Guidewire Software Target of Unusually Large Options Trading (NYSE:GWRE)

Guidewire Software, Inc. (NYSE:GWRE) was the target of some unusual options trading activity on Wednesday. Stock traders bought 1,297 call options on the stock. This represents an increase of 1,563% compared to the typical daily volume of 78 call options.

Analyst Upgrades and Downgrades

GWRE has been the topic of a number of recent research reports. Weiss Ratings reissued a “hold (c)” rating on shares of Guidewire Software in a research note on Thursday, January 22nd. BTIG Research reiterated a “buy” rating and set a $250.00 target price on shares of Guidewire Software in a research report on Tuesday, January 27th. Citizens Jmp reissued a “market outperform” rating and set a $281.00 target price on shares of Guidewire Software in a report on Wednesday, December 10th. Citigroup raised their price target on shares of Guidewire Software from $242.00 to $245.00 and gave the company a “neutral” rating in a research note on Friday, December 5th. Finally, Zacks Research lowered shares of Guidewire Software from a “strong-buy” rating to a “hold” rating in a report on Tuesday, December 2nd. Twelve analysts have rated the stock with a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, Guidewire Software currently has an average rating of “Moderate Buy” and an average target price of $266.64.

Guidewire Software Stock Performance

Shares of Guidewire Software stock opened at $132.01 on Thursday. The business has a 50-day moving average price of $185.11 and a two-hundred day moving average price of $213.65. Guidewire Software has a 1-year low of $121.88 and a 1-year high of $272.60. The company has a current ratio of 3.48, a quick ratio of 3.48 and a debt-to-equity ratio of 0.44. The company has a market cap of $11.22 billion, a P/E ratio of 125.73, a PEG ratio of 8.45 and a beta of 1.06.

Guidewire Software (NYSE:GWRE) last announced its quarterly earnings data on Wednesday, December 3rd. The technology company reported $0.66 EPS for the quarter, hitting the consensus estimate of $0.66. The company had revenue of $332.64 million during the quarter, compared to the consensus estimate of $316.62 million. Guidewire Software had a net margin of 7.23% and a return on equity of 10.15%. The company’s quarterly revenue was up 26.5% on a year-over-year basis. During the same quarter last year, the firm posted $0.43 EPS. As a group, analysts anticipate that Guidewire Software will post 0.52 EPS for the current year.

Guidewire Software declared that its board has authorized a share repurchase plan on Thursday, January 8th that allows the company to repurchase $500.00 million in outstanding shares. This repurchase authorization allows the technology company to repurchase up to 3.1% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company’s management believes its shares are undervalued.

Insider Buying and Selling at Guidewire Software

In other Guidewire Software news, CFO Jeffrey Elliott Cooper sold 2,872 shares of the business’s stock in a transaction that occurred on Tuesday, December 16th. The shares were sold at an average price of $192.08, for a total transaction of $551,653.76. Following the completion of the transaction, the chief financial officer directly owned 74,201 shares in the company, valued at $14,252,528.08. The trade was a 3.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, President John P. Mullen sold 7,975 shares of the firm’s stock in a transaction dated Tuesday, December 16th. The shares were sold at an average price of $192.08, for a total value of $1,531,838.00. Following the completion of the sale, the president directly owned 141,983 shares in the company, valued at $27,272,094.64. This trade represents a 5.32% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 48,358 shares of company stock valued at $9,409,729 in the last three months. 0.46% of the stock is owned by insiders.

Institutional Trading of Guidewire Software

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Advisors Asset Management Inc. bought a new position in shares of Guidewire Software in the first quarter valued at approximately $25,000. Root Financial Partners LLC purchased a new stake in Guidewire Software in the 3rd quarter valued at $29,000. Measured Wealth Private Client Group LLC purchased a new stake in Guidewire Software in the 3rd quarter valued at $29,000. Newbridge Financial Services Group Inc. bought a new position in Guidewire Software during the 2nd quarter valued at $30,000. Finally, Westside Investment Management Inc. purchased a new position in Guidewire Software during the 2nd quarter worth $32,000.

About Guidewire Software

Guidewire Software, Inc develops software products and cloud services for property and casualty (P&C) insurance carriers. Headquartered in San Mateo, California, the company’s offerings are designed to help insurers manage the core functions of their business—policy administration, billing and claims—while supporting digital engagement, analytics and operational modernization.

Guidewire’s core product portfolio is commonly known as the InsuranceSuite, which includes PolicyCenter for policy administration, BillingCenter for billing and receivables, and ClaimCenter for claims management.