Here’s Why Artisan Global Discovery Fund Trimmed Veeva Systems (VEEV)

Artisan Partners, an investment management company, released its “Artisan Global Discovery Fund” first quarter 2024 investor letter. A copy of the letter can be downloaded here. In the first quarter, the fund’s Investor Class APFDX returned 8.40%, Advisor Class APDDX posted a return of 8.37%, and Institutional Class APHDX returned 8.48%, compared to an 8.20% return for the MSCI All Country World Index. Broad-based security selection contributions across health care, consumer staples, industrials, and consumer discretionary drove the fund's outperformance in the quarter. This was partially offset by information technology. In addition, please check the fund’s top five holdings to know its best picks in 2024.

Artisan Global Discovery Fund highlighted stocks like Veeva Systems Inc. (NYSE:VEEV), in the first quarter 2024 investor letter. Veeva Systems Inc. (NYSE:VEEV) offers cloud-based software for the life sciences industry. The one-month return of Veeva Systems Inc. (NYSE:VEEV) was -0.23%, and its shares lost 8.38% of their value over the last 52 weeks. On June 24, 2024, Veeva Systems Inc. (NYSE:VEEV) stock closed at $182.85 per share with a market capitalization of $29.451 billion.

Artisan Global Discovery Fund stated the following regarding Veeva Systems Inc. (NYSE:VEEV) in its Q1 2024 investor letter:

"Notable trims in the quarter included Boston Scientific and Veeva Systems Inc. (NYSE:VEEV). Veeva Systems has the dominant customer relationship management platform for pharmaceutical sales and marketing organizations, and it is replicating that success with the rollout of numerous other modules focused on pharmaceutical R&D departments. Shares bounced back in Q1 after declining at the end of 2023 when management lowered its forward guidance due to macroeconomic uncertainty and an ongoing squeeze in pre-commercial biotechnology investment. We continue to view Veeva as a premier franchise whose growth can reaccelerate over time as its clinical software and data products reach mass adoption by the pharmaceutical industry. However, we trimmed the position based on our valuation discipline."

A team of IT experts monitoring a network of computers managing the medical content and communications.

Veeva Systems Inc. (NYSE:VEEV) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, As per our database, 46 hedge fund portfolios held Veeva Systems Inc. (NYSE:VEEV) at the end of the first quarter which was 48 in the previous quarter. The first quarter revenue of Veeva Systems Inc. (NYSE:VEEV) was $650 million with non-GAAP operating income of $261 million. While we acknowledge the potential of Veeva Systems Inc. (NYSE:VEEV) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

We discussed Veeva Systems Inc. (NYSE:VEEV) in another article and shared The Brown Capital Management Mid Company Fund's views on the company. In addition, please check out our hedge fund investor letters Q1 2024 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.