BUZZ-Commvault Systems rises after Guggenheim turns bullish, sets Street-high PT

Reuters
07/16
BUZZ-Commvault Systems rises after Guggenheim turns bullish, sets Street-high PT

** Shares of cybersecurity firm Commvault Systems CVLT.O up 2.5% early Weds to $170.82 after Guggenheim upgrades to 'buy' from 'neutral'

** Brokerage assigns PT of $210, highest on Wall Street, roughly 26% above stock's last close

** Guggenheim analyst Howard Ma said in note he expects CVLT to deliver upside to all key metrics to start FY26, setting the stage for both rev growth and free cash flow margin over 20% this year

** Ma said channel checks were more positive this qtr vs the last few, which he believes indicates demand for data protection remains strong with the top vendors, including CVLT and Rubrik RBRK.N among them

** Partners have cited CVLT's SaaS offering has begun to see greater traction, "and remains the preferred option for protecting complex, hybrid enterprise IT environments," Ma said

** Of 12 analysts covering CVLT, recommendation breakdown is 9 "strong buy" or "buy" and 3 "hold" ratings; median PT is $190.96, according to LSEG data

** With move on Weds, stock up ~13% YTD vs 7% advance for Nasdaq Composite .IXIC

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com ; 1-646-279-6380))

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