Logo image of CWAN

CLEARWATER ANALYTICS HDS-A (CWAN) Stock Fundamental Analysis

USA - NYSE:CWAN - US1851231068 - Common Stock

19.36 USD
-0.25 (-1.27%)
Last: 9/15/2025, 4:36:01 PM
19.49 USD
+0.13 (+0.67%)
After Hours: 9/15/2025, 4:36:01 PM
Fundamental Rating

5

CWAN gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 280 industry peers in the Software industry. CWAN has an average financial health and profitability rating. CWAN shows excellent growth, but is valued quite expensive already. These ratings could make CWAN a good candidate for growth investing.


Dividend Valuation Growth Profitability Health

Quickly go to:

5

1. Profitability

1.1 Basic Checks

In the past year CWAN was profitable.
CWAN had a positive operating cash flow in the past year.
In the past 5 years CWAN reported 4 times negative net income.
CWAN had a positive operating cash flow in 4 of the past 5 years.
CWAN Yearly Net Income VS EBIT VS OCF VS FCFCWAN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 2024 0 200M -200M 400M

1.2 Ratios

With an excellent Return On Assets value of 13.44%, CWAN belongs to the best of the industry, outperforming 90.36% of the companies in the same industry.
CWAN has a better Return On Equity (20.64%) than 86.79% of its industry peers.
The Return On Invested Capital of CWAN (0.03%) is comparable to the rest of the industry.
Industry RankSector Rank
ROA 13.44%
ROE 20.64%
ROIC 0.03%
ROA(3y)10.25%
ROA(5y)-1.97%
ROE(3y)11.01%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
CWAN Yearly ROA, ROE, ROICCWAN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 2024 0 20 -20 40 60

1.3 Margins

CWAN has a better Profit Margin (73.71%) than 95.71% of its industry peers.
CWAN's Profit Margin has improved in the last couple of years.
CWAN has a Operating Margin (0.19%) which is in line with its industry peers.
CWAN's Operating Margin has declined in the last couple of years.
CWAN's Gross Margin of 70.56% is in line compared to the rest of the industry. CWAN outperforms 55.00% of its industry peers.
In the last couple of years the Gross Margin of CWAN has remained more or less at the same level.
Industry RankSector Rank
OM 0.19%
PM (TTM) 73.71%
GM 70.56%
OM growth 3Y-37.9%
OM growth 5Y-35.42%
PM growth 3YN/A
PM growth 5Y82.95%
GM growth 3Y-0.14%
GM growth 5Y0.23%
CWAN Yearly Profit, Operating, Gross MarginsCWAN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 0 20 -20 40 60 80

More info and screens

5

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CWAN is destroying value.
The number of shares outstanding for CWAN has been increased compared to 1 year ago.
The number of shares outstanding for CWAN has been increased compared to 5 years ago.
The debt/assets ratio for CWAN has been reduced compared to a year ago.
CWAN Yearly Shares OutstandingCWAN Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M
CWAN Yearly Total Debt VS Total AssetsCWAN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

2.2 Solvency

An Altman-Z score of 3.63 indicates that CWAN is not in any danger for bankruptcy at the moment.
The Altman-Z score of CWAN (3.63) is better than 61.79% of its industry peers.
The Debt to FCF ratio of CWAN is 10.33, which is on the high side as it means it would take CWAN, 10.33 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 10.33, CWAN perfoms like the industry average, outperforming 50.71% of the companies in the same industry.
CWAN has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
CWAN has a Debt to Equity ratio of 0.44. This is in the lower half of the industry: CWAN underperforms 63.21% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.44
Debt/FCF 10.33
Altman-Z 3.63
ROIC/WACC0
WACC11%
CWAN Yearly LT Debt VS Equity VS FCFCWAN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 2024 0 200M -200M 400M 600M 800M 1B

2.3 Liquidity

A Current Ratio of 2.02 indicates that CWAN has no problem at all paying its short term obligations.
The Current ratio of CWAN (2.02) is better than 62.50% of its industry peers.
A Quick Ratio of 2.02 indicates that CWAN has no problem at all paying its short term obligations.
CWAN has a better Quick ratio (2.02) than 63.57% of its industry peers.
Industry RankSector Rank
Current Ratio 2.02
Quick Ratio 2.02
CWAN Yearly Current Assets VS Current LiabilitesCWAN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M

More info and screens

10

3. Growth

3.1 Past

CWAN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 28.21%, which is quite impressive.
CWAN shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 110.89% yearly.
CWAN shows a strong growth in Revenue. In the last year, the Revenue has grown by 36.68%.
Measured over the past years, CWAN shows a very strong growth in Revenue. The Revenue has been growing by 21.88% on average per year.
EPS 1Y (TTM)28.21%
EPS 3YN/A
EPS 5Y110.89%
EPS Q2Q%20%
Revenue 1Y (TTM)36.68%
Revenue growth 3Y21.48%
Revenue growth 5Y21.88%
Sales Q2Q%70.37%

3.2 Future

The Earnings Per Share is expected to grow by 28.57% on average over the next years. This is a very strong growth
Based on estimates for the next years, CWAN will show a very strong growth in Revenue. The Revenue will grow by 27.93% on average per year.
EPS Next Y26.25%
EPS Next 2Y28.46%
EPS Next 3Y25.64%
EPS Next 5Y28.57%
Revenue Next Year63.63%
Revenue Next 2Y45.87%
Revenue Next 3Y36.14%
Revenue Next 5Y27.93%

3.3 Evolution

The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
CWAN Yearly Revenue VS EstimatesCWAN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 500M 1B 1.5B
CWAN Yearly EPS VS EstimatesCWAN Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 2027 2028 2029 0.5 1 1.5

More info and screens

3

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 38.72 indicates a quite expensive valuation of CWAN.
Based on the Price/Earnings ratio, CWAN is valued a bit cheaper than the industry average as 60.71% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of CWAN to the average of the S&P500 Index (27.30), we can say CWAN is valued slightly more expensively.
Based on the Price/Forward Earnings ratio of 26.07, the valuation of CWAN can be described as expensive.
68.21% of the companies in the same industry are more expensive than CWAN, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.73, CWAN is valued at the same level.
Industry RankSector Rank
PE 38.72
Fwd PE 26.07
CWAN Price Earnings VS Forward Price EarningsCWAN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

CWAN's Enterprise Value to EBITDA ratio is in line with the industry average.
CWAN's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 66.62
EV/EBITDA 189.5
CWAN Per share dataCWAN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 2 4 6

4.3 Compensation for Growth

CWAN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CWAN's earnings are expected to grow with 25.64% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.47
PEG (5Y)0.35
EPS Next 2Y28.46%
EPS Next 3Y25.64%

More info and screens

0

5. Dividend

5.1 Amount

No dividends for CWAN!.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

CLEARWATER ANALYTICS HDS-A

NYSE:CWAN (9/15/2025, 4:36:01 PM)

After market: 19.49 +0.13 (+0.67%)

19.36

-0.25 (-1.27%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)08-06 2025-08-06/amc
Earnings (Next)11-04 2025-11-04/amc
Inst Owners86.72%
Inst Owner Change15.81%
Ins Owners0.91%
Ins Owner Change2.88%
Market Cap5.66B
Analysts83.53
Price Target32.3 (66.84%)
Short Float %4.4%
Short Ratio2.73
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.3%
Min EPS beat(2)-1.96%
Max EPS beat(2)2.56%
EPS beat(4)3
Avg EPS beat(4)5.31%
Min EPS beat(4)-1.96%
Max EPS beat(4)13.33%
EPS beat(8)6
Avg EPS beat(8)8.22%
EPS beat(12)10
Avg EPS beat(12)10.38%
EPS beat(16)13
Avg EPS beat(16)12.81%
Revenue beat(2)1
Avg Revenue beat(2)0.93%
Min Revenue beat(2)-0.56%
Max Revenue beat(2)2.43%
Revenue beat(4)3
Avg Revenue beat(4)1.26%
Min Revenue beat(4)-0.56%
Max Revenue beat(4)3.06%
Revenue beat(8)5
Avg Revenue beat(8)0.46%
Revenue beat(12)8
Avg Revenue beat(12)0.42%
Revenue beat(16)10
Avg Revenue beat(16)0.46%
PT rev (1m)-4.68%
PT rev (3m)-6.03%
EPS NQ rev (1m)0.8%
EPS NQ rev (3m)6.12%
EPS NY rev (1m)-1.34%
EPS NY rev (3m)-3.76%
Revenue NQ rev (1m)-0.14%
Revenue NQ rev (3m)47.38%
Revenue NY rev (1m)0.63%
Revenue NY rev (3m)0.74%
Valuation
Industry RankSector Rank
PE 38.72
Fwd PE 26.07
P/S 10.27
P/FCF 66.62
P/OCF 61.58
P/B 2.88
P/tB N/A
EV/EBITDA 189.5
EPS(TTM)0.5
EY2.58%
EPS(NY)0.74
Fwd EY3.84%
FCF(TTM)0.29
FCFY1.5%
OCF(TTM)0.31
OCFY1.62%
SpS1.88
BVpS6.73
TBVpS-0.14
PEG (NY)1.47
PEG (5Y)0.35
Profitability
Industry RankSector Rank
ROA 13.44%
ROE 20.64%
ROCE 0.04%
ROIC 0.03%
ROICexc 0.03%
ROICexgc 0.1%
OM 0.19%
PM (TTM) 73.71%
GM 70.56%
FCFM 15.42%
ROA(3y)10.25%
ROA(5y)-1.97%
ROE(3y)11.01%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-67.54%
ROICexcg growth 5Y-60.6%
ROICexc growth 3Y-68.91%
ROICexc growth 5Y-61.61%
OM growth 3Y-37.9%
OM growth 5Y-35.42%
PM growth 3YN/A
PM growth 5Y82.95%
GM growth 3Y-0.14%
GM growth 5Y0.23%
F-Score3
Asset Turnover0.18
Health
Industry RankSector Rank
Debt/Equity 0.44
Debt/FCF 10.33
Debt/EBITDA 25.28
Cap/Depr 20.79%
Cap/Sales 1.26%
Interest Coverage 0.31
Cash Conversion 266.49%
Profit Quality 20.92%
Current Ratio 2.02
Quick Ratio 2.02
Altman-Z 3.63
F-Score3
WACC11%
ROIC/WACC0
Cap/Depr(3y)83.6%
Cap/Depr(5y)112.55%
Cap/Sales(3y)1.75%
Cap/Sales(5y)1.82%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)28.21%
EPS 3YN/A
EPS 5Y110.89%
EPS Q2Q%20%
EPS Next Y26.25%
EPS Next 2Y28.46%
EPS Next 3Y25.64%
EPS Next 5Y28.57%
Revenue 1Y (TTM)36.68%
Revenue growth 3Y21.48%
Revenue growth 5Y21.88%
Sales Q2Q%70.37%
Revenue Next Year63.63%
Revenue Next 2Y45.87%
Revenue Next 3Y36.14%
Revenue Next 5Y27.93%
EBIT growth 1Y179.89%
EBIT growth 3Y-24.56%
EBIT growth 5Y-21.29%
EBIT Next Year70.5%
EBIT Next 3Y42.85%
EBIT Next 5Y36.03%
FCF growth 1Y55%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y48.5%
OCF growth 3Y180.71%
OCF growth 5YN/A