In its upcoming report, Commvault Systems (CVLT) is predicted by Wall Street analysts to post quarterly earnings of $1.25 per share, reflecting an increase of 37.4% compared to the same period last year. Revenues are forecasted to be $310.8 million, representing a year-over-year increase of 12.5%.
The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
With that in mind, let's delve into the average projections of some Commvault metrics that are commonly tracked and projected by analysts on Wall Street.
Analysts predict that the 'Revenues- Subscription' will reach $263.16 million. The estimate suggests a change of +52.4% year over year.
The combined assessment of analysts suggests that 'Revenues- Perpetual license' will likely reach $8.78 million. The estimate indicates a change of -27.3% from the prior-year quarter.
The consensus estimate for 'Revenues- Other services' stands at $11.02 million. The estimate suggests a change of -1.8% year over year.
View all Key Company Metrics for Commvault here>>>Shares of Commvault have experienced a change of +9.5% in the past month compared to an unchanged Zacks S&P 500 composite. With a Zacks Rank #2 (Buy), CVLT is expected to outperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CommVault Systems, Inc. (CVLT): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).