Investors Buy High Volume of Call Options on Clearwater Analytics (NYSE:CWAN)

Clearwater Analytics Holdings, Inc. (NYSE:CWAN) was the recipient of unusually large options trading activity on Monday. Stock investors acquired 32,906 call options on the company. This represents an increase of approximately 469% compared to the typical volume of 5,788 call options.

Insider Buying and Selling at Clearwater Analytics

In other Clearwater Analytics news, CEO Sandeep Sahai sold 16,592 shares of the stock in a transaction that occurred on Tuesday, September 30th. The shares were sold at an average price of $17.68, for a total value of $293,346.56. Following the sale, the chief executive officer directly owned 913,600 shares in the company, valued at $16,152,448. This represents a 1.78% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO James S. Cox sold 29,700 shares of the business’s stock in a transaction dated Tuesday, November 25th. The stock was sold at an average price of $22.00, for a total value of $653,400.00. Following the transaction, the chief financial officer owned 333,983 shares of the company’s stock, valued at approximately $7,347,626. The trade was a 8.17% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 120,727 shares of company stock valued at $2,402,598 over the last 90 days. 3.31% of the stock is currently owned by corporate insiders.

Institutional Trading of Clearwater Analytics

Institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. grew its position in Clearwater Analytics by 21.9% during the third quarter. Vanguard Group Inc. now owns 33,261,349 shares of the company’s stock valued at $599,370,000 after buying an additional 5,967,798 shares during the period. Wellington Management Group LLP lifted its stake in shares of Clearwater Analytics by 108.7% during the 3rd quarter. Wellington Management Group LLP now owns 17,793,701 shares of the company’s stock valued at $320,642,000 after buying an additional 9,268,950 shares in the last quarter. Wasatch Advisors LP boosted its holdings in Clearwater Analytics by 3.0% in the 2nd quarter. Wasatch Advisors LP now owns 9,567,391 shares of the company’s stock worth $209,813,000 after buying an additional 274,664 shares during the period. Bamco Inc. NY grew its position in shares of Clearwater Analytics by 25.9% during the third quarter. Bamco Inc. NY now owns 7,675,038 shares of the company’s stock worth $138,304,000 after purchasing an additional 1,580,323 shares in the last quarter. Finally, Blair William & Co. IL raised its position in shares of Clearwater Analytics by 83.5% during the third quarter. Blair William & Co. IL now owns 7,134,647 shares of the company’s stock valued at $128,566,000 after buying an additional 3,245,986 shares during the last quarter. 50.10% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on CWAN shares. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Clearwater Analytics in a research note on Monday. Royal Bank Of Canada reissued an “outperform” rating and set a $36.00 target price on shares of Clearwater Analytics in a research note on Monday. JPMorgan Chase & Co. decreased their target price on Clearwater Analytics from $28.00 to $26.00 and set an “overweight” rating for the company in a report on Thursday, November 6th. Loop Capital cut shares of Clearwater Analytics from a “buy” rating to a “hold” rating and cut their price target for the company from $25.00 to $24.55 in a report on Monday. Finally, Morgan Stanley restated an “overweight” rating and issued a $27.00 price objective on shares of Clearwater Analytics in a report on Monday, November 24th. Eight analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $28.65.

Clearwater Analytics Stock Up 0.0%

NYSE:CWAN opened at $24.07 on Wednesday. The company has a debt-to-equity ratio of 0.42, a current ratio of 1.97 and a quick ratio of 1.97. The firm’s 50-day moving average price is $20.12 and its 200-day moving average price is $20.30. The company has a market capitalization of $7.04 billion, a PE ratio of 15.73, a P/E/G ratio of 6.33 and a beta of 0.67. Clearwater Analytics has a 1-year low of $15.73 and a 1-year high of $32.00.

Clearwater Analytics (NYSE:CWAN) last posted its quarterly earnings data on Wednesday, November 5th. The company reported $0.14 EPS for the quarter, missing the consensus estimate of $0.16 by ($0.02). Clearwater Analytics had a return on equity of 2.77% and a net margin of 61.28%.The business had revenue of $205.11 million for the quarter, compared to the consensus estimate of $203.66 million. During the same period in the previous year, the firm earned $0.14 EPS. The company’s revenue was up 77.1% on a year-over-year basis. On average, equities analysts predict that Clearwater Analytics will post 0.18 EPS for the current fiscal year.

Clearwater Analytics declared that its board has authorized a share buyback plan on Wednesday, September 3rd that authorizes the company to buyback $100.00 million in shares. This buyback authorization authorizes the company to reacquire up to 1.7% of its shares through open market purchases. Shares buyback plans are generally an indication that the company’s leadership believes its shares are undervalued.

Key Headlines Impacting Clearwater Analytics

Here are the key news stories impacting Clearwater Analytics this week:

• Positive Sentiment: Clearwater agreed to be acquired for $8.4 billion with a cash offer of $24.55 per share, a roughly 47% premium to recent levels — a clear near‑term payoff for shareholders and the main catalyst for the stock’s jump. Article Title
• Positive Sentiment: Some market participants and analysts (including RBC) say the deal may undervalue Clearwater and assign a higher standalone target (RBC $36), which supports the view there could be interest in topping the bid during any go‑shop window. Article Title
• Neutral Sentiment: Unusual options activity was observed (large call buying), signaling elevated speculative interest/positioning around the deal and potential arbitrage or takeover speculation. This may increase intraday volume but doesn’t change deal terms. Article Title
• Neutral Sentiment: Some brokers reaffirmed ratings post‑deal (William Blair kept market‑perform), reflecting differing views on post‑announcement upside if no competing bid emerges. Article Title
• Negative Sentiment: Multiple investor‑rights firms (Halper Sadeh, The Ademi Firm, Wohl & Fruchter) have launched investigations into whether the $24.55 per‑share price is fair and whether fiduciary duties were met — litigation or challenges could delay closing, increase deal costs, or squeeze shareholder returns if outcomes reduce the offer. Article Title
• Negative Sentiment: Loop Capital downgraded Clearwater following the deal announcement — a sign that some sell‑side houses now view upside as limited (deal price caps public equity value) and that weaker ratings could weigh on any remaining free‑float or market sentiment if the transaction falters. Article Title

Clearwater Analytics Company Profile

Clearwater Analytics LLC is a global provider of web-based investment portfolio accounting, reporting, and analytics solutions. The company’s software-as-a-service platform automates complex processes involved in investment data aggregation, reconciliation, valuation, and regulatory reporting. Serving institutional investors—including insurers, asset managers, corporations, government entities, and asset owners—Clearwater Analytics enables clients to optimize performance visibility, risk management, and operational efficiency.

Founded in 2004 and headquartered in Boise, Idaho, Clearwater Analytics has grown its global footprint with offices across North America, Europe, and the Asia-Pacific region.