Guidewire Software’s (GWRE) upcoming report is expected to reveal quarterly earnings of $0.77 per share, indicating an increase of 51% compared to the same period a year ago. Analysts forecast revenue of $342.52 million, up 18.3% year over year.
The consensus EPS estimate for the quarter has remained unchanged over the past thirty days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates over this period.
Before a company announces its earnings, it is essential to take into account any changes in earnings estimates. This is a valuable factor in predicting investors’ potential reactions to the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and a stock’s near-term price movement.
While investors typically rely on consensus earnings and revenue estimates to assess business performance for the quarter, digging into analyst forecasts for certain key numbers can often provide a more comprehensive insight.
In light of this perspective, let’s take a look at the average estimates of certain Guidewire Software metrics that are commonly tracked and forecast by Wall Street analysts.
According to the collective assessment of analysts, ‘Revenue Services’ should amount to $57.95 million. The estimate indicates a +20.9% change from the previous year’s quarter.
The consensus among analysts is that the ‘Revenue-License’ will amount to $55.73 million. The estimate indicates a change of -12.5% compared to the previous year’s quarter.
Analysts predict subscription and support revenue will reach $229.04 million. The estimate indicates a change of +28.8% from the previous year’s quarter.
Analysts predict that ‘Revenue-Subscription and Support-Subscription’ will reach $214.80 million. The estimate indicates a year-on-year change of +32.9%.
The combined analyst assessment suggests that the Revenue-License-Term license will likely be $55.22 million. The estimate indicates a change of -13.3% from the previous year’s quarter.
Based on the collective analyst assessment, subscription-support revenue should total $14.07 million. The estimate suggests a change of -13.1% year-on-year.
Analyst estimates indicate annual recurring revenue of $1.11 billion. The estimate contrasts with last year’s figure of $918.10 million.
Analysts predict that ‘Gross Profit – Subscription & Support’ will reach $163.97 million. The estimate compares to the $118.74 million value a year ago.
