A Stock You Should Be Looking At: Guidewire Software Inc. (NYSE:GWRE)

The price of Guidewire Software Inc. (NYSE: GWRE) closed at $78.61 in the last session, up 2.38% from day before closing price of $76.78. In other words, the price has increased by $+1.83 from its previous closing price. On the day, 1128027 shares were traded. GWRE stock price reached its highest trading level at $78.81 during the session, while it also had its lowest trading level at $76.23.

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We take a closer look at GWRE’s different ratios to gain a better understanding of the stock. For the most recent quarter (mrq), Quick Ratio is recorded 3.70 and its Current Ratio is at 3.70. In the meantime, Its Debt-to-Equity ratio is 0.32 whereas as Long-Term Debt/Eq ratio is at 0.32.

Upgrades & Downgrades

In addition, analysts’ ratings and any changes thereto give investors an idea of the stock’s future direction. In the most recent recommendation for this company, Goldman on January 23, 2023, initiated with a Buy rating and assigned the stock a target price of $88.

On December 01, 2022, JP Morgan started tracking the stock assigning a Overweight rating and target price of $78.

On July 27, 2022, Oppenheimer started tracking the stock assigning a Outperform rating and target price of $85.Oppenheimer initiated its Outperform rating on July 27, 2022, with a $85 target price.

Insider Transactions:

An investor can also benefit from insider trades by learning what management is thinking about the future direction of stock prices. A recent insider transaction in this stock occurred on Mar 01 when King James Winston sold 192 shares for $70.36 per share. The transaction valued at 13,509 led to the insider holds 37,942 shares of the business.

Hung Priscilla sold 9,547 shares of GWRE for $668,290 on Jan 18. The President & COO now owns 57,915 shares after completing the transaction at $70.00 per share. On Jan 10, another insider, Cooper Jeffrey Elliott, who serves as the Chief Financial Officer of the company, sold 403 shares for $66.23 each. As a result, the insider received 26,691 and left with 64,321 shares of the company.

Valuation Measures:

For the stock, the TTM Price-to-Sale (P/S) ratio is 7.56 while its Price-to-Book (P/B) ratio in mrq is 5.29.

Stock Price History:

Over the past 52 weeks, GWRE has reached a high of $97.32, while it has fallen to a 52-week low of $52.08. The 50-Day Moving Average of the stock is 71.53, while the 200-Day Moving Average is calculated to be 68.46.

Shares Statistics:

According to the various share statistics, GWRE traded on average about 829.24K shares per day over the past 3-months and 1.17M shares per day over the past 10 days. A total of 82.05M shares are outstanding, with a floating share count of 81.15M. Shares short for GWRE as of Jan 12, 2023 were 3.93M with a Short Ratio of 3.20M, compared to 5.14M on Dec 14, 2022. Therefore, it implies a Short% of Shares Outstanding of 4.79% and a Short% of Float of 4.80%.

Earnings Estimates

The company has 14 analysts who recommend its stock at the moment. On average, analysts expect EPS of -$0.03 for the current quarter, with a high estimate of $0.03 and a low estimate of -$0.13, while EPS last year was -$0.06. The consensus estimate for the next quarter is -$0.08, with high estimates of $0.04 and low estimates of -$0.22.

Analysts are recommending an EPS of between $0.21 and -$0.31 for the fiscal current year, implying an average EPS of -$0.03. EPS for the following year is $0.18, with 15 analysts recommending between $0.51 and -$0.35.

Revenue Estimates

According to 13 analysts, the current quarter’s revenue is expected to be $223.21M. It ranges from a high estimate of $225.67M to a low estimate of $221M. As of the current estimate, Guidewire Software Inc.’s year-ago sales were $204.63M, an estimated increase of 9.10% from the year-ago figure. For the next quarter, 13 analysts are estimating revenue of $213.7M, an increase of 8.20% less than the figure of $9.10% in the same quarter last year. There is a high estimate of $229M for the next quarter, whereas the lowest estimate is $200.38M.

A total of 15 analysts have provided revenue estimates for GWRE’s current fiscal year. The highest revenue estimate was $895M, while the lowest revenue estimate was $869.42M, resulting in an average revenue estimate of $890.66M. In the same quarter a year ago, actual revenue was $812.61M, up 9.60% from the average estimate. Based on 15 analysts’ estimates, the company’s revenue will be $984.45M in the next fiscal year. The high estimate is $1B and the low estimate is $933.32M. The average revenue growth estimate for next year is up 10.50% from the average revenue estimate for this year.