Guidewire Software's (GWRE) Hold Rating Reiterated at Needham & Company LLC

Key Points

• Needham & Company reiterated its “Hold” rating on Guidewire Software, while the broader analyst consensus remains “Moderate Buy,” with 13 Buy ratings and four Holds and an average price target of $223.93.
• Guidewire reported quarterly EPS of $0.99 versus the $0.93 consensus estimate, while revenue rose 15.3% year over year to $411.09 million, exceeding expectations.
• Shares opened at $202.22, with a market capitalization of approximately $16.84 billion; the stock trades at a high price-to-earnings ratio of 109.31 and remains well below its 52-week high of $272.60.

Guidewire Software (NYSE:GWRE - Get Free Report)'s stock had its "hold" rating restated by analysts at Needham & Company LLC in a note issued to investors on Friday, Benzinga reports.

Several other research firms have also recently commented on GWRE. JPMorgan Chase & Co. dropped their target price on shares of Guidewire Software from $300.00 to $258.00 and set an "overweight" rating on the stock in a research report on Tuesday, July 14th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Guidewire Software in a report on Monday. Piper Sandler began coverage on Guidewire Software in a research report on Monday, August 10th. They set an "overweight" rating and a $210.00 price target for the company. Royal Bank Of Canada dropped their price target on Guidewire Software from $250.00 to $215.00 and set an "outperform" rating on the stock in a report on Friday, June 5th. Finally, Wells Fargo & Company cut their price objective on Guidewire Software from $210.00 to $190.00 and set an "overweight" rating on the stock in a research report on Friday, June 5th. Thirteen research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $223.93.

Guidewire Software Price Performance

GWRE opened at $202.22 on Friday. Guidewire Software has a 1 year low of $102.30 and a 1 year high of $272.60. The company has a debt-to-equity ratio of 0.51, a current ratio of 2.44 and a quick ratio of 2.44. The company has a market capitalization of $16.84 billion, a price-to-earnings ratio of 109.31 and a beta of 0.97. The firm's fifty day moving average price is $160.22 and its two-hundred day moving average price is $146.26.

Guidewire Software (NYSE:GWRE - Get Free Report) last announced its earnings results on Thursday, September 3rd. The technology company reported $0.99 EPS for the quarter, beating the consensus estimate of $0.93 by $0.06. Guidewire Software had a net margin of 11.25% and a return on equity of 12.62%. The company had revenue of $411.09 million during the quarter, compared to the consensus estimate of $402.61 million. During the same quarter in the prior year, the company posted $0.84 earnings per share. The firm's revenue for the quarter was up 15.3% on a year-over-year basis. As a group, analysts anticipate that Guidewire Software will post 1.83 earnings per share for the current fiscal year.

Insider Transactions at Guidewire Software

In related news, insider James King sold 1,684 shares of Guidewire Software stock in a transaction that occurred on Thursday, July 9th. The shares were sold at an average price of $130.64, for a total value of $219,997.76. Following the sale, the insider owned 30,018 shares of the company's stock, valued at approximately $3,921,551.52. The trade was a 5.31% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Michael Rosenbaum sold 5,830 shares of the company's stock in a transaction that occurred on Tuesday, June 16th. The shares were sold at an average price of $118.74, for a total value of $692,254.20. Following the completion of the transaction, the chief executive officer owned 199,776 shares in the company, valued at approximately $23,721,402.24. The trade was a 2.84% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 47,093 shares of company stock valued at $7,185,902. Corporate insiders own 0.46% of the company's stock.

Institutional Trading of Guidewire Software

Several hedge funds have recently made changes to their positions in the company. Measured Wealth Private Client Group LLC purchased a new stake in Guidewire Software in the 3rd quarter worth about $29,000. Advisors Asset Management Inc. purchased a new stake in Guidewire Software during the first quarter valued at about $25,000. Fiduciary Financial Advisors bought a new position in Guidewire Software during the second quarter worth about $29,000. Leonteq Securities AG bought a new position in Guidewire Software during the first quarter worth about $36,000. Finally, Bogart Wealth LLC increased its stake in shares of Guidewire Software by 127.8% in the first quarter. Bogart Wealth LLC now owns 246 shares of the technology company's stock worth $37,000 after purchasing an additional 138 shares in the last quarter.

Trending Headlines about Guidewire Software

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

• Positive Sentiment: Fiscal Q4 results exceeded expectations: Guidewire reported adjusted earnings of $0.99 per share versus consensus estimates of roughly $0.93–$0.94, while revenue rose 15.3% year over year to $411.1 million, topping the $402.6 million estimate. EPS increased from $0.84 a year earlier. Guidewire Announces Fourth Quarter and Fiscal Year 2026 Financial Results
• Positive Sentiment: Demand and AI momentum remain encouraging: Management said insurers are deepening commitments to Guidewire’s core products and expanding into new pricing and artificial-intelligence-focused offerings, supporting the company’s longer-term growth outlook. Guidewire Q4 2026 Earnings Call Transcript
• Positive Sentiment: BTIG became more bullish: BTIG Research raised its price target from $175 to $230 and maintained a Buy rating, implying additional upside based on the supplied current-price reference. Guidewire Stock Price Expected to Rise, BTIG Research Analyst Says
• Neutral Sentiment: Fiscal 2027 revenue outlook is broadly in line for the full year: Guidewire projected approximately $1.7 billion in fiscal 2027 revenue, roughly matching consensus expectations.
• Negative Sentiment: Near-term guidance disappointed investors: First-quarter fiscal 2027 revenue guidance of $372 million to $378 million was below the $386.1 million analyst consensus. That cautious outlook is driving the share-price decline despite the quarterly earnings and revenue beats. Guidewire Shares Tumble on Weak First Quarter Guidance

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.

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