Stifel raises Guidewire stock price target to $270 from $230

Published 04/06/2025, 11:16
Stifel raises Guidewire stock price target to $270 from $230

On Wednesday, Stifel analysts raised the price target for Guidewire stock (NYSE: NYSE:GWRE) to $270 from $230, while maintaining a Buy rating. Currently trading at $218.18, the stock has delivered an impressive 101.93% return over the past year. According to InvestingPro data, analyst targets for Guidewire range from $135 to $290. This adjustment follows Guidewire’s successful fiscal third quarter, marked by notable achievements in cloud migration and overall performance.

Guidewire reported its third-best quarter in the company’s history, with nine successful cloud migrations, five new customer wins, and three expansions. With revenue growth of 17.16% over the last twelve months and an "GOOD" overall financial health score from InvestingPro, these achievements reflect the company’s strong momentum in cloud services and its ability to meet its fiscal fourth-quarter estimates, with annual recurring revenue and subscription revenue surpassing expectations.

The company’s ongoing positive cloud momentum was further highlighted by the combination of high subscription growth and steady margin expansion. Guidewire’s recent insurance survey indicated year-over-year improvements, with clients planning to significantly increase platform spending. This trend signals potential continued success for the company in fiscal year 2026 and beyond.

Stifel’s analysts remain optimistic about Guidewire’s future prospects, maintaining their Buy rating alongside the increased price target. The company’s recent quarterly performance and strategic advancements in cloud services have set a promising stage for its ongoing growth.

Investors will be closely watching Guidewire’s next moves as the company continues to build on its cloud migration successes and subscription revenue growth.

In other recent news, Guidewire Software (ETR:SOWGn) has reported impressive financial results, significantly surpassing Wall Street expectations. The company announced an earnings per share (EPS) of $0.88, which was more than double the forecasted $0.41. Guidewire’s revenue reached $294 million, exceeding the anticipated $286.33 million and representing a 22% year-over-year increase. The company also reported a strong annual recurring revenue (ARR) of $960 million, surpassing the consensus estimate of $945.1 million. This robust performance has led Citizens JMP analysts to raise the price target for Guidewire Software stock to $281 from $250, maintaining a Market Outperform rating. Additionally, Guidewire has raised its ARR outlook to between $1,012 million and $1,022 million, indicating a growth of 17-18%. The company’s subscription and support revenue increased by 32% year-over-year, reaching $182 million. Furthermore, Guidewire announced a strategic $60 million investment in the Japanese market over the next five years, highlighting its commitment to global expansion.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.