Clearwater Analytics (NYSE:CWAN) Posts Quarterly Earnings Results, Misses Estimates By $0.02 EPS

Clearwater Analytics (NYSE:CWAN) announced its earnings results on Wednesday. The company reported $0.14 EPS for the quarter, missing analysts’ consensus estimates of $0.16 by ($0.02), FiscalAI reports. Clearwater Analytics had a net margin of 61.28% and a return on equity of 3.07%. The business had revenue of $205.11 million for the quarter, compared to the consensus estimate of $203.66 million. During the same quarter in the prior year, the company earned $0.14 EPS. Clearwater Analytics’s revenue was up 77.1% compared to the same quarter last year. Clearwater Analytics updated its FY 2025 guidance to EPS and its Q4 2025 guidance to EPS.

Clearwater Analytics Stock Up 1.6%

Shares of NYSE CWAN traded up $0.25 during midday trading on Friday, hitting $16.14. The stock had a trading volume of 3,064,638 shares, compared to its average volume of 3,632,804. The business’s 50 day moving average is $18.68 and its 200-day moving average is $20.77. Clearwater Analytics has a 52 week low of $15.73 and a 52 week high of $32.71. The company has a quick ratio of 2.02, a current ratio of 2.02 and a debt-to-equity ratio of 0.44. The company has a market cap of $4.72 billion, a P/E ratio of 10.56, a PEG ratio of 4.74 and a beta of 0.69.

Clearwater Analytics declared that its Board of Directors has initiated a stock repurchase program on Wednesday, September 3rd that permits the company to repurchase $100.00 million in shares. This repurchase authorization permits the company to purchase up to 1.7% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s board believes its shares are undervalued.

Wall Street Analyst Weigh In

CWAN has been the subject of several research reports. Wall Street Zen lowered shares of Clearwater Analytics from a “hold” rating to a “sell” rating in a report on Saturday, October 18th. Zacks Research raised shares of Clearwater Analytics from a “strong sell” rating to a “hold” rating in a research note on Thursday, September 4th. UBS Group lowered their price objective on shares of Clearwater Analytics from $35.00 to $30.00 and set a “buy” rating for the company in a report on Thursday. Weiss Ratings upgraded Clearwater Analytics from a “sell (d+)” rating to a “hold (c-)” rating in a report on Friday, October 24th. Finally, The Goldman Sachs Group raised 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 equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat.com, Clearwater Analytics presently has an average rating of “Moderate Buy” and a consensus price target of $30.56.

Insider Activity at Clearwater Analytics

In related news, CTO Souvik Das sold 5,327 shares of the company’s stock in a transaction that occurred on Tuesday, September 30th. The stock was sold at an average price of $17.68, for a total value of $94,181.36. Following the transaction, the chief technology officer directly owned 136,066 shares of the company’s stock, valued at approximately $2,405,646.88. This represents a 3.77% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Subi Sethi sold 7,434 shares of Clearwater Analytics stock in a transaction that occurred on Tuesday, September 30th. The stock was sold at an average price of $17.68, for a total transaction of $131,433.12. Following the completion of the sale, the insider owned 226,980 shares of the company’s stock, valued at $4,013,006.40. This represents a 3.17% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 143,602 shares of company stock valued at $2,756,283 over the last ninety days. Corporate insiders own 3.31% of the company’s stock.

Hedge Funds Weigh In On Clearwater Analytics

A number of institutional investors have recently bought and sold shares of the stock. AQR Capital Management LLC lifted its position in Clearwater Analytics by 1,027.1% during the first quarter. AQR Capital Management LLC now owns 132,828 shares of the company’s stock valued at $3,560,000 after purchasing an additional 121,043 shares in the last quarter. Integrated Wealth Concepts LLC purchased a new stake in Clearwater Analytics in the first quarter worth about $208,000. Woodline Partners LP raised its stake in shares of Clearwater Analytics by 75.2% in the first quarter. Woodline Partners LP now owns 20,066 shares of the company’s stock worth $538,000 after buying an additional 8,613 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in shares of Clearwater Analytics by 1.5% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 459,292 shares of the company’s stock valued at $12,309,000 after buying an additional 6,826 shares in the last quarter. Finally, M&T Bank Corp grew its stake in shares of Clearwater Analytics by 51.8% during the 2nd quarter. M&T Bank Corp now owns 13,164 shares of the company’s stock valued at $289,000 after acquiring an additional 4,492 shares during the period. 50.10% of the stock is owned by institutional investors.

Clearwater Analytics Company Profile

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.