Insider Selling: CommVault Systems (NASDAQ:CVLT) CEO Sells $695,217.60 in Stock

Key Points

• CEO Sanjay Mirchandani sold 4,840 CommVault shares for $695,217.60 under a pre-arranged Rule 10b5-1 plan to cover tax obligations from vested equity awards, reducing his direct ownership by 1.8%.
• CommVault shares fell 3.8% to $137.32, while the company trades at a market capitalization of approximately $5.69 billion and a P/E ratio of 87.46.
• The company exceeded quarterly expectations with adjusted EPS of $1.42 versus the $1.16 consensus and revenue of $314.13 million; analysts maintain a “Moderate Buy” consensus with an average price target of $152.47.

CommVault Systems, Inc. (NASDAQ:CVLT - Get Free Report) CEO Sanjay Mirchandani sold 4,840 shares of the firm's stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $143.64, for a total value of $695,217.60. Following the sale, the chief executive officer directly owned 264,533 shares of the company's stock, valued at approximately $37,997,520.12. This represents a 1.80% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Sanjay Mirchandani also recently made the following trade(s):

• On Wednesday, August 19th, Sanjay Mirchandani sold 6,857 shares of CommVault Systems stock. The stock was sold at an average price of $142.80, for a total value of $979,179.60.
• On Monday, August 17th, Sanjay Mirchandani sold 12,437 shares of CommVault Systems stock. The shares were sold at an average price of $143.98, for a total value of $1,790,679.26.

CommVault Systems Trading Down 3.8%

Shares of NASDAQ:CVLT traded down $5.49 during midday trading on Wednesday, reaching $137.32. The company had a trading volume of 449,257 shares, compared to its average volume of 935,905. The company has a debt-to-equity ratio of 16.94, a quick ratio of 2.04 and a current ratio of 2.04. CommVault Systems, Inc. has a 1-year low of $71.75 and a 1-year high of $198.18. The firm has a market cap of $5.69 billion, a price-to-earnings ratio of 87.46 and a beta of 0.81. The company has a fifty day simple moving average of $138.16 and a two-hundred day simple moving average of $108.64.

CommVault Systems (NASDAQ:CVLT - Get Free Report) last released its earnings results on Tuesday, July 28th. The software maker reported $1.42 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.16 by $0.26. The company had revenue of $314.13 million during the quarter, compared to the consensus estimate of $310.43 million. CommVault Systems had a net margin of 5.62% and a return on equity of 88.75%. The company's revenue was up 11.4% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.01 EPS. Research analysts predict that CommVault Systems, Inc. will post 2.84 earnings per share for the current year.

Institutional Trading of CommVault Systems

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Transamerica Financial Advisors LLC bought a new stake in shares of CommVault Systems in the 2nd quarter valued at approximately $25,000. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new stake in shares of CommVault Systems in the 2nd quarter valued at $27,000. Silvant Capital Management LLC bought a new stake in shares of CommVault Systems in the 2nd quarter worth about $30,000. State of Wyoming bought a new stake in shares of CommVault Systems in the 2nd quarter worth about $35,000. Finally, Essential Partners LLC increased its position in shares of CommVault Systems by 9,920.0% during the 1st quarter. Essential Partners LLC now owns 501 shares of the software maker's stock worth $39,000 after purchasing an additional 496 shares in the last quarter. Institutional investors own 93.50% of the company's stock.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on CVLT. Piper Sandler downgraded shares of CommVault Systems from an "overweight" rating to a "neutral" rating and set a $133.00 price target on the stock. in a report on Tuesday, July 28th. KeyCorp raised their target price on CommVault Systems from $125.00 to $175.00 and gave the company an "overweight" rating in a report on Thursday, July 16th. UBS Group reaffirmed a "neutral" rating on shares of CommVault Systems in a research report on Monday, July 27th. Oppenheimer increased their price objective on CommVault Systems from $150.00 to $175.00 and gave the company an "outperform" rating in a report on Friday, July 17th. Finally, Zacks Research lowered CommVault Systems from a "strong-buy" rating to a "hold" rating in a report on Friday, May 1st. One investment analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and ten have issued a Hold rating to the stock. According to data from MarketBeat, CommVault Systems presently has an average rating of "Moderate Buy" and a consensus target price of $152.47.

About CommVault Systems

Commvault Systems, Inc is a global provider of data protection and information management software designed to help organizations manage, protect, and activate data across on-premises and cloud environments. Founded in 1996 and headquartered in Tinton Falls, New Jersey, Commvault offers a suite of integrated products and services that enable enterprises to back up, recover, archive, and analyze data. Its flagship solutions include Commvault Complete Data Protection, Commvault HyperScale, and the SaaS-based Metallic portfolio, which deliver scalable and automated data management capabilities across hybrid infrastructure environments.

Commvault's platform is built on a unified architecture that allows customers to streamline operations, reduce complexity, and ensure data resiliency.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source