Guidewire Software, Inc. (NYSE:GWRE), completed the trade at a price of $90.72 after seeing a change of 3.13% that brought its market cap to $7.65 billion. Volatility for the week was 3.52%, which was 4.18% in the previous month. The company closed the session with a trading volume of 489.1 thousand shares, below from its average daily trading volume of 911.75 thousand. It has been generating revenue of $701.2 million while net income posted by the company in last 12 months was -$20.5 million.
Guidewire Software, Inc. (NYSE: GWRE) along with Guidewire PartnerConnect Solution partner and in collaboration with FRISS, on April 21, 2020, announced the FRISS add-on for Fraud Detection, created using the Guidewire DevConnect developer environment, has successfully completed the Ready for Guidewire validation process and is available for download by Guidewire customers in the Guidewire Marketplace. Insurance fraud is a global issue. In the US alone, the cost of insurance fraud exceeds $40 billion per year, costing the average family hundreds in increased premiums (FBI). According to the ABI, 1,300 insurance scams were uncovered every day in the UK in 2018 with the average fraudulent act costing £12,000.
“Fraud detection tools are becoming increasingly important to insurers. With the strain on the global economy, experts are predicting a rise in fraud rates,” says Karlyn Carnahan, Head of Celent’s North American Property Casualty business. “Pre-integration of fraud tools into a claims or policy admin system allows insurers to rapidly deploy these capabilities and stay ahead of the projected rise in fraudulent claims.” FRISS’ add-on tackles insurance fraud by helping insurers automatically check claims for potential fraud and risks at multiple stages of the claim workflow in Guidewire ClaimCenter. Claim scoring results, including actionable insights, are available to claims adjustors directly within ClaimCenter. As an integrated part of an established workflow this add-on ensures claims are screened consistently and processed automatically and quickly. In addition, claims adjustors or investigators can provide feedback on the scoring that supports ongoing training and improvement of the fraud models employed.
“As an established Guidewire PartnerConnect Solution partner, we are pleased to offer a new automated fraud detection solution. Co-developed and validated with a joint customer, our add-on combines AI and machine-learning with out-of-the-box expert knowledge rules,” said Bas de Graaf, Global Partner Manager, FRISS. “This add-on supports both operational excellence and digitalization within the claims process, making processes more efficient without losing the necessary controls. Like Guidewire, FRISS has a singular focus on P&C insurance. The combination of a proven core platform provider like Guidewire and an insurtech like FRISS offers insurers the best of both worlds.”
When looking at performance, we see the stock demonstrating a weekly performance of 2.69% while keeping a monthly performance of 9.2%. Quarterly performance saw a drop of -18.36% and continued the negative trend with a yearly performance of -14.82% while showing YTD performance of -17.35% which was -19.65% for last six months. The 52-week range for the stock was 71.64 – 124.16 that put its current price at a premium of 26.63% to the 52-week low price whereas it is trading at a discount of -26.93% to the 52-week high price.
The Business Software & Services company is currently upholding a gross margin of 53.3% while maintaining a net profit margin of -2.9%. Operating margin for the last 12 months remained -5.3%. The company’s EPS for trailing 12 months is -$0.26 and it is estimated to be posting an EPS of -$0.05 for the current quarter. The Beta number showed the stock is subject to risk 25% more than the market as a whole. In the trailing twelve months, its return on assets (ROA) is -0.9% while ROE for the same period is -1.3% and have seen an average of 0.5% return on investment (ROI). The outstanding share count is 84.29 million shares but the size of available float is 82.8 million shares. The stock’s current price is lagging SMA-200 by -12.64% which is also 0.04% up from SMA-50. Reducing that period to a shorter term, we see the price is trailing 8.14% to the SMA-20.