Guidewire Software (NYSE:GWRE) Reaches New 12-Month Low After Insider Selling

Guidewire Software, Inc. (NYSE:GWRE) hit a new 52-week low during trading on Wednesday following insider selling activity. The stock traded as low as $124.47 and last traded at $129.2130, with a volume of 3235207 shares changing hands. The stock had previously closed at $138.92.

Specifically, CEO Michael George Rosenbaum sold 1,200 shares of the company’s stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $140.01, for a total transaction of $168,012.00. Following the sale, the chief executive officer directly owned 233,143 shares of the company’s stock, valued at $32,642,351.43. This represents a 0.51% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

Analysts Set New Price Targets

A number of research firms recently weighed in on GWRE. DA Davidson upgraded shares of Guidewire Software from a “neutral” rating to a “buy” rating and upped their target price for the stock from $246.00 to $250.00 in a research note on Wednesday, December 17th. Citizens Jmp reissued a “market outperform” rating and issued a $281.00 price objective on shares of Guidewire Software in a research report on Wednesday, December 10th. Wells Fargo & Company decreased their price objective on shares of Guidewire Software from $275.00 to $250.00 and set an “overweight” rating for the company in a research report on Thursday, January 8th. BTIG Research reiterated a “buy” rating and set a $250.00 target price on shares of Guidewire Software in a research note on Tuesday, January 27th. Finally, Wall Street Zen cut Guidewire Software from a “buy” rating to a “hold” rating in a research note on Friday, November 28th. Twelve research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $269.50.

Guidewire Software Stock Down 7.0%

The business’s fifty day moving average price is $186.75 and its 200 day moving average price is $214.23. The company has a quick ratio of 3.48, a current ratio of 3.48 and a debt-to-equity ratio of 0.44. The firm has a market capitalization of $10.99 billion, a PE ratio of 123.06, a PEG ratio of 9.05 and a beta of 1.06.

Guidewire Software (NYSE:GWRE) last issued its quarterly earnings results on Wednesday, December 3rd. The technology company reported $0.66 earnings per share for the quarter, hitting the consensus estimate of $0.66. Guidewire Software had a return on equity of 10.15% and a net margin of 7.23%.The firm had revenue of $332.64 million during the quarter, compared to the consensus estimate of $316.62 million. During the same period last year, the company earned $0.43 earnings per share. The company’s revenue for the quarter was up 26.5% on a year-over-year basis. On average, equities research analysts forecast that Guidewire Software, Inc. will post 0.52 earnings per share for the current fiscal year.

Guidewire Software announced that its Board of Directors has approved a stock repurchase program on Thursday, January 8th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the technology company to purchase up to 3.1% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board believes its shares are undervalued.

Hedge Funds Weigh In On Guidewire Software

Large investors have recently made changes to their positions in the stock. Vanguard Group Inc. boosted its holdings in Guidewire Software by 1.3% during the third quarter. Vanguard Group Inc. now owns 9,039,377 shares of the technology company’s stock worth $2,077,791,000 after buying an additional 116,726 shares in the last quarter. Geode Capital Management LLC increased its holdings in Guidewire Software by 5.6% in the second quarter. Geode Capital Management LLC now owns 1,578,442 shares of the technology company’s stock valued at $372,105,000 after buying an additional 84,152 shares in the last quarter. AQR Capital Management LLC lifted its position in shares of Guidewire Software by 18.9% during the 3rd quarter. AQR Capital Management LLC now owns 1,271,528 shares of the technology company’s stock valued at $292,146,000 after acquiring an additional 202,064 shares during the period. Qube Research & Technologies Ltd boosted its stake in shares of Guidewire Software by 34.4% during the 3rd quarter. Qube Research & Technologies Ltd now owns 982,747 shares of the technology company’s stock worth $225,894,000 after acquiring an additional 251,280 shares in the last quarter. Finally, Franklin Resources Inc. boosted its stake in shares of Guidewire Software by 9.7% during the 3rd quarter. Franklin Resources Inc. now owns 856,487 shares of the technology company’s stock worth $196,872,000 after acquiring an additional 75,955 shares in the last quarter.

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.