Why CommVault Shares Soared
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What: Shares of CommVault have soared today by upwards of 12% after the company reported better-than-expected earnings.
So what: Revenue in the fiscal first quarter totaled $134.4 million, topping the consensus estimate of $132.2 million. That helped CommVault post a bottom-line beat, with $0.40 per share in adjusted profit ahead of the $0.35 per share forecast.
Now what: CEO N. Robert Hammer said the company is enjoying continued demand for its Simpana 10 software platform, and operating discipline is helping the bottom line. Both software and services businesses grew sales by 20% or more, and CommVault posted a gross margin of 87%. The company continues to flirt with all-time highs as investors express optimism, despite a premium valuation.
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The article Why CommVault Shares Soared originally appeared on Fool.com.Fool contributor Evan Niu, CFA, has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.