Thornburg Investment Management Inc. Raises Stake in Guidewire Software, Inc. $GWRE

Key Points

• Thornburg Investment Management increased its Guidewire stake by 251% in the second quarter, bringing its holdings to 20,677 shares valued at approximately $2.54 million. Other major institutions, including Bamco and Linonia Partnership, also initiated sizable positions.
• Guidewire reported strong operating momentum, with quarterly revenue rising 26.9% year over year to $372.54 million and EPS of $0.82, exceeding estimates. Annual recurring revenue reached about $1.147 billion, while fiscal 2026 revenue guidance was raised to $1.46 billion-$1.47 billion.
• Analysts maintain a favorable outlook, with a consensus “Moderate Buy” rating and a $223.79 price target, but the stock’s valuation above 100 times earnings and continued insider selling could increase sensitivity to upcoming earnings and fiscal 2027 guidance.

Thornburg Investment Management Inc. grew its stake in Guidewire Software, Inc. (NYSE:GWRE - Free Report) by 251.0% in the second quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 20,677 shares of the technology company's stock after acquiring an additional 14,786 shares during the quarter. Thornburg Investment Management Inc.'s holdings in Guidewire Software were worth $2,544,000 as of its most recent SEC filing.

Several other institutional investors have also modified their holdings of GWRE. Bamco Inc. NY purchased a new stake in shares of Guidewire Software in the second quarter valued at about $1,106,768,000. Linonia Partnership LP acquired a new position in Guidewire Software in the 2nd quarter valued at about $853,165,000. Route One Investment Company L.P. acquired a new position in Guidewire Software in the 2nd quarter valued at about $227,564,000. Geode Capital Management LLC grew its stake in shares of Guidewire Software by 8.9% in the 4th quarter. Geode Capital Management LLC now owns 1,778,201 shares of the technology company's stock valued at $357,504,000 after buying an additional 145,924 shares during the period. Finally, Stockbridge Partners LLC grew its stake in shares of Guidewire Software by 39.0% in the 4th quarter. Stockbridge Partners LLC now owns 1,445,206 shares of the technology company's stock valued at $290,501,000 after buying an additional 405,850 shares during the period.

Insider Activity

In related news, CFO Jeffrey Elliott Cooper sold 2,594 shares of the firm's stock in a transaction dated Tuesday, June 16th. The stock was sold at an average price of $118.74, for a total transaction of $308,011.56. Following the completion of the transaction, the chief financial officer directly owned 63,467 shares in the company, valued at $7,536,071.58. This trade represents a 3.93% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, President John P. Mullen sold 14,400 shares of Guidewire Software stock in a transaction dated Wednesday, August 19th. The shares were 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 of the company's stock, valued at approximately $21,592,275. This represents a 10.98% decrease in their ownership of the stock. 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. Insiders have sold 47,093 shares of company stock worth $7,131,278 in the last quarter. Insiders own 0.46% of the company's stock.

Key Guidewire Software News

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

• Positive Sentiment: Guggenheim raised its price target for Guidewire Software (GWRE) from $180 to $210 and maintained a Buy rating. The analyst expects the company to meet or potentially exceed fourth-quarter estimates, supported by recurring-revenue growth and continued migration of insurers to Guidewire’s cloud platform. Guidewire Software gains as analyst target hike and upbeat growth expectations lift sentiment
• Positive Sentiment: Fundamental momentum remains favorable. Guidewire recently reported annual recurring revenue of approximately $1.147 billion, up 19% year over year, and raised its fiscal 2026 revenue outlook to $1.460 billion–$1.470 billion. New cloud capabilities, including AI-agent functionality, and insurer migration activity are reinforcing the long-term growth narrative.
• Neutral Sentiment: The September 3 earnings release is the next major catalyst. Wall Street expects earnings growth, although a Zacks preview said Guidewire lacks the usual combination of indicators associated with a likely earnings beat. Investors will also watch initial fiscal 2027 guidance for evidence that cloud momentum is continuing. Guidewire Software Reports Next Week
• Neutral Sentiment: Institutional activity has been mixed, with some large investors adding shares while others reduced positions. At a valuation above 100 times earnings, the stock may remain particularly sensitive to earnings execution and forward guidance.
• Negative Sentiment: Chief Accounting Officer David Franklin Peterson sold 2,500 shares for $500,000, reducing his position by about 20%. The sale was made under a pre-arranged Rule 10b5-1 plan, which makes it a weaker discretionary bearish signal. However, recent sales by other executives and the absence of reported insider purchases create an overhang. SEC Form 4 Filing

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on GWRE. Piper Sandler initiated coverage on shares of Guidewire Software in a report on Monday, August 10th. They set an "overweight" rating and a $210.00 price target for the company. BTIG Research reiterated a "buy" rating and issued a $175.00 price objective on shares of Guidewire Software in a research report on Thursday, July 2nd. Oppenheimer raised their target price on Guidewire Software from $180.00 to $200.00 and gave the stock an "outperform" rating in a research note on Monday, August 17th. DA Davidson reduced their target price on Guidewire Software from $246.00 to $222.00 and set a "buy" rating on the stock in a research report on Monday, June 8th. Finally, The Goldman Sachs Group reduced their target price on Guidewire Software from $255.00 to $225.00 and set a "buy" rating on the stock in a research report on Friday, June 5th. Thirteen equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $223.79.

Guidewire Software Stock Up 2.3%

Shares of NYSE GWRE opened at $205.81 on Friday. The firm has a market cap of $17.14 billion, a price-to-earnings ratio of 111.25 and a beta of 0.92. The company has a quick ratio of 2.44, a current ratio of 2.44 and a debt-to-equity ratio of 0.51. Guidewire Software, Inc. has a 52-week low of $102.30 and a 52-week high of $272.60. The business's 50 day moving average is $152.89 and its two-hundred day moving average is $144.13.

Guidewire Software (NYSE:GWRE - Get Free Report) last released its quarterly earnings results on Thursday, June 4th. The technology company reported $0.82 EPS for the quarter, topping the consensus estimate of $0.74 by $0.08. Guidewire Software had a return on equity of 12.62% and a net margin of 11.25%.The business had revenue of $372.54 million during the quarter, compared to analyst estimates of $355.92 million. During the same period last year, the business posted $0.88 earnings per share. The company's quarterly revenue was up 26.9% on a year-over-year basis. Research analysts predict that Guidewire Software, Inc. will post 1.83 EPS for the current year.

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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