GWRE

As the Q1 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the vertical software industry, including Guidewire Software (NYSE:GWRE) and its peers. Software is eating the world, and while a large number of solutions such as project management or video conferencing software can be useful to a wide array of industries, some have very specific needs. As a result, vertical software, which addresses industry-specific workflows, is growing and fueled by the pressures to improve productivity, whether it be for a life sciences, education, or banking company. The 4 vertical software stocks we track reported a strong Q1. As a group, revenues beat analysts’ consensus estimates by 3.7% while next quarter’s revenue guidance was 0.9% above. In light of this news, share prices of the companies have held steady as they are up 1.9% on average since the latest earnings results. With its systems powering the operations of hundreds of insurance brands across 42 countries, Guidewire Software (NYSE:GWRE) provides a technology platform that helps property and casualty insurance companies manage their core operations, digital engagement, and analytics. Guidewire Software reported revenues of $372.5 million, up 26.9% year on year. This print exceeded analysts’ expectations by 4.7%. Overall, it was a strong quarter for the company with an impressive beat of analysts’ billings estimates and full-year revenue guidance slightly topping analysts’ expectations. Guidewire Software pulled off the fastest revenue growth and highest full-year guidance raise of the whole group. Investor expectations, however, were likely higher than Wall Street’s published projections, leaving some wishing for even better results (analysts’ consensus estimates are those published by big banks and advisory firms, not the investors who make buy and sell decisions). The stock is down 11% since reporting and currently trades at $134.50. We think Guidewire Software is a good business, but is it a buy today? Read our full report here, it’s free. Processing over 325 billion data points annually from more than 150 million connected devices, Alarm.com (NASDAQ:ALRM) provides cloud-based platforms that enable residential and commercial property owners to remotely monitor and control their security, video, energy, and other connected devices. Alarm.com reported revenu...

BlackBerry Limited BB reported first-quarter fiscal 2027 non-GAAP earnings per share (EPS) of 4 cents. The figure beat the company’s estimate of 2-3 cents. In the year-ago quarter, it reported a non-GAAP EPS of 2 cents. The Zacks Consensus Estimate was pegged at 3 cents per share. BlackBerry generated $152.9 million in fiscal first-quarter revenue, representing 26% year-over-year growth. During the quarter, BlackBerry delivered strong execution across both QNX and Secure Communications, with each achieving Rule of 40 performance through a combination of solid growth and profitability. QNX continues to gain traction for software-defined vehicles, robotics, industrial automation and physical AI, while Secure Comm remains a dependable source of high-margin revenue backed by government and defense customers. After a strong start to fiscal 2027, BB raised its full-year QNX revenue guidance to $295–$312 million and adjusted EBITDA view to $74–$86 million. Secure Comm continues to be a stable and growing business. The company reaffirmed its full-year revenue guidance of $270–$280 million, representing 4–8% growth. For Licensing, it raised its guidance to approximately $29 million in revenue and $25 million in adjusted EBITDA. Fueled by improved outlook for QNX and Licensing, BlackBerry raised fiscal 2027 guidance to $594–$621 million in revenue and $119–$139 million in adjusted EBITDA. Earlier, it expected revenue to grow 6–11% to $584–$611 million, with adjusted EBITDA of $110–$130 million. The 90%flow-through of incremental revenue to adjusted EBITDA highlights the strong operating leverage of BlackBerry's business model. Non-GAAP EPS is now estimated at 16-20 cents, up from the prior expected 15–19 cents. Stronger cash conversion is expected to drive full-year operating cash flow to about $100 million, nearly double. Image Source: Zacks Investment Research Following stronger-than-expected momentum and bolstered guidance, BB’s shares rose 20% in trading and closed at $10.34 yesterday. The stock has gained 119% over the past year, outperforming the Zacks Internet-Software industry’s fall of 25%. Revenue from the QNX business rose 26% to $72.3 million, exceeding the upper end of guidance ($60-$64 million). QNX's strong results were driven by software-defined vehicles and centralized computing, record development license revenue (the highest in eight quarters) and g...

Guidewire Software Inc. (NYSE:GWRE) is one of the 12 best buy-the-dip stocks to invest in now. On June 5, Guidewire Software Inc. (NYSE:GWRE) reported its third-quarter revenue of $372.5 million, which exceeded the $356.09 million consensus expectations. CEO Mike Rosenbaum stated that the company’s outstanding Q3 result highlights its confidence in the business’s tenacity and continuous momentum, setting it up for what is anticipated to be a record-breaking fourth quarter. Photo by Danial Igdery on Unsplash He continued by saying that as insurers emphasize updating core systems, shifting important business operations to Guidewire’s cloud-based platform solutions, and incorporating AI into all of their applications, the company’s approach and market position continue to appeal to them. The same day, Citizens reduced its target price on the company from $300 to $220, which still leads to an adjusted upside potential of almost 89%. The firm, however, reiterated an Outperform rating on the stock. The downward revision in price target is based on “mixed” results from the third quarter. However, the firm is optimistic about the prospects during the final quarter, which will be supported by the successful execution of the company’s pushed deals. Guidewire Software Inc. (NYSE:GWRE) offers a cloud-based platform to property and casualty (P&C) insurers around the globe. Through the platform, it provides several applications, such as PolicyCenter, ClaimCenter, and BillingCenter, that facilitate core operations for P&C insurance companies. Other offerings include Guidewire Rating Management, Guidewire InsuranceNow, Guidewire Reinsurance Management, Guidewire Client Data Management, and more. While we acknowledge the potential of GWRE as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years. Disclosure: None. Follow Insider Monkey on Google News.

This article first appeared on GuruFocus. Revenue: $373 million, up 27% year over year. ARR (Annual Recurring Revenue): $1.147 billion, up over 19% year over year. Subscription and Support Revenue: $245 million, reflecting 35% year-over-year growth. Services Revenue: $72 million, up 32% year over year. Gross Profit: $247 million, representing 29% year-over-year growth. Overall Gross Margin: 66%. Subscription and Support Gross Margin: 74%, compared to 71% a year ago. Services Gross Margin: 14%, compared to 13% a year ago. Operating Profit: $78 million. Operating Cash Flow: $61 million. Cash, Cash Equivalents, and Investments: $1.15 billion. Share Repurchase: 1.7 million shares at an average price of $147.07 per share. Fiscal Year 2026 Revenue Outlook: $1.46 billion to $1.47 billion. Fiscal Year 2026 Subscription and Support Revenue Outlook: $963 million to $969 million. Fiscal Year 2026 Services Revenue Outlook: Approximately $270 million. Fiscal Year 2026 Overall Gross Margin Outlook: 67%. Fiscal Year 2026 Non-GAAP Operating Income Outlook: $314 million to $324 million. Fiscal Year 2026 Cash Flow from Operations Outlook: $365 million to $380 million. Fiscal Year 2026 CapEx Expectations: $30 million to $35 million. Warning! GuruFocus has detected 2 Warning Sign with COO. Is GWRE fairly valued? Test your thesis with our free DCF calculator. Release Date: June 04, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Guidewire Software Inc (NYSE:GWRE) reported strong financial performance with revenue growing 27% year over year, surpassing expectations. The company achieved 19% year-over-year growth in Annual Recurring Revenue (ARR), indicating robust demand for its offerings. Guidewire Software Inc (NYSE:GWRE) secured 11 cloud wins in the quarter, including significant deals with major insurers like Auto Club of Southern California and Bradesco Seguros. The company is experiencing increasing traction with newer offerings such as PricingCenter and ProNavigator, which are contributing to its growth. Guidewire Software Inc (NYSE:GWRE) is seeing significant productivity gains internally and across its partner ecosystem through the use of AI-driven development tools, enhancing delivery and implementation timelines. The company experienced some deal timing issues in Q3, with a few expected deals not closing within...

FEATURE Shares of Guidewire Software sank after the insurance-technology company’s full-fiscal year guidance raised a red flag for Wall Street. Guidewire stock was down 13% in premarket trading Friday, following the report late Thursday.

Guidewire Software, Inc. GWRE reported non-GAAP earnings per share of 82 cents for third-quarter fiscal 2026 (ended April 30, 2026) compared with 55 cents in the same period last year. Earnings surpassed the Zacks Consensus Estimate of 79 cents. The company reported revenues of $372.5 million, up 26.9% year over year. Revenues beat the Zacks Consensus Estimate by 4.6%. The figure also surpassed the company’s guided range of $352-$358 million. This uptick was driven by solid momentum in Subscription and support and Services segments. Management highlighted that third-quarter results reinforced its confidence in the strength and sustained momentum of the business and positioned the company for what it expects to be a record fourth quarter. The company noted that its strategy and market position continue to resonate with insurers as they modernize core systems, migrate critical business functions to Guidewire’s cloud platform solutions, and increasingly adopt AI capabilities across its applications. As of April 30, 2026, annual recurring revenue (ARR) was $1.147 billion, up 19% year over year. However, shares of the company dropped around 14% in the after-market trading session yesterday. In the past year, the stock has lost 40.9% compared with the Internet Software industry’s decline of 12.1%. Image Source: Zacks Investment Research The subscription and support segment’s revenues (65.7% of total revenues) gained 34.6% from the year-ago quarter's level to $244.7 million. License’s revenues (15%) were down 2.2% year over year to $56 million. Services’ revenues (19.3%) jumped 31.9% year over year to $71.8 million. Non-GAAP gross margin expanded to 66.4% from 65.5% on a year-over-year basis. The subscription and support segment’s gross margin increased to 74.1% from 70.6%, while the License segment’s gross margin was 99.3% compared with 98.5% in the year-ago quarter. Services’ non-GAAP gross margin was 14.3% compared with 12.9% a year ago. Total operating expenses increased 15.6% year over year to $206 million. Non-GAAP operating income was $77.8 million compared with $46.1 million in the year-ago quarter. As of April 30, 2026, cash and cash equivalents and short-term investments were $1146.8 million compared with $919.2 million as of Jan. 31, 2026. Driven by strong collections, GWRE generated $61.2 million in cash from operations in the quarter under discussion,...

Image source: The Motley Fool. Thursday, June 4, 2026 at 5 p.m. ET Chief Executive Officer — Mike Rosenbaum Chief Financial Officer — Jeffrey Cooper President — John Mullen Need a quote from a Motley Fool analyst? Email [email protected] Mike Rosenbaum, Chief Executive Officer; Jeff Cooper, Chief Financial Officer; as well as John Mullen, President, who will be available for the Q&A portion of today's call. Complete disclosure of our results can be found in our press release issued today as well as in our related Form 8-K furnished to the SEC, both of which are available on the Investor Relations section of our website. We have also posted this quarter's earnings deck on the IR section of the site. Today's call is being recorded, and a replay will be available following its conclusion. Statements today include forward-looking ones regarding our financial results, products, customer demand, operations, the impact of local, national and geopolitical events on our business and other matters. These statements are subject to risks, uncertainties and assumptions and are based on management's current expectations as of today and should not be relied upon as representing our views as of any subsequent date. Please refer to the press release and the risk factors and documents we file with the SEC, including our most recent annual report on Form 10-K and our prior and forthcoming quarterly reports on Form 10-Q filed and to be filed with the SEC for information on risks, uncertainties and assumptions that may cause actual results to differ materially from those set forth in such statements. We also will refer to certain non-GAAP financial measures to provide additional information to investors. All commentary on margins, profitability and expenses are on a non-GAAP basis unless stated otherwise. Please note that starting this quarter, we have updated our non-GAAP methodology to exclude the impact of unrealized foreign currency exchange rate gains and losses. To ensure an accurate comparison, we have recast all our non-GAAP schedules back to the first quarter of fiscal 2025. A reconciliation of non-GAAP to GAAP measures is provided in our press release. Reconciliations and additional data are also posted at the end of our quarterly earnings deck on our IR website. And with that, I'll now turn the call over to Mike. Mike Rosenbaum: Good afternoon, and thank you for joining us...

Guidewire Software (GWRE) came out with quarterly earnings of $0.82 per share, beating the Zacks Consensus Estimate of $0.79 per share. This compares to earnings of $0.88 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +4.23%. A quarter ago, it was expected that this provider of software to the insurance industry would post earnings of $0.77 per share when it actually produced earnings of $1.17, delivering a surprise of +51.95%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Guidewire Software, which belongs to the Zacks Internet - Software industry, posted revenues of $372.54 million for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 4.65%. This compares to year-ago revenues of $293.51 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Guidewire Software shares have lost about 22.9% since the beginning of the year versus the S&P 500's gain of 10.4%. While Guidewire Software has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Guidewire Software was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future....

Interested in Guidewire Software, Inc.? Here are five stocks we like better. Guidewire beat expectations in Q3 with revenue up 27% year over year to $373 million, ARR up more than 19% to $1.147 billion, and stronger profitability and cash flow than management had forecast. Management said demand remains strong for cloud migrations, PricingCenter, ProNavigator and AI-related products, highlighting 11 cloud wins in the quarter and several notable insurer deals across the U.S., Europe and Latin America. The company raised its fiscal 2026 outlook for total revenue to $1.46 billion-$1.47 billion and operating cash flow to $365 million-$380 million, while keeping ARR guidance unchanged and signaling confidence in a strong fourth quarter. Guidewire’s Buyback Could Be the Clue the Sell-Off Is Ending Guidewire Software (NYSE:GWRE) reported stronger-than-expected fiscal third-quarter revenue, profitability and cash flow, while management said demand for cloud migrations, pricing tools and AI-related products continued to build heading into the company’s seasonally important fourth quarter. Chief Executive Officer Mike Rosenbaum said the quarter included 11 cloud wins, including two net-new core system wins, as well as five ProNavigator deals and three PricingCenter wins. He said annual recurring revenue, or ARR, grew 19% year over year and finished within the company’s guidance range, despite several expected deals slipping beyond the quarter. → Palantir’s Drone Tailwind Puts Its Defense AI Story Back in Focus for Investors Down 20%+, These 3 Software Stocks Are Boosting Buybacks “The bookings results in the quarter were solid, 19% ARR growth is a great achievement,” Rosenbaum said. He added that Guidewire works with a “relatively small number of discrete deals each quarter,” which can make quarterly timing uneven. Chief Financial Officer Jeff Cooper said third-quarter ARR was $1.147 billion, up more than 19% from a year earlier. Total revenue rose 27% year over year to $373 million, above the high end of the company’s outlook. Subscription and support revenue increased 35% to $245 million, while services revenue rose 32% to $72 million. → Will the SpaceX IPO Put These 5 Public Space Stocks Into a Higher Orbit? AI Is Powering Guidewire Software’s Growth—So What Spooked the Market? Rosenbaum said insurers are increasingly aligning around Guidewire as a long-term core p...

Guidewire Software (GWRE) reported fiscal Q3 adjusted earnings late Thursday of $0.82 per diluted sh

SAN MATEO, Calif., June 04, 2026--(BUSINESS WIRE)--Guidewire (NYSE: GWRE) today announced its financial results for the fiscal quarter ended April 30, 2026. "Third-quarter results reinforce our confidence in the strength and continuing momentum of our business, and set us up well for what should be a record fourth quarter," said Mike Rosenbaum, chief executive officer, Guidewire. "It’s clear that our strategy and market position are resonating with insurers as they focus on modernizing core systems, migrating critical business functions to our cloud platform solutions, and adopting AI across our applications." "We are raising our fiscal year outlook for revenue, operating income, and cash flow based on better than expected Q3 results and greater visibility as opportunities progress through our pipeline," said Jeff Cooper, chief financial officer, Guidewire. "ARR grew 19% in Q3 and total revenue grew 27%. These strong growth dynamics reflect the pace of wins across products, regions, and customers of all sizes and reinforce the durability of our business model." Third Quarter Fiscal Year 2026 Financial Highlights Revenue Total revenue for the third quarter of fiscal year 2026 was $372.5 million, an increase of 27% from the same quarter in fiscal year 2025. Subscription and support revenue was $244.7 million, an increase of 35%; license revenue was $56.0 million, a decrease of 2%; and services revenue was $71.8 million, an increase of 32%, each compared to the same quarter in fiscal year 2025. As of April 30, 2026, annual recurring revenue, or ARR, was $1,147 million, compared to $1,041 million as of July 31, 2025. ARR results for interim quarterly periods in fiscal year 2026 are based on actual currency rates at the end of fiscal year 2025, held constant throughout the year. Profitability GAAP income from operations was $30.6 million for the third quarter of fiscal year 2026, compared with $4.5 million for the same quarter in fiscal year 2025. Non-GAAP income from operations was $77.8 million for the third quarter of fiscal year 2026, compared with $46.1 million for the same quarter in fiscal year 2025. GAAP net income was $16.5 million for the third quarter of fiscal year 2026, compared with $46.0 million for the same quarter in fiscal year 2025. GAAP net income was negatively impacted by a foreign currency loss of $20.1 million during the third quarter of f...

For the quarter ended April 2026, Guidewire Software (GWRE) reported revenue of $372.54 million, up 26.9% over the same period last year. EPS came in at $0.82, compared to $0.88 in the year-ago quarter. The reported revenue represents a surprise of +4.65% over the Zacks Consensus Estimate of $356.01 million. With the consensus EPS estimate being $0.79, the EPS surprise was +4.23%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Guidewire Software performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Annual recurring revenue: $1.15 billion versus the four-analyst average estimate of $1.15 billion. Revenue- Subscription and support: $244.74 million versus $242.07 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +34.6% change. Revenue- License: $56 million versus the five-analyst average estimate of $53.62 million. The reported number represents a year-over-year change of -2.2%. Revenue- Services: $71.81 million versus $60.46 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +31.9% change. Gross profit- License: $55.62 million versus $52.05 million estimated by three analysts on average. Gross profit- Services: $4.17 million versus $1.17 million estimated by two analysts on average. Gross profit- Subscription and support: $176.86 million versus the two-analyst average estimate of $168.36 million. View all Key Company Metrics for Guidewire Software here>>> Shares of Guidewire Software have returned +18.3% over the past month versus the Zacks S&P 500 composite's +4.6% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Guidewire Software,...