Guidewire Software’s (GWRE) “Buy” Rating Reiterated at DA Davidson

DA Davidson reissued their buy rating on shares of Guidewire Software (NYSE:GWRE) in a research report report published on Friday morning,Benzinga reports. The firm currently has a $222.00 price objective on the technology company’s stock.

Several other research analysts have also recently weighed in on the company. Needham & Company LLC restated a “hold” rating on shares of Guidewire Software in a report on Friday. Stifel Nicolaus cut their price target on Guidewire Software from $225.00 to $200.00 and set a “buy” rating for the company in a report on Friday, June 5th. Zacks Research downgraded Guidewire Software from a “strong-buy” rating to a “hold” rating in a research report on Monday, May 25th. JPMorgan Chase & Co. lowered their price objective on Guidewire Software from $300.00 to $258.00 and set an “overweight” rating on the stock in a research note on Tuesday, July 14th. Finally, Robert W. Baird upped their target price on Guidewire Software from $202.00 to $235.00 and gave the company an “outperform” rating in a report on Monday, August 31st. Twelve equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat, Guidewire Software presently has an average rating of “Moderate Buy” and an average target price of $216.23.

Guidewire Software Stock Performance

NYSE:GWRE opened at $162.48 on Friday. The company has a market cap of $13.53 billion, a P/E ratio of 99.68 and a beta of 0.97. Guidewire Software has a twelve month low of $102.30 and a twelve month high of $272.60. The company’s 50-day moving average price is $161.05 and its 200-day moving average price is $146.51. The company has a current ratio of 1.79, a quick ratio of 2.44 and a debt-to-equity ratio of 0.57.

Guidewire Software (NYSE:GWRE) last announced its quarterly earnings data on Thursday, September 3rd. The technology company reported $0.99 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.93 by $0.06. The company had revenue of $411.09 million during the quarter, compared to analysts’ expectations of $402.61 million. Guidewire Software had a net margin of 9.44% and a return on equity of 12.66%. Guidewire Software’s revenue was up 15.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.84 EPS. On average, sell-side analysts forecast that Guidewire Software will post 2.15 earnings per share for the current fiscal year.

Insider Transactions at Guidewire Software

In related news, President John Mullen sold 14,400 shares of the stock in a transaction that occurred on Wednesday, August 19th. The stock was sold at an average price of $185.00, for a total value of $2,664,000.00. Following the completion of the transaction, the president directly owned 116,715 shares in the company, valued at approximately $21,592,275. This represents a 10.98% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO David Peterson sold 2,500 shares of the firm’s stock in a transaction on Thursday, August 27th. The stock was sold at an average price of $200.00, for a total value of $500,000.00. Following the sale, the chief accounting officer directly owned 9,787 shares of the company’s stock, valued at approximately $1,957,400. This trade represents a 20.35% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 45,893 shares of company stock valued at $7,023,158 in the last ninety days. 0.46% of the stock is currently owned by corporate insiders.

Institutional Trading of Guidewire Software

A number of hedge funds and other institutional investors have recently modified their holdings of GWRE. California State Teachers Retirement System raised its holdings in Guidewire Software by 11,874.0% in the 2nd quarter. California State Teachers Retirement System now owns 11,757,428 shares of the technology company’s stock valued at $1,446,752,000 after buying an additional 11,659,237 shares during the period. Bamco Inc. NY purchased a new position in Guidewire Software during the second quarter worth about $1,106,768,000. Linonia Partnership LP purchased a new position in Guidewire Software during the second quarter worth about $853,165,000. Route One Investment Company L.P. acquired a new stake in shares of Guidewire Software during the second quarter valued at about $227,564,000. Finally, Geode Capital Management LLC increased its position in shares of Guidewire Software by 8.9% during the fourth quarter. Geode Capital Management LLC now owns 1,778,201 shares of the technology company’s stock valued at $357,504,000 after acquiring an additional 145,924 shares during the last quarter.

Key Stories Impacting Guidewire Software

Here are the key news stories impacting Guidewire Software this week:

• Positive Sentiment: Guidewire reported fourth-quarter adjusted earnings of $0.99 per share, above the roughly $0.93–$0.94 consensus, while revenue of $411.1 million exceeded estimates of $402.6 million and increased 15.3% year over year. Guidewire Announces Fourth Quarter and Fiscal Year 2026 Financial Results
• Positive Sentiment: Management highlighted strong demand for its core insurance software, new pricing products and artificial-intelligence offerings. Fiscal 2027 revenue guidance of approximately $1.7 billion was broadly in line with full-year expectations, and analysts largely retained bullish views. These Analysts Revise Their Forecasts On Guidewire Software After Q4 Results
• Neutral Sentiment: Citigroup raised its price target to $181 but maintained a Neutral rating. Oppenheimer, Wells Fargo, Piper Sandler, RBC, Citizens JMP and DA Davidson reiterated positive ratings and set targets ranging from $195 to $222, while Needham maintained a Hold rating. Citigroup Adjusts Guidewire Software Price Target
• Negative Sentiment: The primary pressure came from fiscal 2027 first-quarter revenue guidance of $372 million–$378 million, below the $386.1 million analyst consensus. Reports also pointed to lower quarterly profit and a cautious outlook, causing investors to discount the earnings beat and question the pace of near-term growth. Guidewire Software Q4 Income Declines and Issues FY27 Outlook

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.