Clearwater Analytics (NYSE:CWAN) Hits New 12-Month Low After Earnings Miss

Clearwater Analytics Holdings, Inc. (NYSE:CWAN)’s stock price reached a new 52-week low during mid-day trading on Thursday after the company announced weaker than expected quarterly earnings. The stock traded as low as $18.00 and last traded at $18.17, with a volume of 2572090 shares changing hands. The stock had previously closed at $20.42.

The company reported $0.12 earnings per share for the quarter, missing the consensus estimate of $0.13 by ($0.01). Clearwater Analytics had a net margin of 73.74% and a return on equity of 3.23%. The business had revenue of $181.94 million during the quarter, compared to the consensus estimate of $174.16 million. During the same period in the previous year, the business posted $0.10 EPS. Clearwater Analytics’s revenue was up 70.4% compared to the same quarter last year.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on the stock. Piper Sandler set a $27.00 price target on shares of Clearwater Analytics and gave the company an “overweight” rating in a research report on Tuesday, June 24th. Oppenheimer dropped their target price on shares of Clearwater Analytics from $40.00 to $36.00 and set an “outperform” rating on the stock in a research report on Wednesday, June 11th. Wells Fargo & Company dropped their target price on shares of Clearwater Analytics from $35.00 to $32.00 and set an “overweight” rating on the stock in a research report on Tuesday, April 22nd. The Goldman Sachs Group initiated coverage on shares of Clearwater Analytics in a research report on Monday, May 19th. They set a “neutral” rating and a $26.00 target price on the stock. Finally, JPMorgan Chase & Co. initiated coverage on shares of Clearwater Analytics in a research report on Friday, April 25th. They set an “overweight” rating and a $28.00 target price on the stock. One equities research analyst has rated the stock with a hold rating and nine have assigned a buy rating to the stock. According to MarketBeat.com, Clearwater Analytics has an average rating of “Moderate Buy” and an average target price of $31.90.

Insider Activity at Clearwater Analytics

In other news, CTO Souvik Das sold 5,273 shares of the firm’s stock in a transaction that occurred on Monday, June 30th. The shares were sold at an average price of $21.67, for a total transaction of $114,265.91. Following the completion of the sale, the chief technology officer owned 142,549 shares in the company, valued at $3,089,036.83. This trade represents a 3.57% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Subi Sethi sold 7,358 shares of the firm’s stock in a transaction that occurred on Monday, June 30th. The stock was sold at an average price of $21.67, for a total transaction of $159,447.86. Following the sale, the insider owned 218,788 shares of the company’s stock, valued at approximately $4,741,135.96. The trade was a 3.25% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 258,107 shares of company stock worth $5,844,208 over the last 90 days. Corporate insiders own 3.31% of the company’s stock.

Institutional Investors Weigh In On Clearwater Analytics

Several large investors have recently modified their holdings of the stock. Vanguard Group Inc. grew its stake in Clearwater Analytics by 11.3% in the 1st quarter. Vanguard Group Inc. now owns 23,246,312 shares of the company’s stock valued at $623,001,000 after buying an additional 2,366,715 shares in the last quarter. Fuller & Thaler Asset Management Inc. purchased a new position in Clearwater Analytics in the 1st quarter valued at approximately $56,648,000. Nuveen LLC purchased a new position in Clearwater Analytics in the 1st quarter valued at approximately $53,894,000. Riverbridge Partners LLC purchased a new position in Clearwater Analytics in the 2nd quarter valued at approximately $35,313,000. Finally, Invesco Ltd. grew its stake in Clearwater Analytics by 34.1% in the 1st quarter. Invesco Ltd. now owns 5,706,337 shares of the company’s stock valued at $152,930,000 after buying an additional 1,452,474 shares in the last quarter. Hedge funds and other institutional investors own 50.10% of the company’s stock.

Clearwater Analytics Price Performance

The firm has a market capitalization of $5.59 billion, a PE ratio of 12.42, a price-to-earnings-growth ratio of 3.76 and a beta of 0.73. The company has a debt-to-equity ratio of 0.44, a quick ratio of 5.09 and a current ratio of 2.02. The business’s 50 day moving average is $21.89 and its two-hundred day moving average is $24.44.

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.