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Commvault Systems (CVLT) Falls More Steeply Than Broader Market: What Investors Need to Know

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In the latest close session, Commvault Systems (CVLT - Free Report) was down 1.2% at $155.37. The stock's change was less than the S&P 500's daily loss of 0.06%. At the same time, the Dow added 0.38%, and the tech-heavy Nasdaq lost 0.44%.

The data-management software company's stock has climbed by 20.9% in the past month, exceeding the Computer and Technology sector's gain of 4.85% and the S&P 500's gain of 2.36%.

Analysts and investors alike will be keeping a close eye on the performance of Commvault Systems in its upcoming earnings disclosure. The company's earnings report is set to go public on October 27, 2026. The company is predicted to post an EPS of $1.25, indicating a 37.36% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $310.8 million, indicating a 12.53% upward movement from the same quarter last year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $5.44 per share and revenue of $1.31 billion, which would represent changes of +25.06% and +10.39%, respectively, from the prior year.

Investors should also pay attention to any latest changes in analyst estimates for Commvault Systems. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Commvault Systems is currently sporting a Zacks Rank of #3 (Hold).

Looking at valuation, Commvault Systems is presently trading at a Forward P/E ratio of 28.92. This expresses a premium compared to the average Forward P/E of 16.72 of its industry.

The Computer - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 52, placing it within the top 22% of over 250 industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.

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