3 Under-the-Radar Cybersecurity Stocks With Major Upside Potential CommVault Systems (NASDAQ:CVLT) reported first-quarter fiscal 2027 results that exceeded its expectations, driven by continued growth in subscription and software-as-a-service offerings, while the company raised…
s full-year non-GAAP EBIT margin outlook and subscription revenue guidance. Chief Executive Officer Sanjay Mirchandani said subscription annual recurring revenue, or ARR, rose 22% year over year to $1.05 billion
SaaS ARR increased 38% to $424 million, while subscription revenue grew 16% to $267 million. SaaS revenue surpassed $100 million for the quarter, and the company expanded its EBIT margin by more than 200 basis points to approximately 23%. – 3 Under-the-Radar Software Stocks Ready to Bounce “AI is expanding the surface area for data disruption and cyber attacks,” Mirchandani said, describing artificial intelligence as a tailwind for Commvault’s data protection and cyber-resilience platform. He said enterprises are increasingly focused not only on backing up data, but also on verifying its integrity, governing access and recovering to a clean state following an incident.
Subscription growth and profitability Chief Financial Officer Gary Merrill said Commvault added $39 million in net new subscription ARR during the quarter, with SaaS growth supported by new customers and expansion among existing customers. The company exceeded 10,000 active SaaS customers, and subscription net dollar retention was 114%, unchanged from the prior quarter. – Commvault Stock: AI Cybersecurity Giant Ready to Double Again Identity resilience and data security offerings accounted for more than one-third of net new subscription ARR, Merrill said. The company also cited growth in emerging SaaS offerings including Clumio S3 protection, Google Workspace and Azure DevOps.