Insider Selling: Clearwater Analytics (NYSE:CWAN) CFO Sells 11,275 Shares of Stock

Key Points

• James Cox, CFO of Clearwater Analytics, sold 11,275 shares of the company's stock at an average price of $17.98, totaling approximately $202,724, which reduced his ownership by 3.22% to 338,983 shares.
• Clearwater Analytics recently announced a $100 million share buyback program, indicating the board's belief that the shares are undervalued.
• Analysts have a consensus price target of $32.67 for Clearwater Analytics's stock, with a current average rating of "Moderate Buy" based on recent analyst reports.

Clearwater Analytics Holdings, Inc. (NYSE:CWAN - Get Free Report) CFO James Cox sold 11,275 shares of the company's stock in a transaction that occurred on Wednesday, October 15th. The stock was sold at an average price of $17.98, for a total transaction of $202,724.50. Following the transaction, the chief financial officer directly owned 338,983 shares of the company's stock, valued at $6,094,914.34. This trade represents a 3.22% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website.

Clearwater Analytics Trading Up 0.2%

Shares of CWAN traded up $0.03 during mid-day trading on Thursday, reaching $18.09. The company had a trading volume of 5,151,397 shares, compared to its average volume of 4,306,065. Clearwater Analytics Holdings, Inc. has a fifty-two week low of $17.15 and a fifty-two week high of $35.71. The firm has a fifty day simple moving average of $19.10 and a 200-day simple moving average of $21.34. The stock has a market cap of $5.29 billion, a price-to-earnings ratio of 11.38, a price-to-earnings-growth ratio of 4.57 and a beta of 0.69. The company has a current ratio of 2.02, a quick ratio of 2.02 and a debt-to-equity ratio of 0.44.

Clearwater Analytics (NYSE:CWAN - Get Free Report) last issued its earnings results on Wednesday, August 6th. The company reported $0.12 earnings per share for the quarter, missing analysts' consensus estimates of $0.13 by ($0.01). Clearwater Analytics had a net margin of 73.74% and a return on equity of 3.23%. The firm had revenue of $181.94 million during the quarter, compared to analyst estimates of $174.16 million. During the same quarter in the previous year, the business posted $0.10 EPS. Clearwater Analytics's revenue was up 70.4% compared to the same quarter last year. On average, sell-side analysts anticipate that Clearwater Analytics Holdings, Inc. will post 0.18 EPS for the current fiscal year.

Clearwater Analytics announced that its Board of Directors has initiated a share buyback program on Wednesday, September 3rd that permits the company to buyback $100.00 million in shares. This buyback authorization permits the company to buy up to 1.7% of its stock through open market purchases. Stock buyback programs are generally a sign that the company's board believes its shares are undervalued.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of CWAN. Zevenbergen Capital Investments LLC raised its holdings in Clearwater Analytics by 48.6% in the first quarter. Zevenbergen Capital Investments LLC now owns 909,429 shares of the company's stock valued at $24,373,000 after acquiring an additional 297,414 shares in the last quarter. Wealth Enhancement Advisory Services LLC acquired a new stake in shares of Clearwater Analytics in the 1st quarter valued at about $314,000. Riverbridge Partners LLC bought a new position in shares of Clearwater Analytics during the second quarter worth about $35,313,000. Vanguard Group Inc. grew its stake in Clearwater Analytics by 11.3% in the first quarter. Vanguard Group Inc. now owns 23,246,312 shares of the company's stock worth $623,001,000 after purchasing an additional 2,366,715 shares in the last quarter. Finally, Yorktown Management & Research Co Inc bought a new stake in Clearwater Analytics in the first quarter valued at about $409,000. Hedge funds and other institutional investors own 50.10% of the company's stock.

Analyst Ratings Changes

A number of brokerages have weighed in on CWAN. Zacks Research raised shares of Clearwater Analytics from a "strong sell" rating to a "hold" rating in a research report on Thursday, September 4th. DA Davidson reduced their target price on shares of Clearwater Analytics from $36.00 to $34.00 and set a "buy" rating on the stock in a report on Tuesday, August 12th. The Goldman Sachs Group raised shares of Clearwater Analytics from a "neutral" rating to a "buy" rating and set a $27.00 price target for the company in a research report on Monday, August 11th. Weiss Ratings reissued a "sell (d+)" rating on shares of Clearwater Analytics in a research report on Wednesday, October 8th. Finally, Royal Bank Of Canada restated an "outperform" rating and set a $36.00 price objective on shares of Clearwater Analytics in a research note on Wednesday, September 17th. Nine equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $32.67.

Clearwater Analytics Company Profile

Clearwater Analytics Holdings, Inc develops and provides a Software-as-a-Service (SaaS) solution for automated investment data aggregation, reconciliation, accounting, and reporting services to insurers, investment managers, corporations, institutional investors, and government entities in the United States and internationally.

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