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Commvault expands AWS offerings with cyber resilience platform

Published 10/08/2024, 09:13 AM
CVLT
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LONDON - Commvault, a global leader in cyber resilience and data protection solutions, has announced the availability of its comprehensive Commvault® Cloud platform on Amazon (NASDAQ:AMZN) Web Services (AWS). The platform includes a suite of services aimed at enhancing data protection and cyber recovery for AWS customers.

The move comes in response to the growing trend of organizations adopting a cloud-first strategy, where cyber resilience is increasingly critical. With 73% of new data projected to be stored in the cloud, according to industry analyses, Commvault's announcement is set to provide more options for organizations to bolster resilience using the secure AWS Cloud.

Among the offerings now available to AWS customers are Cloud Rewind and Air Gap Protect. Cloud Rewind, based on Appranix technology, allows users to "rewind" to a clean copy of their data, facilitating rapid recovery and automation of the cloud application rebuild process post-cyberattack. Air Gap Protect offers immutable, isolated copies of data as a service, providing an additional layer of data protection.

Furthermore, Commvault is enhancing cyber resilience for Amazon Simple Storage Service (Amazon S3) through its recent acquisition of Clumio. This technology will enable Amazon S3 customers to quickly revert to an uninfected data state in the event of a cyberattack, an important safeguard for large datasets, including those used in AI and machine learning.

The company is also extending Cleanroom Recovery to AWS, allowing organizations to provision recovery infrastructure automatically, restore production workloads to an isolated AWS location, and conduct forensics in a secure environment. This service also permits IT and security teams to test their cyber recovery plans thoroughly.

Commvault's history with AWS is already well-established, with vast amounts of customer data backed up to AWS targets in the past year. With the new offerings, Commvault anticipates a significant increase in the use of its platform on AWS.

The suite of Commvault solutions for AWS will be generally available in the coming months and accessible via the AWS Marketplace. This development is expected to enhance data protection, resilience, and recovery processes for joint customers, as noted by Marek Duranik from Merck, Sharp (OTC:SHCAY) & Dohme (MSD).

Pranay Ahlawat, Chief Technology and AI Officer at Commvault, expressed confidence that the company's technology will enable customers to recover faster and bolster their cyber resilience strategies.

This news is based on a press release statement from Commvault.

In other recent news, Commvault Systems Inc. reported a 13% increase in total revenue to $225 million and a 17% rise in annual recurring revenue (ARR) to $803 million in the first quarter of fiscal year 2025. The company has also made significant strides in its operations, including the sale of its corporate headquarters for $36 million. In terms of recent developments, Commvault Systems announced the acquisition of Clumio, a cloud data protection vendor, aiming to enhance its cyber resilience offerings and recovery for AWS-based applications. The acquisition is expected to contribute immediately to Commvault's ARR and revenue growth.

In the realm of analyst notes, Piper Sandler maintained a Neutral rating on Commvault's shares, while DA Davidson raised the price target for Commvault Systems to $175 from $170, maintaining a Buy rating. Guggenheim also reiterated a Buy rating, signaling confidence in the company's market position.

In addition to these developments, Commvault unveiled Cloud Rewind, a feature designed to expedite the recovery process for cloud-first organizations after cyberattacks. This offering, developed from the recent acquisition of Appranix, aims to simplify and speed up the rebuilding of entire cloud application environments, reducing the time it takes for businesses to resume normal operations following an incident.

Lastly, the company confirmed the election of nine director nominees and the ratification of Ernst & Young LLP as the company’s independent public accountants for the fiscal year ending March 31, 2025. All these recent developments underscore the company's strong execution and promising growth prospects.

InvestingPro Insights

Commvault's strategic move to expand its offerings on AWS aligns well with its strong financial performance and market position. According to InvestingPro data, Commvault has demonstrated impressive revenue growth, with a 10.32% increase in the last twelve months as of Q1 2023. This growth is even more pronounced in the most recent quarter, showing a 13.38% increase.

The company's focus on cloud-based solutions is reflected in its robust gross profit margin of 82.0%, indicating efficient cost management and potential for scalability in its cloud offerings. This aligns with an InvestingPro Tip highlighting Commvault's "impressive gross profit margins."

Investors seem to be recognizing Commvault's potential, as evidenced by the stock's strong performance. The company has seen a remarkable 122.45% price total return over the past year, and it's currently trading near its 52-week high, with the price at 97.17% of the 52-week high value.

While these metrics paint a positive picture, it's worth noting that Commvault is trading at relatively high valuation multiples. The P/E ratio stands at 38.1, which an InvestingPro Tip describes as "trading at a high earnings multiple." This could suggest that investors have high expectations for the company's future growth, particularly given its strategic moves in the cloud space.

For readers interested in a more comprehensive analysis, InvestingPro offers 17 additional tips for Commvault, providing a deeper insight into the company's financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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