Commvault Systems' (CVLT) Q3 results are expected to modestly beat expectations, driven by sustained demand for cyber-resilience products and product innovation across SaaS and cloud workloads, Oppenheimer said in a note Wednesday.

The firm said data protection against cyber threats remains a key priority for companies, driving demand in the backup and recovery market.

Oppenheimer said Commvault's increased pace of innovation is contributing to incremental demand, highlighting improvements to the user interface and better multi-cloud support.

The firm also pointed to the recent launch of Cloud Unity, which provides a single control pane across data security, identity resilience and cyber recovery. The unified platform differentiates Commvault from competitors that rely on fragmented solutions and should support additional revenue and share gains, according to the note.

Commvault Systems is scheduled to report Q3 earnings on Jan. 27 and Oppenheimer expects the company to issue Q4 guidance above expectations.

Oppenheimer reiterated its outperform rating on Commvault Systems and lowered its price target to $180 from $200.

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