
CommVault Systems (CVLT) Stock Forecast & Price Target
CommVault Systems (CVLT) Analyst Ratings
Bulls say
CommVault Systems Inc. showcased a robust financial performance in its recent quarter, ending with a Total Annual Recurring Revenue (ARR) of $1.04 billion, reflecting a 22% year-over-year growth. The company demonstrated impressive momentum in term software sales, with a notable 17% increase in $100K+ deals, marking the second-highest quarter for term software ARR. Additionally, Commvault's subscription ARR growth is projected to reach 24-25% year-over-year, supported by a substantial 61% increase in SaaS revenue, which now constitutes 32% of total ARR, indicating a strong demand for its data management solutions.
Bears say
CommVault Systems Inc. reported solid results for the second quarter of fiscal year 2026, exceeding revenue and annual recurring revenue (ARR) guidance; however, a significant contraction in term license duration resulted in a miss for subscription revenue. The decline in term license revenue, characterized by a 9% quarter-over-quarter reduction in duration, has led to a 170 basis points contraction in gross margins due to the company's shift towards lower-margin SaaS subscriptions. Additionally, the non-GAAP gross margin decreased to 80.6%, falling short of expectations and reflecting a concerning trend that may lead to further reductions in earnings per share for fiscal years 2026 and 2027.
This aggregate rating is based on analysts' research of CommVault Systems and is not a guaranteed prediction by Public.com or investment advice.
CommVault Systems (CVLT) Analyst Forecast & Price Prediction
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