Commvault price target raised to $140 from $122 at KeyBanc

KeyBanc raised the firm’s price target on Commvault to $140 from $122 and keeps an Overweight rating on the shares. The firm’s first half of 2024 CIO survey points to actually a slight increase in budget growth for the year relative to previous expectations, and respondents expect a slight acceleration from IT budgets in 2025, the first since the easy comps of 2020-2021. Certainly, there is less room for optimism in the results and in its team’s sentiment than where KeyBanc stood six months ago, but with feedback from CIOs looking more durable than the results and guidance in the first half of the year implied, it looks like 2024 is setting up to be back-end loaded. In other words, software may be gearing up a budget flush, the firm argues.