NasdaqGS:CVLT

Stock Analysis Report

Executive Summary

Commvault Systems, Inc. provides data protection and information management software applications and related services in the United States, Canada, Latin America, Europe, the Middle East, Africa, Australia, New Zealand, Southeast Asia, and China.


Snowflake Analysis

Flawless balance sheet and fair value.


Similar Companies

Share Price & News

How has Commvault Systems's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CVLT's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

24.8%

CVLT

9.6%

US Software

10.5%

US Market


1 Year Return

-40.8%

CVLT

8.0%

US Software

-11.5%

US Market

Return vs Industry: CVLT underperformed the US Software industry which returned 8% over the past year.

Return vs Market: CVLT underperformed the US Market which returned -11.5% over the past year.


Shareholder returns

CVLTIndustryMarket
7 Day24.8%9.6%10.5%
30 Day-8.1%-7.8%-15.4%
90 Day-14.6%-7.1%-21.4%
1 Year-40.8%-40.8%9.2%8.0%-9.6%-11.5%
3 Year-24.6%-24.6%100.6%92.0%12.6%5.4%
5 Year-12.4%-12.4%170.4%151.5%32.8%18.1%

Price Volatility Vs. Market

How volatile is Commvault Systems's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Commvault Systems undervalued compared to its fair value and its price relative to the market?

31.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CVLT ($38.31) is trading below our estimate of fair value ($55.48)

Significantly Below Fair Value: CVLT is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CVLT is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: CVLT is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CVLT's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CVLT is good value based on its PB Ratio (4.3x) compared to the US Software industry average (4.3x).


Next Steps

Future Growth

How is Commvault Systems forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

106.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CVLT is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).

Earnings vs Market: CVLT is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: CVLT's is expected to become profitable in the next 3 years.

Revenue vs Market: CVLT's revenue (3.6% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: CVLT's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if CVLT's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Commvault Systems performed over the past 5 years?

-47.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CVLT is currently unprofitable.

Growing Profit Margin: CVLT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CVLT is unprofitable, and losses have increased over the past 5 years at a rate of -47.8% per year.

Accelerating Growth: Unable to compare CVLT's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CVLT is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (18.7%).


Return on Equity

High ROE: CVLT has a negative Return on Equity (-4.01%), as it is currently unprofitable.


Next Steps

Financial Health

How is Commvault Systems's financial position?


Financial Position Analysis

Short Term Liabilities: CVLT's short term assets ($525.4M) exceed its short term liabilities ($333.8M).

Long Term Liabilities: CVLT's short term assets ($525.4M) exceed its long term liabilities ($111.1M).


Debt to Equity History and Analysis

Debt Level: CVLT is debt free.

Reducing Debt: CVLT has not had any debt for past 5 years.


Balance Sheet

Inventory Level: CVLT has a low level of unsold assets or inventory.

Debt Coverage by Assets: CVLT's debt is not covered by short term assets (assets are -1.4789061193848E+17x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: CVLT has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: CVLT has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is Commvault Systems's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate CVLT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate CVLT's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CVLT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CVLT's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CVLT's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.0yrs

Average management tenure


CEO

Sanjay Mirchandani (55yo)

1.08s

Tenure

US$12,338,170

Compensation

Mr. Sanjay Mirchandani serves as President and Chief Executive Officer and member of the Board at Commvault Systems, Inc. since February 5, 2019. He served as the Chief Executive Officer of Puppet Labs, In ...


CEO Compensation Analysis

Compensation vs Market: Sanjay's total compensation ($USD12.34M) is above average for companies of similar size in the US market ($USD4.54M).

Compensation vs Earnings: Insufficient data to compare Sanjay's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Sanjay Mirchandani
President1.08yrsUS$12.34m0.36% $6.5m
Brian Carolan
VP & CFO7.42yrsUS$2.53m0.16% $2.9m
James Whalen
VP of Finance & Chief Accounting Officer0.92yrno data0.039% $695.2k
Brian Brockway
CTO & VP5yrsno datano data
Michael Melnyk
Director of Investor Relations0.67yrno datano data
Warren Mondschein
Chief Compliance Officer9.67yrsno datano data
Chris Powell
Chief Marketing Officer & VP5yrsno datano data
Martha Delehanty
Chief Human Resources Officerno datano datano data
Robert Brower
Chief of Staff - Office of the COOno datano datano data
Gary Merrill
Vice President of Business Operations7.42yrsno data0.028% $498.8k

5.0yrs

Average Tenure

48yo

Average Age

Experienced Management: CVLT's management team is seasoned and experienced (5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Sanjay Mirchandani
President1.08yrsUS$12.34m0.36% $6.5m
Keith Geeslin
Independent Director23.83yrsUS$290.91k0.074% $1.3m
Gary Smith
Independent Director15.83yrsUS$266.29k0.085% $1.5m
Daniel Pulver
Lead Independent Director6.67yrsUS$301.67k0.24% $4.2m
Martha Bejar
Independent Director1.67yrsUS$232.88k0.0066% $117.8k
Frank Fanzilli
Independent Director17.67yrsUS$266.00k0.23% $4.2m
David Walker
Independent Director14.08yrsUS$292.15k0.095% $1.7m
Alan Bunte
Director12.17yrsUS$4.87m1.06% $18.9m
Y.Y. Lee
Independent Director2.08yrsUS$262.60k0.0094% $167.1k
Nicholas Adamo
Independent Chairman of the Board0.92yrUS$236.29k0.0066% $117.8k

9.4yrs

Average Tenure

59yo

Average Age

Experienced Board: CVLT's board of directors are considered experienced (9.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CVLT insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Commvault Systems, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Commvault Systems, Inc.
  • Ticker: CVLT
  • Exchange: NasdaqGS
  • Founded: 1988
  • Industry: Systems Software
  • Sector: Software
  • Market Cap: US$1.785b
  • Shares outstanding: 46.60m
  • Website: https://www.commvault.com

Number of Employees


Location

  • Commvault Systems, Inc.
  • 1 Commvault Way
  • Tinton Falls
  • New Jersey
  • 7724
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CVLTNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDSep 2006
D6IDB (Deutsche Boerse AG)YesCommon StockDEEURSep 2006
D6IBRSE (Berne Stock Exchange)YesCommon StockCHCHFSep 2006

Biography

Commvault Systems, Inc. provides data protection and information management software applications and related services in the United States, Canada, Latin America, Europe, the Middle East, Africa, Australia, New Zealand, Southeast Asia, and China. It offers Commvault Complete Backup & Recovery, a backup and recovery solution for enterprises; and Commvault HyperScale Technology, an add-on for Commvault Complete that delivers an on-premises, cloud-like infrastructure to support scale-out secondary storage. The company also provides Commvault Orchestrate, an automated service delivery technology that enables users to provision, sync, and validate data in various environments for IT needs, such as disaster recovery testing, Dev/Test operations, and workload migrations; and Commvault Activate, a solution, which allow customers to comply with privacy regulations. In addition, it sells appliances that integrate the software with hardware for use in a range of business needs and use cases; and offers professional and customer support services. The company sells its software and related services directly through its sales force to large enterprises, small and medium sized businesses, and government agencies, as well as indirectly through its network of value-added resellers, systems integrators, corporate resellers, and original equipment manufacturers. It licenses its software applications to customers in the banking, insurance and financial services, government, healthcare, pharmaceuticals and medical services, technology, legal, manufacturing, utility, and energy industries. The company has strategic relationships with Atos, Cisco, Citrix, Fujitsu, Hewlett Packard Enterprise, Microsoft, Oracle, SAP, and VMware. Commvault Systems, Inc. was founded in 1988 and is headquartered in Tinton Falls, New Jersey. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 01:54
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.