CommVault Systems (NASDAQ:CVLT) Issues Earnings Results, Beats Expectations By $0.19 EPS

CommVault Systems (NASDAQ:CVLT) posted its quarterly earnings data on Tuesday. The software maker reported $1.28 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.09 by $0.19, FiscalAI reports. CommVault Systems had a net margin of 7.58% and a return on equity of 37.38%. The business had revenue of $311.69 million during the quarter, compared to the consensus estimate of $306.75 million. During the same quarter last year, the company posted $1.03 earnings per share. The firm’s quarterly revenue was up 13.3% compared to the same quarter last year.

Here are the key takeaways from CommVault Systems’ conference call:

• Subscription ARR increased 27% to $989 million and SaaS ARR grew 42% to $400 million, marking a major SaaS milestone for Commvault.
• Commvault generated a record $132 million of free cash flow in Q4 and $237 million for FY26, and accelerated buybacks (3M shares / $259M in Q4; $446M total in FY26), signaling strong cash generation and shareholder returns.
• FY2027 guidance targets subscription ARR growth of 18%–19% to ~$1.20–1.21 billion, subscription revenue of ~$1.115–1.125 billion, a ~20.5% non‑GAAP EBIT margin, and $250–260 million of free cash flow.
• Commercial momentum: ~2,500 new subscription customers in FY26, multi‑product adoption rose to 48% of managed SaaS customers, and identity/data security drove 33% of net new ARR with Active Directory ARR more than doubling.
• Management recast revenue and ARR classifications to consolidate term support into subscription and will emphasize four guided subscription metrics (subscription ARR, subscription revenue, free cash flow, non‑GAAP EBIT), improving alignment but changing historical comparability and reporting cadence.

CommVault Systems Price Performance

NASDAQ:CVLT traded down $1.61 during mid-day trading on Thursday, hitting $99.57. 114,535 shares of the stock traded hands, compared to its average volume of 1,105,868. The business’s 50-day moving average price is $85.44 and its 200 day moving average price is $110.62. The company has a market cap of $4.38 billion, a PE ratio of 51.33 and a beta of 0.63. CommVault Systems has a 12-month low of $71.75 and a 12-month high of $200.68. The company has a quick ratio of 2.34, a current ratio of 2.34 and a debt-to-equity ratio of 4.06.

Insider Activity at CommVault Systems

In related news, insider Gary Merrill sold 2,593 shares of the business’s stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $90.28, for a total transaction of $234,096.04. Following the completion of the transaction, the insider owned 64,725 shares of the company’s stock, valued at approximately $5,843,373. The trade was a 3.85% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Sanjay Mirchandani sold 10,338 shares of CommVault Systems stock in a transaction that occurred on Monday, March 16th. The shares were sold at an average price of $78.96, for a total transaction of $816,288.48. Following the sale, the chief executive officer owned 342,581 shares of the company’s stock, valued at approximately $27,050,195.76. The trade was a 2.93% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 31,355 shares of company stock valued at $2,613,165. 1.00% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On CommVault Systems

Several hedge funds have recently bought and sold shares of CVLT. State of Wyoming bought a new stake in CommVault Systems during the second quarter valued at approximately $35,000. Banque Cantonale Vaudoise bought a new stake in CommVault Systems during the third quarter valued at approximately $39,000. Advisory Services Network LLC bought a new stake in CommVault Systems during the third quarter valued at approximately $47,000. EverSource Wealth Advisors LLC lifted its position in CommVault Systems by 188.3% during the second quarter. EverSource Wealth Advisors LLC now owns 271 shares of the software maker’s stock valued at $47,000 after purchasing an additional 177 shares during the last quarter. Finally, Measured Wealth Private Client Group LLC bought a new stake in shares of CommVault Systems in the 3rd quarter worth approximately $58,000. 93.50% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on the stock. Loop Capital assumed coverage on shares of CommVault Systems in a report on Tuesday, March 24th. They set a “buy” rating and a $125.00 price objective for the company. Piper Sandler reduced their target price on shares of CommVault Systems from $186.00 to $155.00 and set an “overweight” rating for the company in a research note on Monday, January 5th. Robert W. Baird reduced their target price on shares of CommVault Systems from $185.00 to $160.00 and set an “outperform” rating for the company in a research note on Monday, April 13th. Weiss Ratings reiterated a “hold (c)” rating on shares of CommVault Systems in a research note on Wednesday, January 21st. Finally, Guggenheim reduced their target price on shares of CommVault Systems from $200.00 to $175.00 and set a “buy” rating for the company in a research note on Wednesday, January 28th. Two research analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $135.00.

Key Stories Impacting CommVault Systems

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

• Positive Sentiment: Q4 results beat expectations — EPS $1.28 vs. $1.09 consensus and revenue $311.7M vs. $306.8M; management highlighted record cash flow and robust SaaS momentum, which initially drove a sharp post‑earnings rally. Yahoo Finance: Q4 Highlights
• Positive Sentiment: KeyCorp raised its price target to $125 and moved to an “overweight” rating — signals institutional confidence that CVLT’s growth (especially SaaS) can support further upside. Benzinga: KeyCorp PT Raise
• Positive Sentiment: Royal Bank of Canada and Scotiabank each lifted targets to $110 with “sector perform” ratings, adding corroborating analyst support behind the post‑earnings outlook. Benzinga: RBC & Scotiabank PT Raises
• Neutral Sentiment: Company materials and transcripts are available (earnings call transcript and investor presentation) for investors who want detail on growth drivers, SaaS metrics and cash flow commentary. Seeking Alpha: Earnings Call Transcript Seeking Alpha: Presentation
• Neutral Sentiment: Coverage and commentary (Fool, Zacks, Seeking Alpha recap) reinforced the earnings beat narrative and helped fuel short‑term momentum. The Motley Fool: Why CVLT Skyrocketed
• Negative Sentiment: Q1 FY27 revenue guidance landed at about $310.0M vs. a ~$310.6M consensus (essentially flat-to-slightly below expectations) and the EPS guidance text was omitted/unclear in the release — investors may be cautious given the lack of clear upside guidance. (Company guidance entry)
• Negative Sentiment: Technical/valuation headwinds: CVLT trades below its 200‑day moving average and at a high trailing P/E (~50.9); after the earnings‑driven rally, some profit‑taking or rotation into cheaper names may pressure the share price.

CommVault Systems Company Profile

Commvault Systems, Inc is a global provider of data protection and information management software designed to help organizations manage, protect, and activate data across on-premises and cloud environments. Founded in 1996 and headquartered in Tinton Falls, New Jersey, Commvault offers a suite of integrated products and services that enable enterprises to back up, recover, archive, and analyze data. Its flagship solutions include Commvault Complete Data Protection, Commvault HyperScale, and the SaaS-based Metallic portfolio, which deliver scalable and automated data management capabilities across hybrid infrastructure environments.

Commvault’s platform is built on a unified architecture that allows customers to streamline operations, reduce complexity, and ensure data resiliency.