Guidewire Software, a provider of property and casualty insurance software, is set to release its fiscal fourth-quarter earnings after the market close on Thursday. Analysts project adjusted earnings per share of 93 cents on revenue of $402.7 million, compared with $372.5 million in the prior quarter and an 82-cent EPS in the same period last year.
The company's market capitalization stands at $16.05 billion, with shares trading at $192.76, according to recent data. The consensus price target is $210.86, implying a 9.4% upside potential from current levels. Guidewire's stock has ranged from a 52-week low of $102.30 to a peak of $272.60.
Analyst sentiment remains broadly positive, with 13 of 16 analysts rating the stock a Buy. Guggenheim attributed a modest annual recurring revenue (ARR) miss in the fiscal third quarter to "deal-timing-related mishaps." Stifel's Parker Lane expects a "$10 million-plus ARR beat" in the fourth quarter, while Piper Sandler's Billy Fitzsimmons highlighted upcoming 2025 products like PricingCenter and UnderwritingCenter as potential drivers of higher average revenue per customer.
Recent price target adjustments reflect optimism. Baird raised its target to $235 on August 31, maintaining a Buy rating, while Guggenheim lifted its target to $210 on August 27, also retaining a Buy call. Analysts anticipate fiscal 2027 ARR guidance of at least $1.45 billion, an 18% year-over-year increase.
Guidewire's cloud momentum is a key focus, with the company introducing its Agentic Framework and Qusar release to integrate AI agents for claims, underwriting, and data workflows. In the fiscal third quarter reported in early June, Guidewire exceeded EPS forecasts by nearly 11% and revenue estimates by 4.6%, prompting an upward revision to its full-year outlook for revenue, operating income, and cash flow.
