Insurance software provider Guidewire Software (NYSE: GWRE) will be announcing earnings results this Wednesday after market hours. Here’s what you need to know.
Guidewire Software beat analysts’ revenue expectations by 5.8% last quarter, reporting revenues of $356.6 million, up 22.3% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EBITDA estimates and revenue guidance for next quarter exceeding analysts’ expectations.
Is Guidewire Software a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Guidewire Software’s revenue to grow 21% year on year to $318 million, slowing from the 26.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.61 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Guidewire Software has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 2.9% on average.
Looking at Guidewire Software’s peers in the vertical software segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Alarm.com delivered year-on-year revenue growth of 6.6%, beating analysts’ expectations by 2.2%, and Manhattan Associates reported revenues up 3.4%, topping estimates by 1.6%. Alarm.com traded up 5.8% following the results while Manhattan Associates was down 4.4%.
Read our full analysis of Alarm.com’s results here and Manhattan Associates’s results here.
Questions about potential tariffs and corporate tax changes have caused much volatility in 2025. While some of the vertical software stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 4.8% on average over the last month. Guidewire Software is down 6% during the same time and is heading into earnings with an average analyst price target of $266.46 (compared to the current share price of $213.25).
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