If you invested in Commvault and have substantial losses, or have knowledge that may assist the firm’s investigation, submit your losses »
CLASS PERIOD
04/29/2025 - 01/26/2026
LEAD PLAINTIFF DEADLINE
07/17/26
RELATED DOCUMENTS
Complaint (filed by separate counsel) 05/19/26
STOCK SYMBOL
NASDAQ: CVLT
CONTACT
844-916-0895
[email protected]
Commvault provides its customers cyber resiliency by protecting and recovering their data and cloud-native applications amidst increasing cyber threats and attacks.
The company generates revenues through subscriptions, including Software-as-a-Service (“SaaS”), and has said that subscription annual recurring revenue (“ARR”) “is the best indicator of the company’s growth.” Accordingly, investors have focused on this key metric, of which SaaS ARR accounts for about 38%.
During the Class Period, Commvault repeatedly touted that its “execution has never been better across the business[,]” said it would “continue to see hyper-growth within [its] SaaS platform[,]” and hyped its ARR growth and accelerated SaaS target achievement “two quarters earlier than planned.”
The primary focus of the litigation is the claim that the company and its management knew but did not disclose how different types of sales would impact ARR growth, that the company increasingly focused on lower-priced SaaS deals and discounting, and created the misleading impression that its ARR would remain steady throughout fiscal 2026.
Investors learned the truth on January 27, 2026 after Commvault reported underwhelming Q3 2026 financial results. Of concern was the significant miss in net new ARR, a reduction in full-year ARR growth guidance, and a dramatic deceleration in SaaS ARR year-over-year growth (down year-over-year from 71% to just 40%).
The primary discrepancy with the company’s earlier growth narrative was its revelation that composition of sales activity (type of sale) mattered – unknown to investors, volumes increasingly came from dramatically lower-priced SaaS deals and heavily discounted long-term contracts, both of which significantly pressured ARR and SaaS ARR.
Along with the market’s swift, negative reaction, several analysts (some of whom reportedly characterized the results as a “mess” and questioned Commvault’s ability to execute) promptly downgraded their Commvault investment and price target ratings.
FREQUENTLY ASKED QUESTIONS ABOUT THE CASE
- What is the CVLT investigation about?
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We are investigating the pending claims that Commvault intentionally misled investors about adverse impact on its growth narrative brought about by the change in type of sales revelations.
WHAT SHOULD I DO?
- I worked at CVLT. What should I do?
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If you were an employee of CVLT, you may have valuable information that could be relevant to the investigation. Hagens Berman is one of the nation’s top whistleblower law firms, and has successfully represented many individuals who come forward with information regarding corporate malfeasance. Under the new SEC Whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, contact Reed Kathrein at 844-916-0895 or [email protected].
- There are multiple law firms participating, do I need to contact all of them?
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No, you do not need to contact all participating law firms. Generally, class-action investigations and lawsuits are consolidated into a single case to streamline the legal process, and attorneys from only a few law firms are selected to serve in a leadership role on the consolidated case. Hagens Berman has a proven track record of being appointed to leadership roles in complex, multidistrict litigation regarding investor fraud and other consumer rights issues, and your claim will be handled by attorneys who have helped secure approximately $325 billion in class-action settlements on behalf of individuals who have suffered due to corporate malfeasance and the wrongdoing of other powerful institutions.
AM I ELIGIBLE?
- What is the threshold amount to be eligible? What are “substantial” losses?
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The threshold amount and the definition of "substantial" losses may vary depending on a number of factors specific to the case, including the size of the company, market cap, shares outstanding and who holds them and the damages alleged by the fraud. In general, to be eligible to participate in a class-action lawsuit, you must be able to demonstrate that you suffered financial losses as a result of the alleged wrongdoing and that your losses meet the criteria set by the court or law firm. Fill out the form and submit your losses.
CAN I PARTICIPATE?
- Am I affected? What do I need to do to participate?
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If you were an investor in CVLT, you may be affected and eligible to participate in the case. To determine your eligibility and potential involvement, fill out the form and submit your losses.
- Can any CVLT investor participate?
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In most class-action investigations and cases, any investor who meets the eligibility criteria, including purchasing the shares during the relevant period, can participate, regardless of the size of their investment. Fill out the form to find out your rights.
- I bought on a non-U.S. Exchange. Can I participate?
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No. This investigation only covers shares bought on a U.S. exchange, i.e. NASDAQ or NYSE. Fill out the form to find out your rights.
- Am I included if I still hold my shares, or do I need to sell to participate?
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Participation is based on purchasing shares during the relevant period, rather than your current holdings. Accordingly, you do not need to sell to participate. Fill out the form to find out your rights.
