CommVault Systems (NASDAQ:CVLT) Given “Buy” Rating at Truist Financial

CommVault Systems (NASDAQ:CVLT)‘s stock had its “buy” rating restated by equities research analysts at Truist Financial in a note issued to investors on Wednesday, Benzinga reports. They currently have a $200.00 target price on the software maker’s stock, up from their previous target price of $182.00. Truist Financial‘s price target points to a potential upside of 18.63% from the company’s current price.

A number of other equities research analysts have also recently issued reports on CVLT. Guggenheim boosted their price objective on CommVault Systems from $175.00 to $200.00 and gave the stock a “buy” rating in a report on Wednesday. FBN Securities began coverage on CommVault Systems in a research report on Thursday, September 10th. They set an “outperform” rating and a $155.00 price objective on the stock. Wall Street Zen raised CommVault Systems from a “hold” rating to a “buy” rating in a report on Sunday, October 18th. Scotiabank reissued a “sector perform” rating and set a $180.00 target price (up from $160.00) on shares of CommVault Systems in a report on Wednesday. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of CommVault Systems in a research report on Friday, September 11th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and ten have given a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $174.00.

CommVault Systems Stock Performance

CommVault Systems stock traded down $3.95 during mid-day trading on Wednesday, hitting $168.60. 276,336 shares of the company’s stock traded hands, compared to its average volume of 858,284. The company has a debt-to-equity ratio of 16.94, a current ratio of 2.04 and a quick ratio of 2.04. The firm has a 50 day simple moving average of $146.25 and a two-hundred day simple moving average of $118.53. CommVault Systems has a fifty-two week low of $71.75 and a fifty-two week high of $174.25. The stock has a market cap of $6.99 billion, a price-to-earnings ratio of 107.31 and a beta of 0.79.

CommVault Systems (NASDAQ:CVLT) last posted its earnings results on Tuesday, October 27th. The software maker reported $1.38 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.25 by $0.13. CommVault Systems had a net margin of 5.62% and a return on equity of 88.75%. The company had revenue of $312.39 million during the quarter, compared to analysts’ expectations of $310.41 million. During the same quarter last year, the company posted $0.91 EPS. CommVault Systems’s quarterly revenue was up 13.1% compared to the same quarter last year. On average, research analysts expect that CommVault Systems will post 2.87 EPS for the current fiscal year.

Insider Buying and Selling at CommVault Systems

In other news, CAO Danielle Abrahamsen sold 486 shares of the stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $142.80, for a total transaction of $69,400.80. Following the sale, the chief accounting officer directly owned 12,160 shares of the company’s stock, valued at approximately $1,736,448. This represents a 3.84% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Sanjay Mirchandani sold 6,857 shares of the firm’s stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $142.80, for a total value of $979,179.60. Following the completion of the transaction, the chief executive officer owned 257,676 shares in the company, valued at $36,796,132.80. The trade was a 2.59% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 29,348 shares of company stock valued at $4,202,441 over the last ninety days. 0.86% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of CVLT. Choreo LLC bought a new stake in CommVault Systems during the 3rd quarter worth approximately $229,000. Maxi Investments CY Ltd acquired a new position in CommVault Systems in the 3rd quarter valued at approximately $585,000. Fifth Third Wealth Advisors LLC acquired a new position in CommVault Systems in the 3rd quarter valued at approximately $213,000. Sterling Capital Management LLC raised its stake in shares of CommVault Systems by 12.8% during the third quarter. Sterling Capital Management LLC now owns 8,786 shares of the software maker’s stock valued at $1,317,000 after acquiring an additional 996 shares during the last quarter. Finally, Root Financial Partners LLC bought a new position in shares of CommVault Systems during the third quarter valued at $49,000. Institutional investors and hedge funds own 93.50% of the company’s stock.

Key Stories Impacting CommVault Systems

Here are the key news stories impacting CommVault Systems this week:

• Positive Sentiment: Analysts raised price targets: Wells Fargo increased its target from $155 to $185 and assigned an “overweight” rating, while KeyCorp raised its target from $175 to $200 and also maintained an “overweight” rating. The new targets imply approximately 9% to 18% upside from recent levels. Wells Fargo analyst rating KeyCorp analyst rating
• Positive Sentiment: Fiscal Q2 earnings beat expectations: Commvault reported $1.38 in EPS versus the $1.25 consensus estimate, while revenue reached $312.39 million compared with expectations of $310.41 million. EPS rose from $0.91 a year earlier, and revenue increased 13.1% year over year. Commvault fiscal Q2 results
• Positive Sentiment: Recurring revenue trends were particularly strong: Subscription revenue grew 21% to $269 million, subscription ARR increased 20% to $1.104 billion, and the company generated $75 million in operating cash flow and $71 million in free cash flow.
• Positive Sentiment: Product expansion may support future demand: New identity-resilience capabilities cover Active Directory, Entra ID, and Okta, helping customers identify Tier 0 exposure and remediate hidden identity-system risks before attacks occur. Commvault identity resilience announcement
• Neutral Sentiment: Jefferies also indicated that CVLT shares could rise, reinforcing generally constructive analyst sentiment, though the available report provides limited additional detail. Jefferies analyst commentary
• Negative Sentiment: Valuation and muted post-earnings reaction remain risks: CVLT trades at a P/E ratio above 100 after reaching near its 52-week high. The recent pullback suggests investors may be taking profits or demanding stronger forward guidance despite the earnings beat.

About CommVault Systems

Commvault Systems, Inc develops data protection and cyber resilience software and services for businesses, government organizations and other institutions. Its platform is designed to help customers back up, recover, manage and secure data across on-premises infrastructure, private and public clouds, software-as-a-service applications and other distributed IT environments.

The company’s offerings include backup and recovery, disaster recovery, data security, ransomware protection, cyber-recovery capabilities and data management tools.