Standard and Poors Equity Research downgrades Commvault Systems from BUY to HOLD

August 20 00:00 2011

New York, August 20 – ( – Analyst Jim Yin of Standard & Poor’s Equity Research downgrade Commvault Systems (CVLT : NASDAQ) from BUY to HOLD, while reducing their estimates for the company. The target price has been reduced from $49 to $37.

Analyst Jim Yin of Standard and Poor’s Equity Research, in a research note published yesterday, mentions that the IT spending environment has deteriorated in the past month. Although the weakness is in federal government and financial service domains, it will spread to other industries due to growing economic uncertainties, the analyst says. Standard & Poor’s Equity Research believes that enterprises would delay purchases which include data storage systems. Data storage systems have been one of the fastest growing segments in IT. Standard & Poor’s Equity Research has reduced the EPS estimates for FY12 and FY13 from $0.65 to $0.61 and from $0.79 to $0.72, respectively.