Commvault ($CVLT) ARR Growth Guidance Case

Attorneys review the case details to decide whether to proceed with a class action.

D. New Jersey

Court

3:26-cv-05654

Case number

04/29/2025

Class period Start

01/26/2026

Class period End

07/17/2026

Lead Plaintiff motion deadline

$CVLT investors filed a claim against Commvault for allegedly giving ARR growth guidance that did not properly account for how SaaS and term-software sales affected net new ARR.
After Commvault reported third quarter fiscal 2026 net new ARR of $39 million, below the $45 million projection, $CVLT fell 31.1% on January 27, 2026.
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Case Details:

Between April 29, 2025 and January 26, 2026, Commvault told investors it expected strong fiscal 2026 ARR growth. Executives emphasized record results, subscription revenue growth, strong demand for its cyber resilience platform, and guidance that rose from 16%–17% total ARR growth to 18%–19%.

However, during this period, investors allege Commvault’s ARR outlook did not properly account for how different deal types affected reported growth. Commvault allegedly failed to disclose that SaaS deals generally landed at lower average sales prices than software deals, that longer-duration term software deals could dilute ARR, and the company’s projected net new ARR was not reliable without properly factoring in sales mix.

Then, on January 27, 2026, the company reported third quarter fiscal 2026 net new ARR of $39 million, below the $45 million projection discussed the prior quarter. $CVLT fell 31.1%, closing at $89.13. Analysts questioned the explanation, with reports pointing to the SaaS mix shift, longer-term software durations, and whether other deals had been delayed or lost.

Based on these events, $CVLT investors filed a claim against Commvault, alleging the company:
It overstated the reliability of its ARR growth guidance.
It failed to account for how SaaS and longer software deals affected net new ARR.
It caused investors to reassess the business when third-quarter ARR missed expectations.
Investors argue Commvault misled the market about the strength and predictability of its ARR growth, causing losses when the truth emerged.

Case Type

US Securities Class Action

Case Status

Attorney Investigation

Alleged Offence

Misleading Statements,

Financial Misrepresentation,

Fraud,

Failure to Disclose,

Omissions

Suspected Party

Directors,

Management

Security Type

Stocks

Trade Direction

Long

Shock Event Date

01/27/2026

Filing date

05/18/2026

Lead Plaintiff Deadline

07/17/2026

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