Guidewire GWRE cloud platform is utilized by the Canada-based Workplace Safety and Insurance Board (WSIB) to run its billing management, policy administration and underwriting operations. WSIB will also migrate its existing self-managed installations of Guidewire BillingCenter and Guidewire PolicyCenter onto the Guidewire Cloud.
Migration to the cloud offers a multitude of benefits like risk mitigation, enhanced scalability and quick disaster recovery management. Migration to the cloud aids in streamlining IT management and helps in boosting business outcomes.
WSIB will also be implementing Guidewire’s data and analytics capabilities and integration framework to link with third-party insurtechs that are part of the Guidewire PartnerConnect ecosystem.
Guidewire’s Insurtech Vanguards platform now has more than 25 members (mostly start-ups) since its launch in October 2021. Insurtech Vanguards is an endeavor by the company to connect P&C insurers with innovative technology providers to speed up work and improve client experience.
Guidewire Software, Inc. Price and Consensus
Guidewire Software, Inc. price-consensus-chart | Guidewire Software, Inc. Quote
Guidewire Cloud continues to witness strong momentum, especially among Tier 1 and Tier 2 insurers. This bodes well for top-line growth.
In the last reported quarter, cloud bookings constituted approximately 90% of the quarterly bookings. The company inked eight cloud deals in the quarter, bringing the year-to-date count to 24. The number of go lives in the last reported quarter totaled five (four for InsuranceSuite and one for ClaimCenter), bringing the year-to-date count to 59 across InsuranceSuite and InsuranceNow, added the company.
The company’s subscription-based offerings are gaining from the robust adoption of the InsuranceSuite Cloud platform. Subscription revenues jumped 49% year over year to $66.4 million in the third quarter of fiscal 2022.
Further, its focus on enhancing the Guidewire Cloud platform with new capabilities is expected to boost sales of subscription-based solutions in the long haul. Guidewire recently unveiled Elysian. Elysian will reduce integration costs and help insurers quickly connect third-party apps. The new solution also simplifies the integration process on the Guidewire Marketplace and includes a new Insurance Solution for travel.
Some of the recent deal wins for Guidewire cloud include Golden Bear, Aioi Nissay Dowa Insurance, Franklin Mutual Insurance and Cornerstone National Insurance Company.
Guidewire carries a Zacks Rank #4 (Sell). Shares of GWRE have lost 35.1% compared with the industry’s decline of 19% in the past year.
Stocks to Consider
A few other top-ranked stocks from the broader technology sector worth consideration are InterDigital IDCC, Avnet AVT and Vishay Intertechnology VSH. While Avnet and InterDIgital sport a Zacks Rank #1, Vishay Intertechnology carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Vishay Intertechnology’s 2022 earnings is pegged at $2.68 per share, rising 10.3% in the past 60 days. The long-term earnings growth rate is anticipated to be 22.7%.
Vishay Intertechnology’s earnings beat the Zacks Consensus Estimate in the three out of last four quarters, the average being 5%. Shares of VSH have declined 19.3% in the past year.
The Zacks Consensus Estimate for InterDigital 2022 earnings is pegged at $3.28 per share, up 5.1% in the past 60 days. IDCC’s long-term earnings growth rate is pegged at 15%.
InterDigital’s earnings beat the Zacks Consensus Estimate in all the preceding four quarters, with the average being 141.1%. Shares of IDCC have lost 22.6% of their value in the past year.
The Zacks Consensus Estimate for Avnet’s fiscal 2022 earnings is pegged at $6.83 per share, rising 20.5% in the past 60 days. The long-term earnings growth rate is anticipated to be 37.2%.
Avnet’s earnings beat the Zacks Consensus Estimate in all of the last four quarters, the average being 21.22%. Shares of Avnet are up 4% in the past year.
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Avnet, Inc. (AVT): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
