RBC Capital analysts provided their views on Clearwater Analytics Holdings, Inc. (NYSE:CWAN) after attending the company’s in-person annual user conference, noting they came away more bullish on competitive positioning, customer spending intentions in a tough macro, and reception to the new pricing model.
Key topics included: (1) new pricing model, (2) competitive environment, (3) customer views on macro, and (4) views on the product and company.
While the analysts acknowledge near-term challenges (rising interest rates, macro, pricing model transition), they remain constructive on the company given the long runway of growth, large install base of legacy competitors to migrate, and solid financial model. The analyst raised their price target to $20 from $16, while reiterating their outperform rating.