Market Watch·6 days ago
14 value stocks of companies primed for rapid growth through 2028Let us begin with a midyear summary of index results that might surprise you in light of the triple-digit gains for so many growth stocks in the S&P 500.
Guidewire Software, Inc.(GWRE)Earnings, Financials & Key Ratios
GWRE•NYSE
$137.06
169.2× P/E·Price updated Jul 7, 2026
AboutGuidewire Software, Inc. provides software products for property and casualty insurers worldwide. The company offers Guidewire InsuranceSuite comprising Guidewire PolicyCenter, BillingCenter, and ClaimCenter applications. It also provides Guidewire InsuranceNow, a cloud-based platform that offers policy, billing, and claims management functionality to insurers; and Guidewire InsuranceSuite for Self-Managed. In addition, the company offers Guidewire Rating Management to manage the pricing of insurance products; Guidewire Reinsurance Management to use rules-based logic to execute reinsurance strategy through underwriting and claims processes; Guidewire Client Data Management to capitalize on customer information; and Guidewire Product Content Management that offers software tools and standards-based line-of-business templates to introduce and modify products. Further, it provides Guidewire Underwriting Management, a cloud-based integrated business application; Guidewire AppReader, a submission intake management solution; Guidewire ClaimCenter Package for the London market supports the claims workflow used by London Market insurers and brokers; Guidewire Digital Engagement Applications, which enable insurers to provide digital experiences to customers, agents, vendors, and field personnel through their device of choice; and Guidewire for Salesforce to provide customer information regarding policies and claims. Additionally, the company offers Guidewire Predictive Analytics, a set of cloud-native applications; Guidewire Risk Insights that allows insurers to assess new and evolving risks; Guidewire Business Intelligence that allows insurers to measure business performance; Guidewire DataHub, an operational data store; and Guidewire InfoCenter, a business intelligence warehouse, as well as implementation and integration, and professional services. The company was founded in 2001 and is headquartered in San Mateo, California.Show more
- Revenue$1.2B+22.6%
- EBITDA$65M+314.2%
- Net Income$70M+1243.8%
- EPS (Diluted)0.81+1191.6%
- Gross Margin62.54%+5.1%
- EBITDA Margin5.39%+274.7%
- Operating Margin3.42%+163.7%
- Net Margin5.81%+1032.7%
- ROE4.99%+1138.6%
GWRE Price & Volume
Guidewire Software, Inc. (GWRE) stock price & volume — 10-year historical chart
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Cloud Transition Drives Revenue Growth Amidst Volatility
Investment Thesis • Updated 2026Q3
VerdictNeutral
Growth:Accelerating
Profitability:Strained
Financial:Healthy
Cash Flow:Mixed
Primary Risk:Cloud transition margin drag
Key Thesis Takeaways
- Guidewire is successfully executing a strategic pivot to a subscription-based cloud model, evidenced by a 26.9% revenue growth rate in 2026Q3.
- However, the transition continues to pressure operating margins, which peaked at only 10.8% in 2026Q2, while persistent stock-based compensation exceeding $40 million per quarter creates ongoing dilution risks.
- Investors should monitor the company's ability to scale profitability as it manages $421.1 million in goodwill and navigates the lumpy cash flow profile inherent in its complex software delivery model.
Verdict Logic
while the 26.9% revenue growth is promising, the high P/E ratio of 149.98 and inconsistent free cash flow generation suggest that the market has already priced in significant future margin expansion.
GWRE Growth Metrics
Guidewire Software, Inc. (GWRE) revenue, earnings & EPS growth — 3, 5 & 10-year CAGR
Revenue CAGR
10 Years12.19%
5 Years10.13%
3 Years13.95%
TTM24.92%
Profit CAGR
10 Years21.59%
5 Years-
3 Years-
TTM361.81%
EPS CAGR
10 Years19.19%
5 Years-
3 Years-
TTM365%
Return on Capital
10 Years-2.1%
5 Years-4.93%
3 Years-3.16%
Last Year2.3%
GWRE Recent Earnings
Guidewire Software, Inc. (GWRE) EPS & revenue vs analyst estimates — last 4 quarters
●Beat EPS 10/12 qtrs (83%)●Beat Revenue 11/12 qtrs (92%)
Q3 2026Latest
Jun 4, 2026Metric
Actual
Est
EPS
$0.82+10.4%
$0.74
Rev
$373M+4.7%
$356M
Q2 2026
Mar 5, 2026Metric
Actual
Est
EPS
$1.17+51.4%
$0.77
Rev
$359M+4.8%
$343M
Q4 2025
Dec 3, 2025Metric
Actual
Est
EPS
$0.66+7.5%
$0.61
Rev
$333M+5.1%
$317M
Q4 2025
Sep 4, 2025Metric
Actual
Est
EPS
$0.84+32.3%
$0.64
Rev
$357M+5.6%
$338M
| Quarter | Date | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|---|
| Q3 2026Latest | Jun 4, 2026 | $0.82vs $0.74+10.4% | $373Mvs $356M+4.7% |
| Q2 2026 | Mar 5, 2026 | $1.17vs $0.77+51.4% | $359Mvs $343M+4.8% |
| Q4 2025 | Dec 3, 2025 | $0.66vs $0.61+7.5% | $333Mvs $317M+5.1% |
| Q4 2025 | Sep 4, 2025 | $0.84vs $0.64+32.3% | $357Mvs $338M+5.6% |
Based on last 12 quarters of dataView full earnings history →
Latest GWRE News
Recent stock market news and headlines for Guidewire Software, Inc. (GWRE)
GuruFocus·Jun 23, 2026
Is It Too Late to Buy Guidewire Software Inc (GWRE) After 6.8% Rally? GF Value Says UndervaluedOn June 23, 2026, Guidewire Software Inc (GWRE) shares rose 6.8% today, closing at $109.63. This price is situated within a 52-week range of $102.30 to $272.60,
Peers Comparison
Key metrics vs top competitors for Guidewire Software, Inc. (GWRE)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $137.06 | $11.41B | 169.21 | 22.64% | 5.81% | 4.99% | — | |
| $43.45 | $2.43B | 33.68 | 5.4% | 11.4% | 12.91% | — | |
| $110.73 | $114.73B | 66.31 | 20.88% | 12.59% | 14.98% | — | |
| $192.30 | $31.24B | 35.35 | 16.34% | 28.37% | 13.36% | — | |
| $118.84 | $6.36B | 29.56 | 13.74% | 14.94% | 22.36% | — | |
| $18.06 | $1.98B | 361.20 | 10.01% | 2.17% | 1.27% | — |
Compare GWRE vs Peers
Guidewire Software, Inc. (GWRE) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
GWRE SEC Filings & Documents
Guidewire Software, Inc. (GWRE) SEC filings — annual & quarterly reports (10-K, 10-Q)
8-K Announcements
6Material company update
Jun 4, 2026·SEC
Material company update
Mar 5, 2026·SEC
Material company update
Jan 8, 2026·SEC
10-K Annual Reports
210-Q Quarterly Reports
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GWRE Frequently Asked Questions
Guidewire Software, Inc. (GWRE) stock FAQ — growth, dividends, profitability & financials explained
Growth & Financials
What is Guidewire Software, Inc.'s revenue?
Guidewire Software, Inc. (GWRE) reported $1.42B in revenue for fiscal year 2025. This represents a 1577% increase from $84.7M in 2009.
How fast is Guidewire Software, Inc. growing?
Guidewire Software, Inc. (GWRE) grew revenue by 22.6% over the past year. This is strong growth.
Is GWRE profitable?
Yes, Guidewire Software, Inc. (GWRE) is profitable, generating $159.8M in net income for fiscal year 2025 (5.8% net margin).
Dividend & Returns
What is GWRE's return on equity?
Guidewire Software, Inc. (GWRE) has a return on equity (ROE) of 5.0%. This is below average, suggesting room for improvement.
What is Guidewire Software, Inc.'s free cash flow?
Guidewire Software, Inc. (GWRE) generated $255.0M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.