Data backup provider Commvault (NASDAQ:CVLT) will be reporting earnings tomorrow before the bell. Here's what to look for.
Commvault Systems beat analysts' revenue expectations by 4.1% last quarter, reporting revenues of $216.8 million, up 11.1% year on year. It was a very strong quarter for the company, with an impressive beat of analysts' billings and EPS estimates.
Is Commvault Systems a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting Commvault Systems's revenue to grow 4.4% year on year to $212.5 million, a reversal from the 1.2% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.73 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they are expecting the business to stay the course heading into earnings. Commvault Systems has only missed Wall Street's revenue estimates once over the last two years, exceeding top-line expectations by 1.7% on average.
With Commvault Systems being the first among its peers to report earnings this season, we don't have anywhere else to look to get a hint at how this quarter will unravel for data and analytics software stocks. What we do know, however, is that the segment has faced declining investor sentiment as Commvault Systems's peer group is down 3.7% on average over the last month. Commvault Systems is down 2.1% during the same time and is heading into earnings with an average analyst price target of $98.65 (compared to share price of $98.3).
Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefitting from the rise of AI, available to you FREE via this link.