GWRE vs. NET: Guidewire Software vs. Cloudflare Stock Comparison
How do Guidewire Software (GWRE) and Cloudflare (NET) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Guidewire Software (GWRE) and Cloudflare (NET) both fall under the Software & Services industry group, but GWRE is classified in Software while NET is classified in IT Services.
| Profile Item | GWRE | NET |
|---|---|---|
| Name | Guidewire Software Inc. | Cloudflare, Inc. Class A Common Stock |
| Country/Region | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Software & Services | Software & Services |
| GICS Industry | Software | IT Services |
| GICS Sub-Industry | Application Software | Internet Services & Infrastructure |
| Market Capitalization | 13.34 billion USD | 96.32 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 25, 2012 | September 13, 2019 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | GWRE | NET |
|---|---|---|
| Total Return (1Y) | -25.97% | 27.13% |
| Total Return (3Y, Annualized) | 21.68% | 68.21% |
| Total Return (5Y, Annualized) | 4.78% | 7.66% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | GWRE | NET |
|---|---|---|
| Volatility (1Y, Annualized) | 62.03% | 67.16% |
| Beta (5Y) | 0.99 | 1.34 |
| Max Drawdown (5Y) | -60.79% | -82.58% |
| Avg. Volume (3M) | 1.29M | 3.45M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | GWRE | NET |
|---|---|---|
| Sharpe Ratio (1Y) | -0.49 | 0.34 |
| Sortino Ratio (1Y) | -0.68 | 0.48 |
Profitability
ROE (TTM)
Cloudflare (NET) reports a negative ROE of -17.00%; negative ROE can reflect losses or negative shareholders’ equity, so it is harder to read as capital efficiency. Meanwhile Guidewire Software (GWRE) reports 10.51%, ranking against industry peers normally.
GWRE
Software & Services industry group
10.51%
- Max
- 53.85%
- Q3
- 17.90%
- GWRE
- 10.51%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
NET
Software & Services industry group
-17.00%
- Max
- 53.85%
- Q3
- 17.90%
- Median
- 6.59%
- Q1
- -9.59%
- NET
- -17.00%
- Min
- -50.52%
Net Margin (TTM)
Cloudflare (NET) reports a negative net margin of -8.75%, usually indicating a net loss over the period. Meanwhile Guidewire Software (GWRE) reports 9.44%, ranking against industry peers normally.
GWRE
Software & Services industry group
9.44%
- Max
- 41.17%
- Q3
- 15.28%
- GWRE
- 9.44%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
NET
Software & Services industry group
-8.75%
- Max
- 41.17%
- Q3
- 15.28%
- Median
- 4.63%
- Q1
- -5.42%
- NET
- -8.75%
- Min
- -33.17%
Operating Margin (TTM)
Cloudflare (NET) reports a negative operating margin of -7.27%, usually indicating that operating costs exceeded revenue at the operating-income line. Meanwhile Guidewire Software (GWRE) reports 15.16%, ranking against industry peers normally.
GWRE
Software & Services industry group
15.16%
- Max
- 46.89%
- Q3
- 17.64%
- GWRE
- 15.16%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
NET
Software & Services industry group
-7.27%
- Max
- 46.89%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- NET
- -7.27%
- Min
- -30.45%
Profitability Metrics
| Metric | GWRE | NET |
|---|---|---|
| ROE (TTM) | 10.51% | -17.00% |
| ROA (TTM) | 3.54% | -2.00% |
| Net Margin (TTM) | 9.44% | -8.75% |
| Operating Margin (TTM) | 15.16% | -7.27% |
| Gross Margin (TTM) | 64.21% | 71.90% |
Growth
Revenue Growth
Cloudflare (NET) at 29.85% sits in the top revenue growth quartile, while Guidewire Software (GWRE) at 22.70% is closer to the peer norm — faster top-line expansion for NET.
EPS Growth
Only one side can be read here: Guidewire Software (GWRE) reports EPS growth of 101.23%, ranked against its industry; Cloudflare (NET) has no EPS growth figure this period.
Growth Metrics
| Metric | GWRE | NET |
|---|---|---|
| Revenue Growth (YoY) | 22.70% | 29.85% |
| Revenue Growth (3Y CAGR) | 17.68% | 30.51% |
| EPS Growth (YoY) | 101.23% | -- |
| EPS Growth (3Y CAGR) | -- | -- |
Financial Strength
Current Ratio (MRQ)
Guidewire Software (GWRE) at 1.79 keeps current ratio within its industry’s typical mid-range, while Cloudflare (NET) at 3.80 sits above its industry’s typical mid-range — comfortable liquidity, though possibly with more idle current assets relative to peers.
GWRE
Software & Services industry group
1.79
- Max
- 5.11
- Q3
- 2.77
- GWRE
- 1.79
- Median
- 1.67
- Q1
- 1.01
- Min
- 0.03
NET
Software & Services industry group
3.80
- Max
- 5.11
- NET
- 3.80
- Q3
- 2.77
- Median
- 1.67
- Q1
- 1.01
- Min
- 0.03
Debt / Equity (MRQ)
Guidewire Software (GWRE) at 0.60 is near its industry mid-range for debt-to-equity ratio, while Cloudflare (NET) at 3.21 sits above its benchmark range, pointing to a heavier debt load relative to equity.
GWRE
Software & Services industry group
0.60
- Max
- 2.52
- Q3
- 1.13
- GWRE
- 0.60
- Median
- 0.40
- Q1
- 0.07
- Min
- 0.00
NET
Software & Services industry group
3.21
- NET
- 3.21
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- Q1
- 0.07
- Min
- 0.00
Financial Strength Metrics
| Metric | GWRE | NET |
|---|---|---|
| Current Ratio (MRQ) | 1.79 | 3.80 |
| Debt / Equity (MRQ) | 0.60 | 3.21 |
| Net Debt / EBITDA | -0.38 | -- |
Dividends
Dividend Yield (TTM)
Neither Guidewire Software (GWRE) nor Cloudflare (NET) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.
GWRE
Software & Services industry group
0.00%
- GWRE
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
NET
Software & Services industry group
0.00%
- NET
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Neither Guidewire Software (GWRE) nor Cloudflare (NET) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.
GWRE
Software & Services industry group
0.00%
- GWRE
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
NET
Software & Services industry group
0.00%
- NET
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | GWRE | NET |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
An earnings multiple is available for just one side: Guidewire Software (GWRE) trades at 99.02 times trailing earnings, ranked against its peers, while Cloudflare (NET) has no P/E ratio this period.
GWRE
Software & Services industry group
99.02
- Max
- 112.94
- GWRE
- 99.02
- Q3
- 60.32
- Median
- 32.91
- Q1
- 18.77
- Min
- 6.69
NET
Software & Services industry group
--
- Max
- 112.94
- Q3
- 60.32
- Median
- 32.91
- Q1
- 18.77
- Min
- 6.69
- NET
- --
P/S Ratio (TTM)
Both look expensive on sales: Guidewire Software (GWRE) at 9.04 sits in the upper P/S ratio quartile, and Cloudflare (NET) at 35.24 prices even higher, above its industry range.
GWRE
Software & Services industry group
9.04
- Max
- 17.91
- GWRE
- 9.04
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
NET
Software & Services industry group
35.24
- NET
- 35.24
- Max
- 17.91
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
P/B Ratio (MRQ)
Both look rich against book: Guidewire Software (GWRE) at 11.09 sits in the upper P/B ratio quartile, and Cloudflare (NET) at 65.73 prices even higher, above its industry range.
GWRE
Software & Services industry group
11.09
- Max
- 16.63
- GWRE
- 11.09
- Q3
- 8.50
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
NET
Software & Services industry group
65.73
- NET
- 65.73
- Max
- 16.63
- Q3
- 8.50
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
Valuation Metrics
| Metric | GWRE | NET |
|---|---|---|
| P/E Ratio (TTM) | 99.02 | -- |
| P/S Ratio (TTM) | 9.04 | 35.24 |
| P/B Ratio (MRQ) | 11.09 | 65.73 |
| Free Cash Flow Yield (TTM) | 2.57% | 0.83% |