This Insurance Tech Stock Is Rising 16%. It's Showing 'Sustained Growth, ' Analyst Says. -- Barrons.com

Dow Jones
09/05

By Nate Wolf

Guidewire Software was rising sharply Friday after the insurance-technology company blew past Wall Street's expectations for its fiscal fourth quarter.

The company, which provides a software platform to property and casualty insurers, posted adjusted earnings of 84 cents a share, well above the 64 cents analysts had forecast. Revenue totaled $356.6 million, surpassing Wall Street's call for $337.8 million.

Guidewire shares were soaring 16% to $251 in premarket trading. The stock has climbed 29% in 2025 as of Thursday's close.

"We were thrilled to close the year with an outstanding fourth quarter executing 19 cloud deals and surpassing $1 billion in [annual recurring revenue]," said CEO Mike Rosenbaum. The company also notched a 10-year deal with Liberty Mutual, Rosenbaum said on a conference call.

Guidewire forecast ending annual recurring revenue of $1.21 billion to $1.22 billion for fiscal 2026, above the $1.17 billion analysts had expected before the earnings print. The outlook "points to sustained growth trajectory," wrote Ken Wong of Oppenheimer & Co.

Oppenheimer reiterated an Outperform rating for the stock and boosted its price target to $300 from $275.

Write to Nate Wolf at nate.wolf@barrons.com

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

 

(END) Dow Jones Newswires

September 05, 2025 08:25 ET (12:25 GMT)

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