Clearwater Analytics (NYSE:CWAN) Trading Up 4.2% – Still a Buy?

Clearwater Analytics Holdings, Inc. (NYSE:CWAN) rose 4.2% on Tuesday . The company traded as high as $20.85 and last traded at $20.8180. Approximately 3,775,786 shares changed hands during trading, a decline of 2% from the average daily volume of 3,855,063 shares. The stock had previously closed at $19.97.

Wall Street Analysts Forecast Growth

CWAN has been the topic of several recent analyst reports. Wells Fargo & Company decreased their price target on Clearwater Analytics from $32.00 to $27.00 and set an “overweight” rating on the stock in a research note on Thursday, November 6th. Wall Street Zen upgraded shares of Clearwater Analytics from a “sell” rating to a “hold” rating in a research note on Saturday, November 8th. Royal Bank Of Canada reissued an “outperform” rating and issued a $36.00 price objective on shares of Clearwater Analytics in a research note on Wednesday, September 17th. Zacks Research upgraded shares of Clearwater Analytics from a “strong sell” rating to a “hold” rating in a research report on Thursday, September 4th. Finally, The Goldman Sachs Group upgraded Clearwater Analytics from a “neutral” rating to a “buy” rating and set a $27.00 target price for the company in a research report on Monday, August 11th. Nine investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $30.56.

Clearwater Analytics Price Performance

The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.97 and a current ratio of 1.97. The company has a 50-day moving average of $18.41 and a 200-day moving average of $20.55. The firm has a market capitalization of $6.05 billion, a price-to-earnings ratio of 13.52, a price-to-earnings-growth ratio of 5.07 and a beta of 0.69.

Clearwater Analytics (NYSE:CWAN) last issued its quarterly earnings data on Wednesday, November 5th. The company reported $0.14 EPS for the quarter, missing analysts’ consensus estimates of $0.16 by ($0.02). Clearwater Analytics had a return on equity of 2.77% and a net margin of 61.28%.The company had revenue of $205.11 million for the quarter, compared to analyst estimates of $203.66 million. During the same quarter in the previous year, the business earned $0.14 earnings per share. The company’s revenue was up 77.1% on a year-over-year basis. Clearwater Analytics has set its FY 2025 guidance at EPS. Q4 2025 guidance at EPS. As a group, research analysts anticipate that Clearwater Analytics Holdings, Inc. will post 0.18 EPS for the current fiscal year.

Clearwater Analytics declared that its board has approved a share buyback program on Wednesday, September 3rd that allows the company to buyback $100.00 million in shares. This buyback authorization allows the company to repurchase up to 1.7% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s board of directors believes its stock is undervalued.

Insider Buying and Selling at Clearwater Analytics

In other Clearwater Analytics news, CFO James S. Cox sold 11,275 shares of the firm’s stock in a transaction that occurred on Wednesday, October 15th. The stock was sold at an average price of $17.98, for a total value of $202,724.50. Following the completion of the transaction, the chief financial officer directly owned 338,983 shares in the company, valued at $6,094,914.34. This trade represents a 3.22% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CTO Souvik Das sold 5,327 shares of the business’s stock in a transaction on Tuesday, September 30th. The stock was sold at an average price of $17.68, for a total transaction of $94,181.36. Following the transaction, the chief technology officer owned 136,066 shares in the company, valued at approximately $2,405,646.88. The trade was a 3.77% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 132,327 shares of company stock valued at $2,537,323 in the last ninety days. Insiders own 3.31% of the company’s stock.

Hedge Funds Weigh In On Clearwater Analytics

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CWAN. Vanguard Group Inc. raised its position in shares of Clearwater Analytics by 21.9% in the third quarter. Vanguard Group Inc. now owns 33,261,349 shares of the company’s stock valued at $599,370,000 after purchasing an additional 5,967,798 shares during the period. Wellington Management Group LLP grew its stake in Clearwater Analytics by 108.7% in the 3rd quarter. Wellington Management Group LLP now owns 17,793,701 shares of the company’s stock valued at $320,642,000 after buying an additional 9,268,950 shares during the last quarter. Wasatch Advisors LP raised its holdings in Clearwater Analytics by 3.0% in the 2nd quarter. Wasatch Advisors LP now owns 9,567,391 shares of the company’s stock valued at $209,813,000 after acquiring an additional 274,664 shares during the period. Bamco Inc. NY lifted its position in Clearwater Analytics by 25.9% during the third quarter. Bamco Inc. NY now owns 7,675,038 shares of the company’s stock worth $138,304,000 after acquiring an additional 1,580,323 shares during the last quarter. Finally, Blair William & Co. IL boosted its holdings in shares of Clearwater Analytics by 83.5% during the third quarter. Blair William & Co. IL now owns 7,134,647 shares of the company’s stock worth $128,566,000 after acquiring an additional 3,245,986 shares during the period. 50.10% of the stock is owned by institutional investors.

About Clearwater Analytics

Clearwater Analytics Holdings, Inc develops and provides a Software-as-a-Service (SaaS) solution for automated investment data aggregation, reconciliation, accounting, and reporting services to insurers, investment managers, corporations, institutional investors, and government entities in the United States and internationally.