Guidewire Software (NYSE:GWRE) Stock Falls 5.4% After Insider Selling

Guidewire Software, Inc. (NYSE:GWRE)’s stock price fell 5.4% during trading on Tuesday after an insider sold shares in the company. The company traded as low as $174.78 and last traded at $174.0690. 273,818 shares changed hands during mid-day trading, a decline of 82% from the average daily volume of 1,534,000 shares. The stock had previously closed at $183.96.

Specifically, CEO Michael Rosenbaum sold 1,200 shares of Guidewire Software stock in a transaction that occurred on Monday, October 26th. The stock was sold at an average price of $187.19, for a total value of $224,628.00. Following the completion of the sale, the chief executive officer directly owned 273,666 shares in the company, valued at approximately $51,227,538.54. The trade was a 0.44% 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. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analyst Ratings Changes

A number of equities analysts have issued reports on GWRE shares. JPMorgan Chase & Co. cut their price target on Guidewire Software from $300.00 to $258.00 and set an “overweight” rating on the stock in a report on Tuesday, July 14th. Royal Bank Of Canada reaffirmed an “outperform” rating and issued a $215.00 price target on shares of Guidewire Software in a research note on Friday, September 4th. Guggenheim upped their price objective on shares of Guidewire Software from $180.00 to $210.00 and gave the company a “buy” rating in a report on Thursday, August 27th. BTIG Research raised their target price on Guidewire Software from $175.00 to $230.00 and gave the company a “buy” rating in a research note on Wednesday, September 2nd. Finally, DA Davidson reiterated a “buy” rating and issued a $222.00 price target on shares of Guidewire Software in a report on Friday, October 2nd. Twelve research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $216.23.

Guidewire Software Stock Down 5.4%

The stock has a 50-day moving average of $168.08 and a 200 day moving average of $149.72. The company has a quick ratio of 1.79, a current ratio of 1.79 and a debt-to-equity ratio of 0.57. The company has a market capitalization of $14.49 billion, a PE ratio of 106.22 and a beta of 1.02.

Guidewire Software (NYSE:GWRE) last released its earnings results on Thursday, September 3rd. The technology company reported $0.99 earnings per share for the quarter, beating analysts’ consensus estimates of $0.93 by $0.06. Guidewire Software had a net margin of 9.44% and a return on equity of 12.66%. The firm had revenue of $411.09 million for the quarter, compared to analysts’ expectations of $402.61 million. During the same period in the previous year, the company earned $0.84 earnings per share. The company’s quarterly revenue was up 15.3% on a year-over-year basis. Sell-side analysts anticipate that Guidewire Software, Inc. will post 2.45 EPS for the current year.

Institutional Investors Weigh In On Guidewire Software

Several institutional investors have recently added to or reduced their stakes in GWRE. Bamco Inc. NY purchased a new position in Guidewire Software in the 2nd quarter valued at approximately $1,106,768,000. Linonia Partnership LP bought a new stake in shares of Guidewire Software during the 2nd quarter valued at $853,165,000. Route One Investment Company L.P. purchased a new stake in Guidewire Software during the 2nd quarter worth about $227,564,000. Principal Financial Group Inc. increased its holdings in Guidewire Software by 547.3% during the 1st quarter. Principal Financial Group Inc. now owns 1,180,334 shares of the technology company’s stock worth $176,537,000 after acquiring an additional 997,992 shares during the period. Finally, Van ECK Associates Corp purchased a new stake in Guidewire Software in the 2nd quarter worth approximately $149,611,000.

About Guidewire Software

Guidewire Software, Inc provides cloud-based software designed for the property and casualty insurance industry. Its platform helps insurers manage core operations, including policy administration, billing, claims management, underwriting, and digital customer engagement.

The company’s principal offerings include InsuranceSuite, which incorporates PolicyCenter, BillingCenter, and ClaimCenter, as well as products for insurance data management, analytics, digital experiences, and application development.