Guidewire Software Target of Unusually Large Options Trading (NYSE:GWRE)

Guidewire Software, Inc. (NYSE:GWRE) was the target of unusually large options trading activity on Wednesday. Traders purchased 1,297 call options on the stock. This is an increase of 1,563% compared to the average daily volume of 78 call options.

Insider Activity

In other news, insider James Winston King sold 1,860 shares of the firm’s stock in a transaction dated Thursday, December 18th. The stock was sold at an average price of $195.00, for a total value of $362,700.00. Following the sale, the insider directly owned 33,702 shares of the company’s stock, valued at approximately $6,571,890. This trade represents a 5.23% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, President John P. Mullen sold 7,975 shares of Guidewire Software stock in a transaction dated Tuesday, December 16th. The stock was sold at an average price of $192.08, for a total value of $1,531,838.00. Following the completion of the transaction, the president owned 141,983 shares in the company, valued at $27,272,094.64. The trade was a 5.32% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 45,960 shares of company stock valued at $8,767,044. 0.46% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Guidewire Software

A number of hedge funds have recently modified their holdings of GWRE. Advisors Asset Management Inc. acquired a new stake in Guidewire Software in the 1st quarter valued at $25,000. Root Financial Partners LLC acquired a new stake in shares of Guidewire Software in the 3rd quarter valued at $29,000. Measured Wealth Private Client Group LLC bought a new stake in shares of Guidewire Software in the 3rd quarter worth about $29,000. Newbridge Financial Services Group Inc. acquired a new stake in shares of Guidewire Software during the 2nd quarter worth about $30,000. Finally, Westside Investment Management Inc. bought a new position in Guidewire Software during the 2nd quarter valued at about $32,000.

Analyst Upgrades and Downgrades

A number of analysts have issued reports on GWRE shares. BTIG Research lowered their target price on Guidewire Software from $225.00 to $175.00 and set a “buy” rating on the stock in a report on Wednesday. Zacks Research downgraded shares of Guidewire Software from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, December 2nd. Wells Fargo & Company dropped their target price on shares of Guidewire Software from $250.00 to $210.00 and set an “overweight” rating on the stock in a research report on Wednesday, February 4th. Citigroup increased their price target on shares of Guidewire Software from $242.00 to $245.00 and gave the company a “neutral” rating in a report on Friday, December 5th. Finally, Wall Street Zen lowered shares of Guidewire Software from a “buy” rating to a “hold” rating in a research report on Friday, November 28th. Eleven analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $259.77.

Guidewire Software Stock Up 5.4%

GWRE opened at $128.84 on Thursday. Guidewire Software has a fifty-two week low of $120.37 and a fifty-two week high of $272.60. The company has a debt-to-equity ratio of 0.44, a current ratio of 3.48 and a quick ratio of 3.48. The firm’s fifty day moving average price is $168.74 and its two-hundred day moving average price is $206.87. The company has a market capitalization of $10.95 billion, a P/E ratio of 122.71, a P/E/G ratio of 7.88 and a beta of 1.06.

Guidewire Software (NYSE:GWRE) last announced its quarterly earnings data on Wednesday, December 3rd. The technology company reported $0.66 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.66. Guidewire Software had a net margin of 7.23% and a return on equity of 10.15%. The company had revenue of $332.64 million during the quarter, compared to analysts’ expectations of $316.62 million. During the same quarter in the prior year, the company posted $0.43 EPS. The business’s revenue was up 26.5% on a year-over-year basis. On average, analysts anticipate that Guidewire Software will post 0.52 EPS for the current year.

Guidewire Software declared that its Board of Directors has approved a share repurchase program on Thursday, January 8th that allows the company to buyback $500.00 million in shares. This buyback authorization allows the technology company to buy up to 3.1% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s leadership believes its shares are undervalued.

Trending Headlines about Guidewire Software

Here are the key news stories impacting Guidewire Software this week:

• Positive Sentiment: Sompo Group signed a long‑term agreement to deploy Guidewire Cloud across its global operations — a material enterprise customer win that strengthens Guidewire’s recurring‑revenue cloud footprint and validates product-market fit with a large insurer. Sompo cloud deal
• Positive Sentiment: Guidewire has an existing $500M share‑repurchase authorization, which management is using to buy back stock — a capital allocation move that typically supports per‑share metrics and can provide a floor under the share price. MarketBeat recap
• Neutral Sentiment: BTIG cut its price target to $175 from $225 but kept a “buy” rating — the lower target tempers near‑term upside expectations, yet the maintained buy rating signals continued confidence in Guidewire’s multi‑year story. BTIG price target note
• Neutral Sentiment: Recent press pieces (including a Yahoo “2 Reasons to Like GWRE” and an MSN explainer) highlight the growth case (cloud migration, AI/analytics tailwinds) but also call out valuation and execution risks — useful context for investors weighing longer‑term thesis versus near‑term volatility. 2 Reasons to like GWRE
• Negative Sentiment: CEO Michael Rosenbaum sold 1,200 shares (≈$152k) on Feb. 17 — the sale is disclosed and part of a pattern of insider sales over recent months. While not necessarily signaling a change in company fundamentals, repeated insider sales can create negative sentiment among investors. Insider sale filing

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.