Clearwater Analytics (NYSE:CWAN) Trading Up 9% After Strong Earnings

Clearwater Analytics Holdings, Inc. (NYSE:CWAN)’s stock price was up 9% during trading on Thursday following a better than expected earnings announcement. The company traded as high as $17.28 and last traded at $17.25. Approximately 903,573 shares traded hands during mid-day trading, a decline of 25% from the average daily volume of 1,208,555 shares. The stock had previously closed at $15.82.

The company reported $0.10 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.09 by $0.01. The business had revenue of $102.70 million during the quarter, compared to the consensus estimate of $100.55 million. Clearwater Analytics had a positive return on equity of 1.26% and a negative net margin of 3.90%. The company’s revenue for the quarter was up 21.4% on a year-over-year basis. During the same period in the prior year, the business posted $0.07 EPS.

Analyst Upgrades and Downgrades

A number of research firms recently weighed in on CWAN. Wells Fargo & Company lowered their price target on Clearwater Analytics from $24.00 to $22.00 and set an “overweight” rating on the stock in a report on Thursday. JPMorgan Chase & Co. lowered their price target on Clearwater Analytics from $22.00 to $20.00 and set a “neutral” rating on the stock in a report on Thursday. Piper Sandler restated a “neutral” rating and issued a $20.00 price target on shares of Clearwater Analytics in a report on Thursday, February 29th. Morgan Stanley restated an “equal weight” rating and issued a $19.00 price target on shares of Clearwater Analytics in a report on Thursday. Finally, DA Davidson restated a “buy” rating and issued a $24.00 price target on shares of Clearwater Analytics in a report on Monday, February 5th. One investment analyst has rated the stock with a sell rating, three have given a hold rating and seven have assigned a buy rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $21.70.

Insider Buying and Selling

In other Clearwater Analytics news, major shareholder Xii Carbon Analytics Acqu Wcas sold 16,250,000 shares of Clearwater Analytics stock in a transaction that occurred on Monday, March 11th. The stock was sold at an average price of $16.90, for a total value of $274,625,000.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other Clearwater Analytics news, CEO Sandeep Sahai sold 50,000 shares of Clearwater Analytics stock in a transaction that occurred on Thursday, February 15th. The stock was sold at an average price of $19.74, for a total value of $987,000.00. Following the completion of the transaction, the chief executive officer now directly owns 270,838 shares in the company, valued at $5,346,342.12. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, major shareholder Xii Carbon Analytics Acqu Wcas sold 16,250,000 shares of Clearwater Analytics stock in a transaction that occurred on Monday, March 11th. The shares were sold at an average price of $16.90, for a total value of $274,625,000.00. The disclosure for this sale can be found here. Over the last three months, insiders sold 16,310,000 shares of company stock worth $275,809,400. Corporate insiders own 2.10% of the company’s stock.

Institutional Investors Weigh In On Clearwater Analytics

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Allspring Global Investments Holdings LLC increased its holdings in shares of Clearwater Analytics by 65.1% in the fourth quarter. Allspring Global Investments Holdings LLC now owns 3,387,928 shares of the company’s stock valued at $67,860,000 after buying an additional 1,335,802 shares in the last quarter. Vanguard Group Inc. increased its holdings in shares of Clearwater Analytics by 13.8% in the third quarter. Vanguard Group Inc. now owns 9,450,888 shares of the company’s stock valued at $182,780,000 after buying an additional 1,148,338 shares in the last quarter. Public Employees Retirement System of Ohio bought a new position in shares of Clearwater Analytics in the third quarter valued at $2,551,000. Raymond James & Associates increased its holdings in shares of Clearwater Analytics by 42.1% in the fourth quarter. Raymond James & Associates now owns 621,031 shares of the company’s stock valued at $12,439,000 after buying an additional 183,899 shares in the last quarter. Finally, Principal Financial Group Inc. bought a new position in shares of Clearwater Analytics in the third quarter valued at $2,022,000. Institutional investors own 50.10% of the company’s stock.

Clearwater Analytics Price Performance

The company has a market cap of $4.32 billion, a P/E ratio of -220.75, a PEG ratio of 6.82 and a beta of 0.50. The company has a fifty day simple moving average of $17.01 and a 200-day simple moving average of $18.68. The company has a debt-to-equity ratio of 0.11, a current ratio of 5.15 and a quick ratio of 5.15.

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.