Guidewire Software Stock Buy Hold or Sell Recommendation
| GWRE Stock | USD 110.40 2.43 2.15% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Guidewire Software is 'Hold'. Macroaxis provides Guidewire Software buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding GWRE positions. The advice algorithm takes into account all of Guidewire Software's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Guidewire Software's buy or sell advice are summarized below:
Real Value 105.19 | Target Price 98 | Hype Value 110.4 | Market Value 110.4 | Naive Value 113.88 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Guidewire Software given historical horizon and risk tolerance towards Guidewire Software. When Macroaxis issues a 'buy' or 'sell' recommendation for Guidewire Software, the advice is generated through an automated system that utilizes algorithms and statistical models.
Guidewire |
Execute Guidewire Software Buy or Sell Advice
The Guidewire recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Guidewire Software. Macroaxis does not own or have any residual interests in Guidewire Software or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Guidewire Software's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Inapplicable | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Guidewire Software Trading Alerts and Improvement Suggestions
| Guidewire Software generated a negative expected return over the last 90 days | |
| The company reported the previous year's revenue of 905.34 M. Net Loss for the year was (111.86 M) with profit before overhead, payroll, taxes, and interest of 458.21 M. | |
| Guidewire Software has a strong financial position based on the latest SEC filings | |
| Over 100.0% of the company shares are owned by institutional investors | |
| Latest headline from businesswire.com: Guidewire Expands Insurtech Vanguards Pitch Days, Taking Event Global |
Guidewire Software Returns Distribution Density
The distribution of Guidewire Software's historical returns is an attempt to chart the uncertainty of Guidewire Software's future price movements. The chart of the probability distribution of Guidewire Software daily returns describes the distribution of returns around its average expected value. We use Guidewire Software price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Guidewire Software returns is essential to provide solid investment advice for Guidewire Software.
| Mean Return | 0.0002 | Value At Risk | -2.24 | Potential Upside | 2.00 | Standard Deviation | 1.41 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Guidewire Software historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Guidewire Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Guidewire Software is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Guidewire Software backward and forwards among themselves. Guidewire Software's institutional investor refers to the entity that pools money to purchase Guidewire Software's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Linonia Partnership Lp | 2023-12-31 | 1.7 M | Artisan Partners Limited Partnership | 2023-12-31 | 1.5 M | Jpmorgan Chase & Co | 2023-12-31 | 1.5 M | Df Dent & Co Inc | 2023-12-31 | 1.5 M | State Street Corporation | 2023-12-31 | 1.4 M | Wellington Management Company Llp | 2023-12-31 | 1.3 M | Geode Capital Management, Llc | 2023-12-31 | 1.2 M | Blair William & Co | 2023-12-31 | 1.2 M | Riverbridge Partners Llc | 2023-12-31 | 1.1 M | Vanguard Group Inc | 2023-12-31 | 8.1 M | Bamco Inc | 2023-12-31 | 6.4 M |
Guidewire Software Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | 2.8M | (39.0M) | 1.8M | (35.3M) | (31.8M) | (30.2M) | |
| Change In Cash | 112.9M | 17.9M | 229.8M | (207.9M) | (187.1M) | (177.8M) | |
| Free Cash Flow | 87.4M | 82.7M | (59.7M) | 21.0M | 24.1M | 22.9M | |
| Depreciation | 42.6M | 37.0M | 33.5M | 24.8M | 28.6M | 19.7M | |
| Other Non Cash Items | 22.8M | 32.7M | 35.5M | 24.1M | 27.8M | 29.2M | |
| Capital Expenditures | 25.7M | 28.9M | 21.8M | 17.4M | 20.0M | 14.7M | |
| Net Income | (27.2M) | (66.5M) | (180.4M) | (111.9M) | (100.7M) | (95.6M) | |
| End Period Cash Flow | 367.0M | 384.9M | 614.7M | 406.8M | 467.8M | 272.9M | |
| Change To Netincome | 101.7M | 86.9M | 89.5M | 119.8M | 137.8M | 76.4M | |
| Investments | 19.9M | 93.0M | 312.2M | 12.7M | 14.6M | 15.3M |
Guidewire Software Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Guidewire Software or Software sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Guidewire Software's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Guidewire stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | -0.08 | |
β | Beta against NYSE Composite | 1.38 | |
σ | Overall volatility | 1.35 | |
Ir | Information ratio | -0.04 |
Guidewire Software Volatility Alert
Guidewire Software has relatively low volatility with skewness of -0.1 and kurtosis of 0.14. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Guidewire Software's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Guidewire Software's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Guidewire Software Fundamentals Vs Peers
Comparing Guidewire Software's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Guidewire Software's direct or indirect competition across all of the common fundamentals between Guidewire Software and the related equities. This way, we can detect undervalued stocks with similar characteristics as Guidewire Software or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Guidewire Software's fundamental indicators could also be used in its relative valuation, which is a method of valuing Guidewire Software by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Guidewire Software to competition |
| Fundamentals | Guidewire Software | Peer Average |
| Return On Equity | -0.041 | -0.31 |
| Return On Asset | -0.0297 | -0.14 |
| Profit Margin | (0.05) % | (1.27) % |
| Operating Margin | (0.04) % | (5.51) % |
| Current Valuation | 9.06 B | 16.62 B |
| Shares Outstanding | 83.32 M | 571.82 M |
| Shares Owned By Insiders | 0.34 % | 10.09 % |
| Shares Owned By Institutions | 99.66 % | 39.21 % |
| Number Of Shares Shorted | 2.7 M | 4.71 M |
| Price To Earning | 432.00 X | 28.72 X |
| Price To Book | 7.38 X | 9.51 X |
| Price To Sales | 10.01 X | 11.42 X |
| Revenue | 905.34 M | 9.43 B |
| Gross Profit | 458.21 M | 27.38 B |
| EBITDA | (102.54 M) | 3.9 B |
| Net Income | (111.86 M) | 570.98 M |
| Cash And Equivalents | 988.31 M | 2.7 B |
| Cash Per Share | 11.75 X | 5.01 X |
| Total Debt | 440.14 M | 5.32 B |
| Debt To Equity | 0.33 % | 48.70 % |
| Current Ratio | 3.71 X | 2.16 X |
| Book Value Per Share | 15.26 X | 1.93 K |
| Cash Flow From Operations | 38.4 M | 971.22 M |
| Short Ratio | 4.86 X | 4.00 X |
| Earnings Per Share | (0.62) X | 3.12 X |
| Price To Earnings To Growth | 1.06 X | 4.89 X |
| Target Price | 127.92 | |
| Number Of Employees | 3.37 K | 18.84 K |
| Beta | 1.14 | -0.15 |
| Market Capitalization | 9.4 B | 19.03 B |
| Total Asset | 2.03 B | 29.47 B |
| Retained Earnings | (617.95 M) | 9.33 B |
| Working Capital | 726.34 M | 1.48 B |
Note: Disposition of 1350 shares by John Mullen of Guidewire Software at 111.35 subject to Rule 16b-3 [view details]
Guidewire Software Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Guidewire . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 17229.44 | |||
| Daily Balance Of Power | (0.83) | |||
| Rate Of Daily Change | 0.98 | |||
| Day Median Price | 111.82 | |||
| Day Typical Price | 111.35 | |||
| Price Action Indicator | (2.63) | |||
| Period Momentum Indicator | (2.43) | |||
| Relative Strength Index | 32.64 |
About Guidewire Software Buy or Sell Advice
When is the right time to buy or sell Guidewire Software? Buying financial instruments such as Guidewire Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Other Current Liabilities | 114.1M | 27.7M | 31.9M | 31.3M | Total Assets | 2.3B | 2.0B | 2.3B | 1.3B |
Use Investing Ideas to Build Portfolios
In addition to having Guidewire Software in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Volatility ETFs Thematic Idea Now
Volatility ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Volatility ETFs theme has 28 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Volatility ETFs Theme or any other thematic opportunities.
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Check out Guidewire Software Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade Guidewire Stock refer to our How to Trade Guidewire Stock guide.You can also try the Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
Complementary Tools for Guidewire Stock analysis
When running Guidewire Software's price analysis, check to measure Guidewire Software's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Guidewire Software is operating at the current time. Most of Guidewire Software's value examination focuses on studying past and present price action to predict the probability of Guidewire Software's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Guidewire Software's price. Additionally, you may evaluate how the addition of Guidewire Software to your portfolios can decrease your overall portfolio volatility.
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Is Guidewire Software's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Guidewire Software. If investors know Guidewire will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Guidewire Software listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.66 | Earnings Share (0.62) | Revenue Per Share 11.319 | Quarterly Revenue Growth 0.036 | Return On Assets (0.03) |
The market value of Guidewire Software is measured differently than its book value, which is the value of Guidewire that is recorded on the company's balance sheet. Investors also form their own opinion of Guidewire Software's value that differs from its market value or its book value, called intrinsic value, which is Guidewire Software's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Guidewire Software's market value can be influenced by many factors that don't directly affect Guidewire Software's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Guidewire Software's value and its price as these two are different measures arrived at by different means. Investors typically determine if Guidewire Software is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Guidewire Software's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.