10 Analysts Assess Guidewire Software: What You Need To Know
10 analysts have shared their evaluations of Guidewire Software (NYSE:GWRE) during the recent three months, expressing a mix of bullish and bearish perspectives.
The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 7 | 0 | 1 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 2 | 6 | 0 | 1 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $140.2, with a high estimate of $170.00 and a low estimate of $95.00. Marking an increase of 9.7%, the current average surpasses the previous average price target of $127.80.
Interpreting Analyst Ratings: A Closer Look
A clear picture of Guidewire Software's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Rishi Jaluria | RBC Capital | Raises | Outperform | $170.00 | $130.00 |
| Michael Turrin | Wells Fargo | Raises | Overweight | $150.00 | $140.00 |
| Joe Vruwink | Baird | Raises | Outperform | $152.00 | $140.00 |
| Rishi Jaluria | RBC Capital | Maintains | Outperform | $130.00 | $130.00 |
| Alexei Gogolev | JP Morgan | Raises | Overweight | $145.00 | $133.00 |
| Ken Wong | Oppenheimer | Raises | Outperform | $140.00 | $130.00 |
| Parker Lane | Stifel | Raises | Buy | $140.00 | $130.00 |
| Michael Turrin | Wells Fargo | Raises | Overweight | $140.00 | $130.00 |
| Brad Sills | B of A Securities | Raises | Underperform | $95.00 | $80.00 |
| Matthew Vanvliet | BTIG | Raises | Buy | $140.00 | $135.00 |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Guidewire Software. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Guidewire Software compared to the broader market.
- Price Targets: Understanding forecasts, analysts offer estimates for Guidewire Software's future value. Examining the current and prior targets provides insight into analysts' changing expectations.
Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Guidewire Software's market standing. Stay informed and make well-considered decisions with our Ratings Table.
Stay up to date on Guidewire Software analyst ratings.
About Guidewire Software
Guidewire Software provides software solutions for property and casualty insurers. Flagship product InsuranceSuite is an on-premises system of record and comprises ClaimCenter, a claims management system; PolicyCenter, a policy management system including policy definitions, quotas, issuance, maintenance, and renewal; and BillingCenter, for billing management, payment plans, and agent commissions. The company also offers InsuranceNow, a cloud-based offering, as well as a variety of other add-on applications.
Understanding the Numbers: Guidewire Software's Finances
Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.
Revenue Growth: Guidewire Software's remarkable performance in 3 months is evident. As of 30 April, 2024, the company achieved an impressive revenue growth rate of 16.0%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Information Technology sector.
Net Margin: Guidewire Software's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -2.28%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Guidewire Software's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -0.43%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): Guidewire Software's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -0.27%, the company may face hurdles in generating optimal returns from its assets.
Debt Management: With a below-average debt-to-equity ratio of 0.34, Guidewire Software adopts a prudent financial strategy, indicating a balanced approach to debt management.
Analyst Ratings: Simplified
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
This article was generated by Benzinga's automated content engine and reviewed by an editor.