FBN Securities Initiates Coverage on Commvault Systems

FBN Securities has published a report initiating coverage on Commvault Systems CVLT. In the report, FBN Securities wrote, "Initiating with a Sector Perform/$42PT. We are initiating coverage of data management software company Commvault Systems (CVLT) with a Sector Perform rating and $42PT. Although over half of its revenue comes from the mature ($3B/5% CAGR) backup software market, CVLT has a growing non-backup segment (Advanced Data and Information Management – ADIM) that recently grew faster than 20%/yr. and that includes SRM, replication, archiving, and search. CVLT has well-regarded products (Gartner's placed CVLT best on its Magic Quadrant for backup software in Jan. 2011). We expect FQ1/Jun. revenue/NG EPS of $84.0M/$.18 (generally in line with consensus of $83.7M/$.18) when CVLT reports next Tuesday (August 2) BTM." FBN Securities rated Commvault Systems a sector perform with a price target of $42.00. Commvault Systems closed Monday at $41.25.