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Clearwater Analytics Holdings, Inc. (CWAN) 10-Year Financial Performance & Capital Metrics

CWAN • • Industrial / General
TechnologyApplication SoftwareFinancial Technology & PaymentsDigital Banking Platforms
AboutClearwater Analytics Holdings, Inc. develops and provides a Software-as-a-Service solution for automated investment data aggregation, reconciliation, accounting, and reporting services to insurers, investment managers, corporations, institutional investors, and government entities. The company offers investment accounting and reporting, performance measurement, compliance monitoring, and risk analytics solutions. Its Clearwater Prism solution enables self-service access to data feeds from accounting, compliance, performance, and risk systems, including those offered by the company and other third-party software vendors, as well as provides flexible reporting to various users. The company was incorporated in 2021 and is headquartered in Boise, Idaho.Show more
  • Revenue $452M +22.7%
  • EBITDA $24M +458.2%
  • Net Income $424M +2062.3%
  • EPS (Diluted) 1.68 +1627.3%
  • Gross Margin 72.78% +2.6%
  • EBITDA Margin 5.4% +391.9%
  • Operating Margin 2.71% +159.5%
  • Net Margin 93.93% +1699.0%
  • ROE 58.95% +1119.4%
  • ROIC 1.55% +126.2%
  • Debt/Equity 0.07 -60.3%
  • Interest Coverage -
Technical Analysis

Key Insights

Based on financial data analysis

✓Strengths

  • ✓Company is almost debt free
  • ✓Strong 5Y profit CAGR of 122.8%
  • ✓FCF machine: 15.3% free cash flow margin
  • ✓Strong 5Y sales CAGR of 21.9%
  • ✓Good 3Y average ROE of 16.8%
  • ✓Healthy 5Y average net margin of 12.1%

✗Weaknesses

  • ✗Low quality earnings: Net income not backed by cash flow
  • ✗Shares diluted 27.4% in last year

* These insights are generated automatically based on available financial data. Please conduct your own research before making investment decisions.

Price & Volume

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Growth Metrics

Revenue CAGR

10Y-
5Y21.88%
3Y21.48%
TTM50.91%

Profit (Net Income) CAGR

10Y-
5Y122.79%
3Y-
TTM42955.1%

EPS CAGR

10Y-
5Y119.73%
3Y-
TTM-

ROCE

10Y Avg6.53%
5Y Avg-4%
3Y Avg-0.26%
Latest1.56%

Peer Comparison

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Sector-Specific
NameMarket CapCurrent PriceP/E RatioRevenue Growth 1YNet MarginROEFCF YieldDebt/Equity
GWREGuidewire Software, Inc.14.53B170.85210.9322.64%7.23%6%2.03%0.49
DAVEDave Inc.2.26B185.4644.2633.96%29.87%50.37%5.52%0.41
INTUIntuit Inc.157.67B566.6041.4515.63%21.19%21.31%3.86%0.34
CCBCoastal Financial Corporation1.71B113.3334.8730.92%7.84%10.04%14.58%0.12
SPNSSapiens International Corporation N.V.2.43B43.4533.685.4%11.4%12.2%2.97%0.13
SSNCSS&C Technologies Holdings, Inc.21B86.0428.686.89%13.86%12.2%6.32%1.09
TBBKThe Bancorp, Inc.3.06B69.7616.2616.11%30.63%29.28%7.27%0.16
CWANClearwater Analytics Holdings, Inc.6.97B24.1414.3722.72%61.25%19.6%0.99%0.07

Profit & Loss

Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024
Sales/Revenue+168M203.22M252.02M303.43M368.17M451.8M
Revenue Growth %-0.21%0.24%0.2%0.21%0.23%
Cost of Goods Sold+47.15M53.26M67.86M87.78M107.13M122.99M
COGS % of Revenue0.28%0.26%0.27%0.29%0.29%0.27%
Gross Profit+120.86M149.96M184.16M215.64M261.04M328.82M
Gross Margin %0.72%0.74%0.73%0.71%0.71%0.73%
Gross Profit Growth %-0.24%0.23%0.17%0.21%0.26%
Operating Expenses+95.16M170.38M155.7M210.53M277.79M316.58M
OpEx % of Revenue0.57%0.84%0.62%0.69%0.75%0.7%
Selling, General & Admin55.88M66.12M83.01M116.41M153.86M166.02M
SG&A % of Revenue0.33%0.33%0.33%0.38%0.42%0.37%
Research & Development39.27M55.26M72.69M94.12M123.92M150.56M
R&D % of Revenue0.23%0.27%0.29%0.31%0.34%0.33%
Other Operating Expenses049M0000
Operating Income+25.7M-20.42M28.46M5.12M-16.75M12.23M
Operating Margin %0.15%-0.1%0.11%0.02%-0.05%0.03%
Operating Income Growth %--1.79%2.39%-0.82%-4.27%1.73%
EBITDA+27.72M-18.15M31.95M10.26M-6.82M24.41M
EBITDA Margin %0.16%-0.09%0.13%0.03%-0.02%0.05%
EBITDA Growth %--1.65%2.76%-0.68%-1.66%4.58%
D&A (Non-Cash Add-back)2.02M2.27M3.49M5.14M9.93M12.18M
EBIT25.61M-20.42M28.46M5.12M-16.75M12.23M
Net Interest Income+-17.81M-22.91M-25.68M1.14M6.4M8.62M
Interest Income0001.14M6.4M8.62M
Interest Expense17.81M22.91M25.68M000
Other Income/Expense-17.89M-22.91M-36.07M-10.45M-6.12M-42.3M
Pretax Income+7.8M-43.33M-7.61M-5.33M-22.87M-30.06M
Pretax Margin %0.05%-0.21%-0.03%-0.02%-0.06%-0.07%
Income Tax+73K902K487K1.36M217K-457.65M
Effective Tax Rate %0.99%1.02%1.08%1.49%0.95%-14.12%
Net Income+7.73M-44.23M-8.21M-7.97M-21.63M424.38M
Net Margin %0.05%-0.22%-0.03%-0.03%-0.06%0.94%
Net Income Growth %--6.72%0.81%0.03%-1.71%20.62%
Net Income (Continuing)7.73M-44.23M-8.09M-6.7M-23.08M427.58M
Discontinued Operations000000
Minority Interest0065M68.86M55.33M21.98M
EPS (Diluted)+0.03-0.19-0.05-0.04-0.111.68
EPS Growth %--6.79%0.76%0.21%-2.05%16.27%
EPS (Basic)0.03-0.19-0.05-0.04-0.111.93
Diluted Shares Outstanding235.98M235.98M178.03M185.56M199.69M254.36M
Basic Shares Outstanding235.98M235.98M178.03M185.56M199.69M219.32M
Dividend Payout Ratio------

Balance Sheet

Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024
Total Current Assets+52.81M101.52M321.34M356.35M416M384.65M
Cash & Short-Term Investments20.25M61.09M254.6M255.61M296.22M255.49M
Cash Only20.25M61.09M254.6M250.72M221.76M177.35M
Short-Term Investments0004.89M74.46M78.14M
Accounts Receivable26.56M32.88M50.19M79.23M100.94M110.17M
Days Sales Outstanding57.759.0672.6995.31100.0789.01
Inventory000000
Days Inventory Outstanding------
Other Current Assets2.87M3.41M4.83M6.55M5.6M6.15M
Total Non-Current Assets+11.15M14.04M23.02M125.6M142.75M784.93M
Property, Plant & Equipment7.09M8.85M10.74M39.18M37.9M39.59M
Fixed Asset Turnover23.68x22.97x23.47x7.74x9.71x11.41x
Goodwill00043.79M45.34M70.97M
Intangible Assets00029.46M26.13M30.87M
Long-Term Investments000021.5M30.3M
Other Non-Current Assets4.06M5.19M11.6M11.61M10.54M10.69M
Total Assets+63.97M115.56M344.36M481.94M558.74M1.17B
Asset Turnover2.63x1.76x0.73x0.63x0.66x0.39x
Asset Growth %-0.81%1.98%0.4%0.16%1.09%
Total Current Liabilities+20.56M38.21M31.2M66.01M80.79M77.05M
Accounts Payable1.14M1.34M1.42M3.09M3.06M2.93M
Days Payables Outstanding8.839.187.6212.8610.438.71
Short-Term Debt2.8M3.08M2.75M2.75M2.75M2.75M
Deferred Revenue (Current)1000K0795K1000K1000K1000K
Other Current Liabilities4.99M10.16M8.44M18.34M20.64M25.71M
Current Ratio2.57x2.66x10.30x5.40x5.15x4.99x
Quick Ratio2.57x2.66x10.30x5.40x5.15x4.99x
Cash Conversion Cycle------
Total Non-Current Liabilities+244.13M421.96M51.29M77.54M68.29M62.29M
Long-Term Debt244.07M421.83M51.16M48.49M45.83M43.16M
Capital Lease Obligations00019.5M16.95M17.66M
Deferred Tax Liabilities0005.93M5.36M1.31M
Other Non-Current Liabilities59K134K132K3.62M162K160K
Total Liabilities264.69M460.17M82.49M143.56M149.09M139.34M
Total Debt+246.87M424.9M53.91M76.6M72.08M71.92M
Net Debt226.62M363.82M-200.69M-174.13M-149.69M-105.43M
Debt / Equity--0.21x0.23x0.18x0.07x
Debt / EBITDA8.91x-1.69x7.47x-2.95x
Net Debt / EBITDA8.18x--6.28x-16.98x--4.32x
Interest Coverage1.44x-0.89x1.11x---
Total Equity+-200.72M-344.61M261.87M338.39M409.66M1.03B
Equity Growth %--0.72%1.76%0.29%0.21%1.51%
Book Value per Share-0.85-1.461.471.822.054.05
Total Shareholders' Equity-200.72M-344.61M196.87M269.52M354.33M1.01B
Common Stock0-245.81M236K239K244K248K
Retained Earnings-201.58M0-191.93M-186.65M-181.33M283.95M
Treasury Stock000000
Accumulated OCI-13K-98.8M-34K609K2.91M-1.11M
Minority Interest0065M68.86M55.33M21.98M

Cash Flow

Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024
Cash from Operations+-230.03M-6.49M3.36M58.01M84.6M74.32M
Operating CF Margin %-1.37%-0.03%0.01%0.19%0.23%0.16%
Operating CF Growth %-0.97%1.52%16.27%0.46%-0.12%
Net Income7.73M-44.23M-8.09M-6.7M-23.08M427.58M
Depreciation & Amortization2.02M2.27M3.49M5.14M9.93M12.18M
Stock-Based Compensation6.23M24.6M36.7M65.69M104.45M103.2M
Deferred Taxes00-648K-803K-1.67M-460.03M
Other Non-Cash Items3.07M4.85M15.23M10.56M11.1M12.61M
Working Capital Changes-249.08M6.03M-43.32M-15.88M-16.13M-21.23M
Change in Receivables-5.66M-6.33M-17.31M-19.1M-19.3M-13.65M
Change in Inventory-240.52M0-21.23M000
Change in Payables166K67K361K1.61M-115K269K
Cash from Investing+-3.37M-3.81M-5.03M-76.55M-95.06M-55.65M
Capital Expenditures-3.37M-3.81M-5.03M-7.76M-5.62M-5.26M
CapEx % of Revenue0.02%0.02%0.02%0.03%0.02%0.01%
Acquisitions------
Investments------
Other Investing00000-104K
Cash from Financing+237.72M51.04M195.29M16.23M-19.29M-61.67M
Debt Issued (Net)------
Equity Issued (Net)------
Dividends Paid0-173.18M0000
Share Repurchases------
Other Financing241.5M43.66M-6.36M18.98M-16.54M-58.92M
Net Change in Cash------
Free Cash Flow+-233.4M-10.29M-1.67M50.25M78.98M69.06M
FCF Margin %-1.39%-0.05%-0.01%0.17%0.21%0.15%
FCF Growth %-0.96%0.84%31.14%0.57%-0.13%
FCF per Share-0.99-0.04-0.010.270.400.27
FCF Conversion (FCF/Net Income)-29.75x0.15x-0.41x-7.28x-3.91x0.18x
Interest Paid022.18M26.11M1.4M3.45M3.46M
Taxes Paid0429K802K2.04M2.43M1.98M

Key Ratios

Metric201920202021202220232024
Return on Equity (ROE)---3.14%-2.65%-5.78%58.95%
Return on Invested Capital (ROIC)74.43%-67.9%53.11%3.4%-5.92%1.55%
Gross Margin71.94%73.79%73.07%71.07%70.9%72.78%
Net Margin4.6%-21.76%-3.26%-2.63%-5.87%93.93%
Debt / Equity--0.21x0.23x0.18x0.07x
Interest Coverage1.44x-0.89x1.11x---
FCF Conversion-29.75x0.15x-0.41x-7.28x-3.91x0.18x
Revenue Growth-20.96%24.01%20.4%21.34%22.72%

Revenue by Segment

2021202220232024
License--6.6M3.8M
License Growth----42.42%

Revenue by Geography

2021202220232024
UNITED STATES229.48M261.75M300.33M368.52M
UNITED STATES Growth-14.06%14.74%22.70%
Non-US22.54M41.67M67.84M83.28M
Non-US Growth-84.88%62.79%22.77%

Frequently Asked Questions

Valuation & Price

Clearwater Analytics Holdings, Inc. (CWAN) has a price-to-earnings (P/E) ratio of 14.4x. This may indicate the stock is undervalued or faces growth challenges.

Growth & Financials

Clearwater Analytics Holdings, Inc. (CWAN) reported $640.4M in revenue for fiscal year 2024. This represents a 281% increase from $168.0M in 2019.

Clearwater Analytics Holdings, Inc. (CWAN) grew revenue by 22.7% over the past year. This is strong growth.

Yes, Clearwater Analytics Holdings, Inc. (CWAN) is profitable, generating $392.2M in net income for fiscal year 2024 (93.9% net margin).

Dividend & Returns

Clearwater Analytics Holdings, Inc. (CWAN) has a return on equity (ROE) of 58.9%. This is excellent, indicating efficient use of shareholder capital.

Clearwater Analytics Holdings, Inc. (CWAN) generated $82.0M in free cash flow for fiscal year 2024. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.

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