Gold prices bounce off 3-week lows; demand likely longer term
On Wednesday, DA Davidson analysts maintained their Neutral rating for Guidewire stock (NYSE: NYSE:GWRE) with a $226 price target. The stock, which has delivered an impressive 102% return over the past year and is trading near its 52-week high of $219.59, received this rating following fiscal third-quarter results that surpassed expectations in total revenue, annual recurring revenue (ARR), and non-GAAP operating income.
Guidewire closed 17 cloud deals during the quarter, a significant increase from the 8 deals in the same quarter last year, including five new client agreements. This growth momentum is reflected in the company’s 17% year-over-year revenue increase. In a conference call, the company’s management revealed the acquisition of Quantee, a dynamic pricing solutions provider for insurance carriers, for approximately $28 million in cash. According to InvestingPro, the company maintains a healthy financial position with a current ratio of 2.65 and operates with moderate debt levels.
The management also raised their financial guidance for fiscal 2025, reflecting confidence in the company’s growth trajectory. DA Davidson analysts noted the stronger-than-expected performance but decided to keep their current rating and price target unchanged.
The analysts expressed plans to review the call commentary further and revisit their forecasts soon. Guidewire’s strategic moves and financial performance remain under close watch by investors and analysts alike.
In other recent news, Guidewire Software (ETR:SOWGn) has reported strong financial results, significantly surpassing expectations in its fiscal third quarter. The company achieved an annual recurring revenue (ARR) of $960 million, exceeding the consensus estimate, and reported a revenue of $293.5 million, marking a 22% year-over-year increase. Guidewire’s earnings per share (EPS) also beat forecasts, coming in at $0.88 against the expected $0.41. Following these results, several analyst firms have adjusted their price targets for Guidewire. Raymond (NSE:RYMD) James raised its target to $255, maintaining an Outperform rating, while Goldman Sachs and Stifel both increased their targets to $270, retaining Buy ratings. Citizens JMP set a new target of $281, citing the company’s strong quarterly performance. The company’s notable achievements include 17 new cloud deals and a significant increase in subscription and support revenue. Analysts have expressed confidence in Guidewire’s long-term growth prospects, highlighting its cloud market momentum and strategic advancements.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.