In a recent development, Clearwater Analytics Holdings, Inc. (CWAN) received a Neutral rating from Peter Heckmann of DA Davidson on January 16, 2026. This rating comes amid current trading dynamics revealing modest upside potential for investors, with the stock priced at $24.27 and a price target set at $24.55. Such insights could be vital for stakeholders as they assess the outlook for CWAN’s stock performance in a fluctuating market.
Recent Price Action
CWAN has demonstrated a steady yet uninspiring trading pattern in recent sessions, closing at $24.27, which reflects a nominal increase of $0.085 or approximately 0.35%. With a market capitalization of approximately $6.99 billion and trading volume consistently above average at 15,013,020 shares, the stock exhibits relatively low volatility, as evidenced by its beta of 0.66. Over the last 52 weeks, the stock has faced significant headwinds, marked by a high of $54.24 and a low of $24.16. This stark contrast indicates underlying challenges that investors should keep in mind as they weigh potential investment opportunities.
Short- and Long-Term Performance
Analyzing CWAN’s performance metrics reveals a complex narrative. Over the past month, the stock has returned a commendable 14%, signaling positive momentum. However, the quarterly performance is more impressive, reflecting a robust return of 34.39%. In stark contrast, the stock has declined approximately 6.29% over the last year, indicating a disconnect between recent trends and historical performance. Weekly volatility stands at 0.36%, while monthly volatility has increased to 0.92%, suggesting that investors should remain alert to potential price fluctuations in the coming months. The average trading volume over the last 10 days was higher at 13,737,784 compared to the three-month average of 9,747,186, reflecting growing investor interest.
Earnings and Financials
On November 5, 2025, CWAN reported an earnings per share (EPS) of $0.14, falling short of the estimated EPS of $0.15, resulting in a surprise factor of -6.67%. This performance is a slight improvement over the previous quarter, when EPS came in at $0.12 against an estimate of $0.13, denoting a surprise of -7.69%. Although the company continues to report earnings, the consistent underperformance against estimates raises concerns about its earnings quality and predictability—key metrics that analysts scrutinize when projecting future performance.
Analyst Consensus View
The recent sentiment from analysts reflects a nuanced outlook for CWAN. The company holds a total of 13 ratings, comprising 9 Buy ratings and 4 Hold ratings, with no Sell recommendations, suggesting overall confidence among analysts. The average price target stands at approximately $28.66, with a high estimate reaching $36 and a low at the current price target of $24.55. This indicating that while the outlook is cautiously optimistic, there is also an underlying recognition of inherent risks, emphasizing the need for a balanced assessment.
Stock Grading and Fundamental View
The Stocks Telegraph Grade (ST Score) for Clearwater Analytics is 46, representing a moderate evaluation of the company’s overall financial health and market position. This score encapsulates various factors, including financial strength, operational performance, and industry standing. A score of 46 suggests that while Clearwater is performing adequately, there may be significant room for improvement in several operational aspects to bolster investor confidence and enhance its growth trajectory.
Conclusion
For investors contemplating a position in Clearwater Analytics Holdings, Inc., the stock appears to suit those seeking moderate growth opportunities while navigating potential risks inherent in the current market conditions. The stock’s recent performance and the Neutral rating indicate that caution is warranted; however, the company’s solving market needs and solid analyst backing could provide upside for strategic investors. As always, monitoring further earnings reports and market developments will be critical for investors looking to make informed decisions regarding their exposure to CWAN.