GWRE vs. SHOP: Guidewire Software vs. Shopify Stock Comparison
How do Guidewire Software (GWRE) and Shopify (SHOP) 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 Shopify (SHOP) both fall under the Software & Services industry group, but GWRE is classified in Software while SHOP is classified in IT Services.
| Profile Item | GWRE | SHOP |
|---|---|---|
| Name | Guidewire Software Inc. | Shopify Inc. |
| Country/Region | United States | Canada |
| 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 | 191.58 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | Nasdaq |
| Listing Date | January 25, 2012 | May 20, 2015 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | GWRE | SHOP |
|---|---|---|
| Total Return (1Y) | -25.97% | -0.87% |
| Total Return (3Y, Annualized) | 21.68% | 35.77% |
| Total Return (5Y, Annualized) | 4.78% | -0.57% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
Shopify (SHOP) carries a highly aggressive beta of 2.65, indicating much higher sensitivity to broad-market moves, whereas Guidewire Software (GWRE) is closer to market-like at 0.99 — a noticeable difference in market-sensitivity profile.
| Metric | GWRE | SHOP |
|---|---|---|
| Volatility (1Y, Annualized) | 62.03% | 59.71% |
| Beta (5Y) | 0.99 | 2.65 |
| Max Drawdown (5Y) | -60.79% | -84.82% |
| Avg. Volume (3M) | 1.29M | 8.79M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | GWRE | SHOP |
|---|---|---|
| Sharpe Ratio (1Y) | -0.49 | -0.09 |
| Sortino Ratio (1Y) | -0.68 | -0.12 |
Profitability
ROE (TTM)
Both Guidewire Software (GWRE) at 10.51% and Shopify (SHOP) at 16.83% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.
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%
SHOP
Software & Services industry group
16.83%
- Max
- 53.85%
- Q3
- 17.90%
- SHOP
- 16.83%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
Net Margin (TTM)
Both Guidewire Software (GWRE) at 9.44% and Shopify (SHOP) at 15.01% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.
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%
SHOP
Software & Services industry group
15.01%
- Max
- 41.17%
- Q3
- 15.28%
- SHOP
- 15.01%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
Operating Margin (TTM)
Shopify (SHOP) at 18.39% operates in the top operating margin quartile, ahead of Guidewire Software (GWRE) at 15.16%, which runs around its industry’s norm.
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%
SHOP
Software & Services industry group
18.39%
- Max
- 46.89%
- SHOP
- 18.39%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
Profitability Metrics
| Metric | GWRE | SHOP |
|---|---|---|
| ROE (TTM) | 10.51% | 16.83% |
| ROA (TTM) | 3.54% | 10.77% |
| Net Margin (TTM) | 9.44% | 15.01% |
| Operating Margin (TTM) | 15.16% | 18.39% |
| Gross Margin (TTM) | 64.21% | 47.49% |
Growth
Revenue Growth
Shopify (SHOP) at 30.14% 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 SHOP.
EPS Growth
Guidewire Software (GWRE) at 101.23% sits in the top EPS growth quartile, while Shopify (SHOP) at -39.47% is closer to the peer norm — faster per-share earnings growth for GWRE.
Growth Metrics
| Metric | GWRE | SHOP |
|---|---|---|
| Revenue Growth (YoY) | 22.70% | 30.14% |
| Revenue Growth (3Y CAGR) | 17.68% | 27.31% |
| EPS Growth (YoY) | 101.23% | -39.47% |
| 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 Shopify (SHOP) at 4.86 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
SHOP
Software & Services industry group
4.86
- Max
- 5.11
- SHOP
- 4.86
- Q3
- 2.77
- Median
- 1.67
- Q1
- 1.01
- Min
- 0.03
Debt / Equity (MRQ)
Shopify (SHOP) at 0.01 keeps leverage in the lower industry quartile, while Guidewire Software (GWRE) at 0.60 runs a more typical debt-to-equity mix.
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
SHOP
Software & Services industry group
0.01
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- Q1
- 0.07
- SHOP
- 0.01
- Min
- 0.00
Financial Strength Metrics
| Metric | GWRE | SHOP |
|---|---|---|
| Current Ratio (MRQ) | 1.79 | 4.86 |
| Debt / Equity (MRQ) | 0.60 | 0.01 |
| Net Debt / EBITDA | -0.38 | -1.75 |
Dividends
Dividend Yield (TTM)
Neither Guidewire Software (GWRE) nor Shopify (SHOP) 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%
SHOP
Software & Services industry group
0.00%
- SHOP
- 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 Shopify (SHOP) 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%
SHOP
Software & Services industry group
0.00%
- SHOP
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | GWRE | SHOP |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
Both Guidewire Software (GWRE) at 99.02 and Shopify (SHOP) at 91.36 sit in the richer earnings-multiple quartile for P/E ratio, so investors are paying more for TTM earnings than they pay for typical peers.
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
SHOP
Software & Services industry group
91.36
- Max
- 112.94
- SHOP
- 91.36
- Q3
- 60.32
- Median
- 32.91
- Q1
- 18.77
- Min
- 6.69
P/S Ratio (TTM)
Both Guidewire Software (GWRE) at 9.04 and Shopify (SHOP) at 13.52 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.
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
SHOP
Software & Services industry group
13.52
- Max
- 17.91
- SHOP
- 13.52
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
P/B Ratio (MRQ)
Both Guidewire Software (GWRE) at 11.09 and Shopify (SHOP) at 15.02 carry a premium to book value versus peers, sitting in the upper P/B ratio quartile of their industries.
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
SHOP
Software & Services industry group
15.02
- Max
- 16.63
- SHOP
- 15.02
- Q3
- 8.50
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
Valuation Metrics
| Metric | GWRE | SHOP |
|---|---|---|
| P/E Ratio (TTM) | 99.02 | 91.36 |
| P/S Ratio (TTM) | 9.04 | 13.52 |
| P/B Ratio (MRQ) | 11.09 | 15.02 |
| Free Cash Flow Yield (TTM) | 2.57% | 0.86% |