Guidewire Software Inc (NYSE:GWRE) saw a downside of -0.90% to close Friday at $87.42 after subtracting -$0.79 on the day. The 5-day average trading volume is 829,520 shares of the company’s common stock. It has gained $93.50 in the past week and touched a new high 1 time within the past 5 days. An average of 895,430 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 650,428.
GWRE’s 1-month performance is 8.47% or $7.91 on its low of $79.71 reached on 08/23/23. The company’s shares have touched a 52-week low of $52.08 and high of $95.88, with the stock’s rally to the 52-week high happening on 09/08/23. YTD, GWRE has achieved 39.74% or $24.86 and has reached a new high 25 times. However, the current price is down -8.82% from the 52-week high price.
Insider Transactions
GWRE stock investors last saw insider trading activity on Sep 20.Hung Priscilla (President & COO) most recently sold 9,243 shares at $92.13 per share on Sep 20. This transaction cost the insider $851,589. Chief Admin Officer, Gen Couns, King James Winston, sold 4,577 shares at a price of $92.14 on Sep 20. Then, on Sep 20, Chief Financial Officer Cooper Jeffrey Elliott sold 4,347 shares at a price of $92.13 per share. This transaction amounted to $400,506.
Valuation Metrics
GWRE stock has a beta of 1.19. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 7.86 while the price-to-book (PB) in the most recent quarter is 5.94, with the price to cash flow ratio at 623.42.
Guidewire Software Inc’s quick ratio for the period ended July 30 was 2.89, with the current ratio over the same period at 2.89. As well, the company’s long term debt to equity for the quarter ending July 30 was 0.37, while the total debt to equity was 0.37. In terms of profitability, the gross margin trailing 12 months is 50.61%. The firm’s gross profit as reported stood at $458.21 million against revenue of $905.34 million.
Earnings Surprise
For the quarterly period ending July 30 this year, Net income and sales went up compared to those figures reported in the previous quarter. Net income grew 353.93% to $12.22 million, while revenue of -$45.57 million was 472.91% off the previous quarter. Analysts expected GWRE to announce $0.38 per share in earnings in its latest quarter, but it posted $0.74, representing a 94.70% surprise. EBITDA for the quarter stood at more than $14.02 million. GWRE stock balance sheet for the quarter ending July 30 shows that total liabilities totaled 828.42 million, with total debt at $448.58 million. Shareholders hold equity totaling $81.44 million.
Let’s look briefly at Guidewire Software Inc (GWRE) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 22 September was 43.64% to suggest the stock is trending Neutral, with historical volatility in this time period at 20.12%.
The stock’s 5-day moving average is $90.50, reflecting a -4.50% or -$4.12 change from its current price. GWRE is currently trading +8.68% above its 20-day SMA, +15.24% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by +8.45% and SMA200 by+51.38%.
Stochastic %K and %D was 42.19% and 57.82% and the average true range (ATR) pointed at 2.26. The RSI (14) points at 50.33%, while the 14-day stochastic is at 29.32% with the period’s ATR at 2.21. The stock’s 9-day MACD Oscillator is pointing at -2.11 and -1.27 on the 14-day charts.
Analyst Ratings
In the most recent analyst report for Guidewire Software Inc (NYSE: GWRE), Wells Fargo upgraded it to an Equal weight rating. They previously had an Underweight rating on the stock. Analysts offering their rating for GWRE stock have a consensus rating for the stock as Overweight. Currently, 0 brokerage advisors rate GWRE as a “sell,”, while 6 advise that investors “Hold.” 1 analysts have rated the stock as underweight. 0 rates the stock as overweight while 9 have offered a “buy” rating.
What is GWRE’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $69.00 and a high of $110.00, with their median price target at $96.00. Looking at these predictions, the average price target given by analysts is for Guidewire Software Inc (GWRE) stock is $94.69.
