WallStSmart

CommVault Systems Inc (CVLT)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sonos Inc generates 23% more annual revenue ($1.49B vs $1.22B). CVLT leads profitability with a 5.6% profit margin vs 3.8%. SONO trades at a lower P/E of 32.3x. SONO earns a higher WallStSmart Score of 48/100 (D+).

CVLT

Hold

44

out of 100

Grade: D

Growth: 5.3Profit: 6.5Value: 4.0Quality: 4.0
Piotroski: 3/9Altman Z: 0.10

SONO

Hold

48

out of 100

Grade: D+

Growth: 6.0Profit: 4.5Value: 3.7Quality: 7.0
Piotroski: 3/9Altman Z: 2.04
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CVLTUndervalued (+22.4%)

Margin of Safety

+22.4%

Fair Value

$113.09

Current Price

$130.07

$16.98 discount

UndervaluedFair: $113.09Overvalued
SONOSignificantly Overvalued (-31.9%)

Margin of Safety

-31.9%

Fair Value

$12.51

Current Price

$15.12

$2.61 premium

UndervaluedFair: $12.51Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CVLT1 strengths · Avg: 10.0/10
Return on EquityProfitability
942.9%10/10

Every $100 of equity generates 943 in profit

SONO2 strengths · Avg: 9.5/10
EPS GrowthGrowth
87.5%10/10

Earnings expanding 87.5% YoY

Debt/EquityHealth
0.129/10

Conservative balance sheet, low leverage

Areas to Watch

CVLT4 concerns · Avg: 2.5/10
Profit MarginProfitability
5.6%3/10

5.6% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.172/10

Expensive relative to growth rate

P/E RatioValuation
85.5x2/10

Premium valuation, high expectations priced in

SONO4 concerns · Avg: 3.3/10
P/E RatioValuation
32.3x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.72B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.2%3/10

ROE of 6.2% — below average capital efficiency

Profit MarginProfitability
3.8%3/10

3.8% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : CVLT

The strongest argument for CVLT centers on Return on Equity. Revenue growth of 11.4% demonstrates continued momentum.

Bull Case : SONO

The strongest argument for SONO centers on EPS Growth, Debt/Equity.

Bear Case : CVLT

The primary concerns for CVLT are Profit Margin, Piotroski F-Score, PEG Ratio. A P/E of 85.5x leaves little room for execution misses. Debt-to-equity of 17.63 is elevated, increasing financial risk.

Bear Case : SONO

The primary concerns for SONO are P/E Ratio, Market Cap, Return on Equity. Thin 3.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

SONO carries more volatility with a beta of 1.94 — expect wider price swings.

CVLT is growing revenue faster at 11.4% — sustainability is the question.

CVLT generates stronger free cash flow (51M), providing more financial flexibility.

Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SONO scores higher overall (48/100 vs 44/100). CVLT offers better value entry with a 22.4% margin of safety. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

CommVault Systems Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Commvault Systems, Inc. provides data protection and information management software applications and related services in the United States and internationally. The company is headquartered in Tinton Falls, New Jersey.

Sonos Inc

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Sonos, Inc. designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Santa Barbara, California.

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