Guidewire (GWRE) surged 5.21% in pre-market trading after reporting fiscal Q1 2026 results that exceeded analyst expectations. The company's robust performance and upward revision of its full-year revenue guidance fueled investor optimism.
Revenue for the quarter grew 27% year-over-year to $332.6 million, surpassing estimates of $316.6 million, while adjusted EPS of $0.66 beat the $0.61 consensus. Guidewire raised its FY2026 revenue forecast to $1.403–$1.419 billion, above the prior $1.4 billion consensus. Key growth drivers included a 22% increase in Annual Recurring Revenue (ARR) and the launch of AI-powered underwriting tools.
Analysts maintain a bullish outlook, with a median 12-month price target of $278 (29.5% upside potential), citing the company's cloud platform momentum and strategic AI investments.
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