Commvault Systems (CVLT) ended the recent trading session at $161.42, demonstrating a +0.6% swing from the preceding day's closing price. This change lagged the S&P 500's 1.83% gain on the day. Meanwhile, the Dow experienced a rise of 1.65%, and the technology-dominated Nasdaq saw an increase of 2.45%.

The data-management software company's stock has dropped by 3.59% in the past month, exceeding the Computer and Technology sector's loss of 3.84% and lagging the S&P 500's loss of 3.31%.

Market participants will be closely following the financial results of Commvault Systems in its upcoming release. The company plans to announce its earnings on January 28, 2025. The company's upcoming EPS is projected at $0.87, signifying a 11.54% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $246.13 million, indicating a 13.52% upward movement from the same quarter last year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $3.43 per share and revenue of $956.2 million, which would represent changes of +15.1% and +13.94%, respectively, from the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Commvault Systems. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.15% lower. Currently, Commvault Systems is carrying a Zacks Rank of #4 (Sell).

In terms of valuation, Commvault Systems is currently trading at a Forward P/E ratio of 46.75. This indicates a premium in contrast to its industry's Forward P/E of 29.67.

The Computer - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 157, this industry ranks in the bottom 38% of all industries, numbering over 250.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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