Is COMMVAULT SYSTEMS INC (CVLT) Halal?

NASDAQ Technology United States $3.4B
✓ HALAL
Confidence: 95/100
COMMVAULT SYSTEMS INC (CVLT) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 0.3% against the AAOIFI threshold of 30%, COMMVAULT SYSTEMS INC comfortably passes the key financial ratio tests. The company operates in the Technology sector (Software - Application), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from March 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 0.3%
/ 30%
7.9%
/ 30%
6.6%
/ 30%
0.67%
/ 5%
✓ HALAL
DJIM 0.3%
/ 33%
7.9%
/ 33%
6.6%
/ 33%
0.67%
/ 5%
✓ HALAL
MSCI 1.0%
/ 33%
27.0%
/ 33%
22.5%
/ 33%
0.67%
/ 5%
✓ HALAL
S&P 0.3%
/ 33%
7.9%
/ 33%
6.6%
/ 33%
0.67%
/ 5%
✓ HALAL
FTSE 1.0%
/ 33%
27.0%
/ 33%
22.5%
/ 50%
0.67%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
39.6
Forward: 15.8
EPS
$1.92
P/B Ratio
15.5
EV/EBITDA
29.7
EV: $3.2B
Revenue
$996M
Growth: 19.5%
Beta
0.6
Low volatility
Current Ratio
2.3

Profitability

Gross Margin 81.4%
Operating Margin 10.1%
Net Margin 7.6%
Return on Equity (ROE) 34.5%
Return on Assets (ROA) 4.1%

Cash Flow & Balance Sheet

Operating Cash Flow$207M
Free Cash Flow$204M
Total Debt$11M
Debt-to-Equity424.5
Current Ratio2.3
Total Assets$1.1B

Price & Trading

Last Close$81.16
50-Day MA$90.08
200-Day MA$142.51
Avg Volume1.1M
Beta0.6
52-Week Range
$76.06
$200.68

About COMMVAULT SYSTEMS INC (CVLT)

CEO
Mr. Sanjay Mirchandani
Employees
3,300
Sector
Technology
Industry
Software - Application
Country
United States
Exchange
NASDAQ
Market Cap
$3.4B
Currency
USD

Commvault Systems, Inc. provides a cyber resilience platform for protecting and recovering data and cloud-native applications in the Americas and internationally. The company offers Operational Recovery, which provides backup, verifiable recovery, and cost-optimized cloud workload mobility to ensure data availability and granular recovery; autonomous recovery for automated disaster and cyber recovery use cases to deliver backup, replication, and disaster recovery for all workloads on-premises, in the cloud, across various clouds, and in hybrid environments; and Cyber Recovery for threat scanning to hunt for threats within backup data, cyber deception, and threat detection to provide early warning of attacks. It also provides Commvault Cloud's Cleanroom Recovery for organizations to be ready to recover by providing a clean, isolated, and on-demand recovery location in the cloud, as well as the ability to test their incident response plans and recover; and Commvault HyperScale X, an intuitive, easy-to-deploy and scale-out, and integrated data protection solution to support enterprises' transformations, such as legacy scale-up infrastructures, hybrid cloud, container, and virtualized environments. In addition, the company offers Commvault Cloud Air Gap Protect, an integrated air-gapped cloud storage target that enables IT organizations to adopt cloud storage to ease digital transformation, reduce risks, and scale; and Commvault's Compliance, which provides built-in reporting, auditing, and logging to help ensure data is not modified or deleted for legal and compliance purposes. Further, it provides Commvault Cloud Rewind to restore an organization's cloud application and data environment; and Commvault's Clumio Backtrack to revert objects and datasets stored in Amazon Simple Storage Service (Amazon S3), as well as professional and customer support services. The company was incorporated in 1996 and is headquartered in Tinton Falls, New Jersey.

Purification Calculator

As a halal stock with 0.67% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is COMMVAULT SYSTEMS INC (CVLT) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), COMMVAULT SYSTEMS INC is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is COMMVAULT SYSTEMS INC's debt ratio?

COMMVAULT SYSTEMS INC's debt ratio is 0.3% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 1.0%.

Does COMMVAULT SYSTEMS INC require dividend purification?

Yes, COMMVAULT SYSTEMS INC has an impermissible income ratio of 0.67%, which means 0.67% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are COMMVAULT SYSTEMS INC's key financial metrics?

COMMVAULT SYSTEMS INC has a market capitalization of $3.4B, trailing P/E ratio of 39.6, and revenue of $996M. The company maintains a gross margin of 81.4% and a net margin of 7.6%. Return on equity stands at 34.5%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.