Class Action Lawsuit Vs. CommVault by Kahn Swick & Foti …

Kahn Swick & Foti, LLC (KSF) and KSF partner, the former Attorney General of Louisiana, Charles C. Foti, Jr., remind investors that they have until November 11, 2014 to file lead plaintiff applications in a securities class action lawsuit against CommVault Systems, Inc., if they purchased the company’s securities between May 15, 2013 and April 24, 2014, inclusive.

This action is pending in the United States District Court for the District of New Jersey.

CommVault and certain of its executives are charged with issuing a series of materially false and misleading statements during the class period, violating federal securities laws.

On January 29, 2014, CommVault disclosed that it had only met its revenue growth target because of the timely recognition of deferred software licensing revenue, effectively depleting CommVault’s deferred licensing revenue, and that it had missed its sales force hiring target for the quarter. Then, on April 25, 2014, CommVault revealed that – without the ability to recognize deferred software licensing revenue – its fiscal fourth quarter profit dropped as a result of significant deceleration in revenue growth and that its financial results were negatively impacted, in large part, by inadequate staffing of sales and marketing personnel.

On this news, the price of CommVault’s shares plummeted.