Insurance software provider Guidewire Software (NYSE:GWRE) will report earnings results this Wednesday after market hours. Here’s what you need to know.
Guidewire Software exceeded analyst revenue expectations by 5.8% last quarter, reporting revenue of $356.6 million, up 22.3% year over year. It was a strong quarter for the company, with a solid gain in analyst EBITDA estimates and next quarter revenue guidance that exceeded analyst expectations.
Is Guidewire Software a Profitable Buy or Sell? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts expect Guidewire Software’s revenue to grow 21% year over year to $318 million, a slowdown from the 26.8% increase recorded in the same quarter last year. Adjusted earnings are expected to be $0.61 per share.
Analysts covering the company have generally reaffirmed their estimates over the last thirty days, suggesting they expect the company to continue its trajectory on the earnings front. Guidewire Software has missed Wall Street revenue expectations just once over the past two years, beating revenue expectations by an average of 2.9%.
Looking at Guidewire Software’s competitors in the software vertical segment, some have already reported their third quarter results, which gives us an idea of what to expect. Alarm.com achieved year-over-year revenue growth of 6.6%, exceeding analyst expectations by 2.2%. Manhattan Associates reported a 3.4% increase in revenue, beating estimates by 1.6%. Alarm.com rose 5.8% after the results, while Manhattan Associates fell 4.4%.
Read our full analysis of Alarm.com’s results here and Manhattan Associates’ results here.
Questions about possible rates and changes in corporate taxes have caused a lot of volatility in 2025. While some vertical software stocks have shown solid performance in this volatile environment, the group has underperformed overall, with share prices down an average of 4.8% over the past month. Guidewire Software is down 6% in the same period and is heading for gains with an average price target of $266.46 (compared to the current share price of $213.25).
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