Guidewire Software, Inc. (GWRE) AI Stock Analysis

Guidewire Software, Inc. specializes in delivering software solutions tailored for property and casualty insurers worldwide. Its core offering, Guidewire InsuranceSuite Cloud, includes PolicyCenter Cloud, BillingCenter Cloud, and ClaimCenter Cloud to streamline policy management, billing processes, and claims handling. The company also provides Guidewire InsuranceNow for end-to-end cloud operations across policy, billing, and claims. Additional specialized offerings include Guidewire Rating Management, Guidewire Reinsurance Management, Guidewire Underwriting Management, Guidewire AppReader, and Guidewire Digital Engagement Applications. Guidewire also deploys analytical tools such as Guidewire Predict for machine learning, Guidewire HazardHub for property risk evaluation, and Guidewire Cyence for cyber-risk economic modeling.

Guidewire grew revenue from $812.6M in FY2022 to $905.3M in FY2023, $980.5M in FY2024, $1.20B in FY2025, and $1.48B in FY2026, delivering a 5-year revenue CAGR of 14.7%. Annual revenue growth reached 22.7% in FY2026 following 22.6% in FY2025. Gross margin expanded steadily over the period, moving from 46.4% in FY2022 to 64.2% in FY2026. Operating margin turned positive to 3.4% in FY2025 and expanded to 10.2% in FY2026, while net income rose from -$180.4M in FY2022 to $139.3M in FY2026. For the latest quarter ended July 31, 2026, quarterly revenue rose 15.3% year-over-year, while quarterly earnings fell 38.2%.

As of July 31, 2026, Guidewire held $753.1M in cash and short-term investments against total debt of $703.3M, leaving net cash of $49.8M. Total assets stood at $2.58B and shareholders' equity reached $1.19B, supported by a current ratio of 1.79 and a debt-to-equity ratio of 0.59. In FY2026, operating cash flow reached $389.7M. The company funded $12.1M in capital expenditures and directed $606.3M toward share buybacks, while the 5-year share count change was 0.5%.

GWRE trades at a trailing P/E of 103.6x and a forward P/E of 34.8x, compared to medians of 28.1x and 18.8x for its US-listed Technology peers. Its enterprise value of $12.50B represents an EV-to-EBITDA multiple of 60.8x, above the peer median of 16.6x, while its price-to-sales multiple is 9.4x versus 2.8x for the peer group. Over the past year, GWRE fell 30.7% while the S&P 500 gained 16.8%. Over 5 years, the stock returned 38.6% compared to 83.0% for the S&P 500.

Wall Street coverage consists of 8 Strong Buy, 5 Buy, and 3 Hold ratings, with 0 Sell and 0 Strong Sell ratings. The mean price target of $213.29 implies an upside of 26.3% from the last close of $168.86. For the current fiscal year ending July 31, 2027, consensus estimates project revenue of $1.72B and EPS of $4.19, reflecting EPS growth of 22.1%. Guidewire recorded 4 EPS beats over the last 4 quarters, and its next earnings date is December 2, 2026.

This page is an AI-written research summary of Guidewire Software, Inc. (GWRE). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: GWRE income statement, GWRE balance sheet, GWRE key metrics, GWRE analyst forecast, GWRE chart. See the GWRE stock overview for the latest quote and news.