Guidewire Software (NYSE:GWRE) Hits New 52-Week Low – Here’s Why

Guidewire Software, Inc. (NYSE:GWRE)’s stock price hit a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $154.96 and last traded at $155.4290, with a volume of 2207571 shares traded. The stock had previously closed at $158.99.

Analyst Upgrades and Downgrades

Several brokerages recently weighed in on GWRE. Wall Street Zen cut Guidewire Software from a “buy” rating to a “hold” rating in a research note on Friday, November 28th. BTIG Research restated a “buy” rating and set a $250.00 target price on shares of Guidewire Software in a report on Wednesday, December 17th. Zacks Research lowered shares of Guidewire Software from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, December 2nd. Wells Fargo & Company lowered their price target on shares of Guidewire Software from $275.00 to $250.00 and set an “overweight” rating for the company in a research report on Thursday, January 8th. Finally, Citizens Jmp restated a “market outperform” rating and issued a $281.00 price objective on shares of Guidewire Software in a report on Wednesday, December 10th. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $269.50.

Guidewire Software Trading Down 2.2%

The stock’s 50 day moving average is $199.51 and its 200-day moving average is $219.37. The company has a market cap of $13.21 billion, a P/E ratio of 148.03, a PEG ratio of 10.36 and a beta of 1.08. The company has a current ratio of 3.48, a quick ratio of 3.48 and a debt-to-equity ratio of 0.44.

Guidewire Software (NYSE:GWRE) last issued its earnings results on Wednesday, December 3rd. The technology company reported $0.66 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.66. The business had revenue of $332.64 million during the quarter, compared to analysts’ expectations of $316.62 million. Guidewire Software had a net margin of 7.23% and a return on equity of 10.15%. The business’s revenue for the quarter was up 26.5% compared to the same quarter last year. During the same period in the previous year, the company earned $0.43 earnings per share. Research analysts anticipate that Guidewire Software, Inc. will post 0.52 earnings per share for the current fiscal year.

Guidewire Software declared that its board has initiated a stock repurchase plan on Thursday, January 8th that allows the company to repurchase $500.00 million in outstanding shares. This repurchase authorization allows the technology company to repurchase up to 3.1% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling at Guidewire Software

In other Guidewire Software news, insider James Winston King sold 1,860 shares of Guidewire Software stock in a transaction on Thursday, December 18th. The stock was sold at an average price of $195.00, for a total value of $362,700.00. Following the completion of the sale, the insider owned 33,702 shares of the company’s stock, valued at approximately $6,571,890. This trade represents a 5.23% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Michael George Rosenbaum sold 1,200 shares of the business’s stock in a transaction on Tuesday, January 13th. The stock was sold at an average price of $180.87, for a total value of $217,044.00. Following the completion of the transaction, the chief executive officer owned 236,743 shares of the company’s stock, valued at $42,819,706.41. This represents a 0.50% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 50,558 shares of company stock worth $10,239,521. Insiders own 0.46% of the company’s stock.

Institutional Trading of Guidewire Software

A number of institutional investors have recently made changes to their positions in GWRE. Vanguard Group Inc. raised its holdings in shares of Guidewire Software by 1.3% during the third quarter. Vanguard Group Inc. now owns 9,039,377 shares of the technology company’s stock valued at $2,077,791,000 after purchasing an additional 116,726 shares during the last quarter. Geode Capital Management LLC grew its position in Guidewire Software by 5.6% in the 2nd quarter. Geode Capital Management LLC now owns 1,578,442 shares of the technology company’s stock worth $372,105,000 after purchasing an additional 84,152 shares during the period. AQR Capital Management LLC grew its position in Guidewire Software by 18.9% in the 3rd quarter. AQR Capital Management LLC now owns 1,271,528 shares of the technology company’s stock worth $292,146,000 after purchasing an additional 202,064 shares during the period. Qube Research & Technologies Ltd raised its stake in Guidewire Software by 34.4% during the 3rd quarter. Qube Research & Technologies Ltd now owns 982,747 shares of the technology company’s stock valued at $225,894,000 after buying an additional 251,280 shares during the last quarter. Finally, Franklin Resources Inc. raised its stake in Guidewire Software by 9.7% during the 3rd quarter. Franklin Resources Inc. now owns 856,487 shares of the technology company’s stock valued at $196,872,000 after buying an additional 75,955 shares during the last quarter.

Guidewire Software Company Profile

Guidewire Software, Inc develops software products and cloud services for property and casualty (P&C) insurance carriers. Headquartered in San Mateo, California, the company’s offerings are designed to help insurers manage the core functions of their business—policy administration, billing and claims—while supporting digital engagement, analytics and operational modernization.

Guidewire’s core product portfolio is commonly known as the InsuranceSuite, which includes PolicyCenter for policy administration, BillingCenter for billing and receivables, and ClaimCenter for claims management.