5 Analysts Assess Guidewire Software: What You Need To Know

In the preceding three months, 5 analysts have released ratings for Guidewire Software GWRE, presenting a wide array of perspectives from bullish to bearish.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts have set 12-month price targets for Guidewire Software, revealing an average target of $233.4, a high estimate of $250.00, and a low estimate of $210.00. Witnessing a positive shift, the current average has risen by 1.7% from the previous average price target of $229.50.

Diving into Analyst Ratings: An In-Depth Exploration

In examining recent analyst actions, we gain insights into how financial experts perceive Guidewire Software. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Guidewire Software. This information provides a snapshot of how analysts perceive 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: Analysts navigate through adjustments in price targets, providing estimates for Guidewire Software's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Capture valuable insights into Guidewire Software's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Guidewire Software analyst ratings.

Delving into Guidewire Software's Background

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.

Breaking Down Guidewire Software's Financial Performance

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Positive Revenue Trend: Examining Guidewire Software's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 20.17% as of 31 January, 2025, showcasing a substantial increase in 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 -12.88%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Guidewire Software's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -2.94%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Guidewire Software's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -1.45%, the company may face hurdles in achieving optimal financial performance.

Debt Management: With a high debt-to-equity ratio of 0.7, Guidewire Software faces challenges in effectively managing its debt levels, indicating potential financial strain.

What Are Analyst Ratings?

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.