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BOISE, Idaho—Sethi Subi, the Chief Client Officer of Clearwater Analytics Holdings Inc. (NYSE:CWAN), executed a series of stock transactions recently, according to a regulatory filing. The transactions come as CWAN shows strong momentum, with the stock up 11% in the past week and 52% over the last year, according to InvestingPro data. On February 19, Subi sold shares of Class A Common Stock worth approximately $1.88 million at an average price of $30.07 per share.
The transactions involved the sale of 62,482 shares, which were primarily disposed of to cover tax withholding obligations related to the vesting of performance stock units. These sales were mandated by Clearwater Analytics to fulfill tax obligations and were not discretionary decisions by Subi.
In addition to these sales, Subi acquired a total of 131,766 shares through the vesting of performance stock units, which were awarded based on the company’s revenue growth performance in 2024. Following these transactions, Subi’s direct ownership stands at 201,936 shares.
Clearwater Analytics, headquartered in Boise, Idaho, specializes in providing SaaS-based investment accounting and analytics solutions.
In other recent news, Clearwater Analytics Holdings has reported strong fourth-quarter 2024 earnings, surpassing Wall Street expectations. The company achieved an earnings per share (EPS) of $0.13, exceeding the forecasted $0.11, and reported revenue of $126.5 million, beating the anticipated $120.39 million. This performance reflects a 28% year-over-year revenue growth and a 39% rise in adjusted EBITDA. Clearwater’s Annual Recurring Revenue (ARR) also grew by 25.3% to $474.9 million, supported by a Net Revenue Retention (NRR) rate of 116%.
Analyst firms have responded positively to Clearwater’s financial results. DA Davidson maintained a Buy rating with a $32 price target, while Piper Sandler upgraded the stock from Neutral to Overweight, raising the price target to $36. These upgrades follow Clearwater’s impressive revenue growth and the strategic acquisition of Enfusion, which is expected to enhance the company’s service offerings. The acquisition aims to provide a comprehensive front-to-end data solution, potentially increasing Clearwater’s market share and client base.
Clearwater’s management has provided optimistic guidance for 2025, projecting revenue between $535.5 million and $542 million, indicating a growth rate of 19-20%. The company also anticipates an EBITDA margin of 34%, with the Enfusion acquisition expected to close in the second quarter of 2025. Piper Sandler analysts view Clearwater’s fiscal year 2025 targets as conservative, suggesting potential for further growth. As Clearwater continues to expand its platform capabilities, particularly in regulatory reporting and compliance, investors and market watchers remain attentive to the company’s strategic developments.
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