

VEEV stock trades at a forward price-to-earnings multiple of 17.6, placing it in between higher-multiple peers like Texas-based Tyler Technologies (TYL) that has a forward P/E of 26.4x and Oracle with a 21.4x multiple, but higher than Salesforce’s 13.4x.

What’s Retail Saying?

On Stocktwits, retail sentiment around VEEV stock improved from ‘neutral’ to ‘bullish’ territory over the past 24 hours amid ‘high’ message volumes.

One bullish user said the stock is worth $300, indicating an upside potential of about 73% based on its last close.

Another use said, “Called this one back in March when it was a beaten down gem nobody wanted to touch. Index inclusion = forced buying from every passive fund out there. Still bullish, this run isn't done.”

VEEV stock is down nearly 33% in the last one year.

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