Stock Analysis

Stock Analysis · CommVault Systems Inc (CVLT)

Overview

Commvault Systems, Inc. (CVLT) is a software company focused on protecting, managing, and recovering data for organizations. In simple terms, its products help businesses keep their information safe, restore it after accidents or cyberattacks, and manage data across different places where it can live today (on company-owned servers, in public cloud services, or split across both).

Commvault generally sells its software through subscriptions and related support services, and it also provides professional services to help customers deploy and run its products. As described in its SEC filings, revenue typically comes from software subscriptions/licenses and maintenance/support, plus services (implementation and other assistance). Public filings are the right place to confirm the exact breakdown by period; percentages can change depending on how contracts are structured and how the company reports categories.

Based on the company’s business model described in filings, the main revenue streams are commonly organized as:

Subscription and software-related revenue (recurring contracts for using Commvault’s platform)
Maintenance and support (customer support and updates tied to ongoing use)
Services (professional services such as implementation and advisory work)

The financial pattern over recent fiscal years shows the company expanding revenue and generating meaningful gross profit, while spending heavily on operating costs such as research and development and sales/administration (typical for enterprise software firms).

Across the periods shown, total revenue increases from about $723M (FY2021) to about $996M (FY2025). Gross profit also rises over time, while operating expenses remain a large portion of revenue. Net income fluctuates meaningfully year to year, including a notably strong FY2024 result versus prior periods.

Key Figures

Metric	Value	Industry ⓘ
Date	Feb 08, 2026
Context
Sector	Technology
Industry	Software - Application
Market Cap ⓘ	$3.80B
Beta ⓘ	0.59
Fundamental
P/E Ratio ⓘ	44.83	27.79
Profit Margin ⓘ	7.59%	6.02%
Revenue Growth ⓘ	19.50%	15.80%
Debt to Equity ⓘ	438.55%	25.15%
PEG ⓘ	2.26
Free Cash Flow ⓘ	$181.48M

Commvault’s market capitalization is about $3.8B, and its beta of 0.59 suggests the stock has historically moved less than the broader market. The latest P/E ratio is about 44.8 versus an industry median near 27.8, while the latest profit margin is about 7.6% versus an industry median near 6.0%. The latest year-over-year revenue growth is about 19.5% (industry median about 15.8%). Free cash flow over the trailing twelve months is about $181M. The debt-to-equity figure shown (~439%) is far above the industry median (~25%) and also differs sharply from the company’s own earlier history, which is important context discussed in the Risks section.

Growth (Medium)

Data protection and recovery is a long-running need for organizations, and it tends to become more important as data volumes grow and environments become more complex (mixing on-premises systems with multiple cloud providers). In addition, ransomware and other disruptive cyber incidents increase the value of reliable backup and fast recovery. These drivers support ongoing demand for enterprise-grade data protection software.

Commvault’s strategy, as described in its filings, centers on providing a platform that can protect data across different infrastructure types, with an emphasis on subscription-based revenue. For long-term business resilience, a recurring subscription model can improve revenue visibility compared to one-time license sales, though the pace of growth still depends on customer adoption, renewals, and competitive positioning.

The year-over-year revenue growth rate shows a clear acceleration after a softer patch around late 2022 and early 2023 (including brief negative readings). More recently, growth increases into the mid-to-high teens and above 20% in several quarters, ending around 19.5% in the latest period shown.

Free cash flow (cash generated after operating needs and capital spending) remains positive across the periods shown and rises from about $116M (FY2021) to about $204M (FY2025), with the latest trailing figure around $181M. Consistent positive free cash flow can provide flexibility for product investment and balance-sheet management, even when accounting earnings fluctuate.