Commvault stock popped on Tuesday after the data backup and recovery company reported fiscal third-quarter earnings and sales that topped Wall Street targets.
Further, Commvault said that it earned an adjusted 94 cents per share on sales of $262.6 million for the December-ended quarter. Adjusted earnings climbed 20% from a year earlier while revenue rose 21%.
Analysts polled by FactSet projected the Tinton Falls, N.J.-based company would post adjusted earnings of 87 cents per share on sales of $245.6 million.
On the stock market today, Commvault stock rose 6.8% to near 169. The move would put shares back above their 10-week moving average for the first time this year.
Commvault Stock Technical Ratings
Commvault stock has been helped by the strong growth of its subscription-focused products. Subscription revenue grew 39% to $158.3 million in the December quarter.
For the current quarter ending in March, Commvault forecast sales of $262 million at the midpoint of guidance vs. estimates of $251.3 million.
Moreover, Commvault's fiscal year ends March 31.
Coming into the Commvault earnings report, CVLT stock had an IBD Composite Rating of 97 out of a best possible 99, according to IBD Stock Checkup. The score combines five separate proprietary ratings into one rating. The best growth stocks have a Composite Rating of 90 or better.
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