Guidewire Software's (GWRE) shares were up more than 20% in recent trading Wednesday after Oppenheimer and RBC Capital Markets raised their price targets on the stock and maintained their outperform rating.

Oppenheimer set its price target at $275, up from $230 previously, as it noted that Guidewire reported fiscal Q3 annual recurring revenue of $960 million, surpassing the consensus estimate of $945 million, fueled by 17 cloud deals, nine customer migrations, and increasing traction with InsuranceNow platform.

Separately, RBC Capital Markets raised its price target on Guidewire stock to $290 from $230.

"Guidewire delivered a solid beat in Q3, with revenue and earnings surpassing consensus estimates," RBC said in a note Tuesday.

Guidewire reported a fiscal Q3 non-GAAP net income of $0.88 per diluted share, a substantial increase from $0.26 a year earlier, and revenue of $293.5 million, also up from $240.7 million in the prior year.

Price: 261.95, Change: +43.82, Percent Change: +20.09