Stock Analysis
GUIDEWIRE SOFTWARE, INC.GWRE
P/E 86.62×· 5Y range 53.78–650.02×· 36th percentile of history
Sector: Technology · Industry: Services-Prepackaged Software
AnalystsStrong Buy22 analystsP/E 86.6× sits at the 36th percentile of its 5.059548254620124-year history.
Cash covers 109% of debt · FY 2026.
PMP Verdict
High quality, fairly valued
Strengths
- Financial Health93
- Quality84
Risks
- Growth45
Strong fundamentals at a reasonable valuation.
Market context
-3.9% today· Z 1.6σ
Bull Case
- ✓Piotroski F-Score 7/9 — high earnings quality
- ✓Altman Z 6.7 — safe-zone balance sheet
- ✓Revenue CAGR 16.1% — durable top-line growth
- ✓Interest coverage 11.2× — debt well covered
What's happening with GWRE
Profile
Strong financial health and earnings quality; valuation, moat and growth lag behind.
How is each axis scored?
- Valuation37/100 · Weak
- P/E vs own history (36th pct)20/25
- FCF yield (2.4%)5/25
- P/S (9.7x)12/25
- EV/EBIT (117.7x)0/25
- Growth45/100 · Weak
- Revenue CAGR (16.1%)20/25
- Net income CAGR (n/a)0/25
- EPS CAGR 5Y (n/a)0/25
- Fwd implied growth (114.9%)25/25
- Profitability56/100 · Moderate
- ROIC (8.2%)12/25
- ROE (13.4%)12/25
- Net margin (11.2%)20/25
- Operating margin (8.2%)12/25
- Financial Health93/100 · Strong
- Altman Z (6.71)25/25
- Current ratio (1.79)18/25
- Interest coverage (11.2x)25/25
- Net cash / debt (Net cash)25/25
- Quality84/100 · Strong
- Piotroski F (7/9)22/25
- Beneish M (-3.01)25/25
- FCF conversion (211%)25/25
- Margin stability (σ 12.4%)12/25
- Moat43/100 · Weak
- ROIC >12% years (0/10 yrs)0/25
- Median gross margin (55.0%)25/25
- FCF-positive years (9/10 yrs)18/25
- Worst-year net margin (worst -22.2%)0/25
Risk Flags
- ⚠SBC 12.5% of revenue — real dilution cost
- ⚠6 loss-making years in recent history
About GUIDEWIRE SOFTWARE, INC.
Guidewire Software provides cloud-based software solutions for property and casualty insurers. Show more
The flagship product, InsuranceSuite, is a system of record and comprises ClaimCenter, a claims management system; PolicyCenter, a policy management system including policy definitions, quotas, issuance, maintenance, and renewal; and BillingCenter, for billing management, payment plans, and agent commissions. The company also offers InsuranceNow, a midmarket offering, as well as a variety of other add-on applications and services.
Headquarters: SAN MATEO, CA · Employees: 4,174 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
37DP/E (TTM)86.6xD
Grade D: ExpensivePrice / TTM EPS (own statements) — vs own 5Y history: 53.8x–650.0x · 36th pct
P/FCF33.1xC
Grade C: ExpensivePrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield2.4%C
Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: -1.0%–3.8% · 90th pct
P/S (TTM)9.75xC
Grade C: ExpensivePrice / TTM Revenue (own statements) — vs own 5Y history: 5.2x–19.8x · 47th pct
EV/EBIT117.7xD
Grade D: ExpensiveEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 74.9x–143.5x · 74th pct
EV/Sales10.0xC
Grade C: ExpensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E40.3xD
Grade D: ExpensivePrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio11.60xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio1.04B
Grade B: FairFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield—
TTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio—
Dividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
56CROIC8.2%C
Grade C: AverageNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE13.4%C
Grade C: AverageReturn on Equity. Neg. equity = heavy buybacks
ROA5.3%C
Grade C: AverageReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin11.2%A
Grade A: HighNet Income / Revenue
Operating Margin8.2%D
Grade D: LowTTM EBIT / TTM Revenue
Gross Margin64.0%A
Grade A: PremiumGross Profit / Revenue
FCF Margin23.7%A
Grade A: HighFCF / Revenue
True FCF Margin11.3%C
Grade C: AverageTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
45D+Revenue CAGR16.1%A
Grade A: HighCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR—
Compound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)—
Compound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth114.9%A
Grade A: HighAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)-1.9%B
Grade B: FlatShare count change over 5Y
SBC / Net Income110.9%D
Grade D: HighStock-based comp/Net income. >30% = dilution risk
SBC / Revenue12.5%D
Grade D: HighTTM stock-based comp / TTM Revenue
Financial Health
93A+Altman Z-Score6.71A
Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio1.79xC
Grade C: OkCurrent Assets/Liabilities
Quick Ratio1.67xA
Grade A: High(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage11.2xA
Grade A: StrongEBIT/Interest. >10 Strong
Debt RepaymentNet CashA
Grade A: FastYears to repay net debt via FCF
Net Debt/EBITNet CashA
Grade A: LowLeverage. <2x Low, >4x High
Debt/Equity0.60xA
Grade A: LowDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt1.09xA
Grade A: CoveredCash covers how much of total debt. >1 = could repay all debt from cash
Quality
84APiotroski F-Score7/9A
Grade A: StrongFinancial strength 0–9. >7 Strong
Beneish M-Score-3.01A
Grade A: SafeEarnings manipulation risk. < -2.22 Safe
FCF Conversion211.0%A
Grade A: StrongFCF / Net Income
Margin Stability12.4%C
Grade C: AverageEBIT margin std deviation. Lower = stable
Capex / Revenue0.9%A
Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.57xC
Grade C: AverageRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Rosenbaum Michael George Filed | Rosenbaum Michael George | SellOpen market sale | -1200 | |
King James Winston Filed | King James Winston | SellOpen market sale | -9187 | |
Rosenbaum Michael George Filed | Rosenbaum Michael George | SellOpen market sale | -1200 | |
Rosenbaum Michael George Filed | Rosenbaum Michael George | SellOpen market sale | -1200 | |
Cooper Jeffrey Elliott Filed | Cooper Jeffrey Elliott | SellOpen market sale | -994 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Cooper Jeffrey Elliott Filed | Cooper Jeffrey Elliott | SellOpen market sale | -1195 | |
Cooper Jeffrey Elliott Filed | Cooper Jeffrey Elliott | SellOpen market sale | -4468 | |
Cooper Jeffrey Elliott Filed | Cooper Jeffrey Elliott | SellOpen market sale | -2430 |
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
43D+ROIC >12% Years0/10 yrsD
Grade D: WeakShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)55.0%A
Grade A: DurableMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years9/10 yrsA
Grade A: DurableShare of completed fiscal years with positive free cash flow
Net Margin Floor-22.2%D
Grade D: WeakWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)$1.95
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$9.18
Cash & short-term investments per share (Finnhub)
Book Value / Share$14.56
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$714.99M
Total debt obligations (short + long term)
Cash & Equiv.$777.16M
Cash and short-term investments
Net Debt$-62.17MA
Grade A: Net CashTotal Debt minus Cash. Negative = Net Cash position
Total Equity$1.19B
Shareholders' equity (book value)
Asset / Liability1.86xC
Grade C: AdequateTotal Assets / Total Liabilities
Market
Market Cap$13.85B
Current Market Capitalization
Beta1.03B
Grade B: MarketPrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jul 2026 · Ratio snapshot Oct 17, 2026
Key Insights: GUIDEWIRE SOFTWARE, INC. (GWRE)
GWRE is down 3.93% at the last close. GUIDEWIRE SOFTWARE, INC. meets 7 of 9 Piotroski F-Score criteria, placing its fundamental strength in the top tier of US-listed stocks. Altman Z-Score of 6.71 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. Beneish M-Score of -3.01 suggests a low likelihood of earnings manipulation.
- Revenue has compounded at roughly 16% annually — a strong growth profile.
- GUIDEWIRE SOFTWARE, INC. converts about 24% of revenue into free cash flow — strong cash generation.
- Company is effectively debt-free after netting cash.
- GUIDEWIRE SOFTWARE, INC. posted a net loss in 6 of 10 available completed fiscal years (2017–2026).
See how GWRE ranks on the Capex Tracker — top 50 capital spenders compared.
Recent Market Moves
See all GWRE moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Sep 21 | Regular | 149.26 | +3.44% | 2.30 |
| Sep 21 | After-hours | 149.38 | +3.53% | 2.35 |
Frequently Asked Questions about GWRE
What is the current GUIDEWIRE SOFTWARE, INC. (GWRE) stock price?
GWRE is trading at $168.86 at the last market close, down 3.93% on the session. PreMarketPrice tracks GWRE pre-market, intraday and after-hours prices.
Is GWRE stock a buy right now?
PreMarketPrice's quantitative model rates GUIDEWIRE SOFTWARE, INC.'s financial health at 93/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is GWRE stock overvalued?
GUIDEWIRE SOFTWARE, INC. trades at a trailing P/E of 86.6 and our valuation score rates it 37/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does GUIDEWIRE SOFTWARE, INC. report earnings?
No confirmed earnings date is currently scheduled for GWRE. The Earnings section lists recent reports and updates as dates are announced.
What sector does GUIDEWIRE SOFTWARE, INC. operate in?
GUIDEWIRE SOFTWARE, INC. operates in the Technology sector, within the Services-Prepackaged Software industry. The Related Stocks section lists sector peers for comparison.
What does GUIDEWIRE SOFTWARE, INC. do?
Guidewire Software provides cloud-based software solutions for property and casualty insurers.
About GUIDEWIRE SOFTWARE, INC. (GWRE) Stock
GUIDEWIRE SOFTWARE, INC. (GWRE) is a US-listed stock operating in the Technology sector, specifically the Services-Prepackaged Software industry. As of the latest update, GUIDEWIRE SOFTWARE, INC. is trading at $168.86, down 3.93% on the day with a market capitalization of $13.8 billion. The financial health score for GWRE is 93/100, which indicates excellent financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for GWRE stock.
GWRE Stock Analysis & Key Metrics
On PreMarketPrice, you can track GUIDEWIRE SOFTWARE, INC. (GWRE) across multiple dimensions:
- Pre-market price & movement: Real-time GWRE stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for GWRE with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for GUIDEWIRE SOFTWARE, INC. across multiple reporting periods.
- Financial health score: A composite score of 93/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for GWRE.
- Sector peers: Compare GWRE against 6 other technology stocks on key financial metrics.
Is GWRE a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate GUIDEWIRE SOFTWARE, INC. (GWRE) as an investment. The financial health score of 93/100 suggests excellent financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.GUIDEWIRE SOFTWARE, INC. (GWRE) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.