Comparing Guidewire Software (NYSE:GWRE) & Resonate Blends (OTCMKTS:KOAN)

Guidewire Software (NYSE:GWRE) and Resonate Blends (OTCMKTS:KOAN) are both computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, profitability, earnings, analyst recommendations, institutional ownership and dividends.

Valuation & Earnings

This table compares Guidewire Software and Resonate Blends”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Guidewire Software	$1.04 billion	17.35	-$6.10 million	$0.36	597.82
Resonate Blends	$20,000.00	13.32	-$1.42 million	($0.05)	-0.04

Resonate Blends has lower revenue, but higher earnings than Guidewire Software. Resonate Blends is trading at a lower price-to-earnings ratio than Guidewire Software, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current recommendations for Guidewire Software and Resonate Blends, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Guidewire Software	1	2	10	0	2.69
Resonate Blends	0	0	0	0	0.00

Guidewire Software presently has a consensus target price of $204.50, indicating a potential downside of 4.98%. Given Guidewire Software’s stronger consensus rating and higher probable upside, analysts plainly believe Guidewire Software is more favorable than Resonate Blends.

Volatility & Risk

Guidewire Software has a beta of 1.25, indicating that its share price is 25% more volatile than the S&P 500. Comparatively, Resonate Blends has a beta of 2.76, indicating that its share price is 176% more volatile than the S&P 500.

Institutional and Insider Ownership

7.4% of Resonate Blends shares are held by institutional investors. 0.5% of Guidewire Software shares are held by company insiders. Comparatively, 50.0% of Resonate Blends shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Guidewire Software and Resonate Blends’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Guidewire Software	2.91%	2.38%	1.38%
Resonate Blends	N/A	N/A	-80.02%

Summary

Guidewire Software beats Resonate Blends on 10 of the 14 factors compared between the two stocks.

About Guidewire Software

Guidewire Software, Inc. provides a platform for property and casualty (P&C) insurers worldwide. The company offers Guidewire InsuranceSuite Cloud, such as PolicyCenter Cloud, BillingCenter Cloud, and ClaimCenter Cloud applications. It also provides Guidewire InsuranceNow, a cloud-based platform that offers policy, billing, and claims management functionality to insurers; and Guidewire InsuranceSuite for Self-Managed. In addition, the company offers Guidewire Rating Management to manage the pricing of insurance products; and Guidewire Reinsurance Management to use rules-based logic to execute reinsurance strategy through underwriting and claims processes. Further, it provides Guidewire Underwriting Management, a cloud-based integrated business application; Guidewire AppReader, a submission intake management solution; Guidewire ClaimCenter Package for the London market supports the claims workflow used by London Market insurers and brokers; Guidewire Digital Engagement Applications, which enable insurers to provide digital experiences to customers, agents, vendors, and field personnel through their device of choice; and Guidewire for Salesforce to provide customer information regarding policies and claims. Additionally, the company offers Guidewire Predict, a P&C-specific machine-learning platform; Guidewire HazardHub that allows insurers to understand, assess, price, and manage property risk; Guidewire Canvas, Guidewire Compare, and Guidewire Explore cloud-native applications; and Guidewire Cyence, a cyber-risk economic modeling product. The company was incorporated in 2001 and is headquartered in San Mateo, California.

About Resonate Blends

Resonate Blends, Inc., a cannabis holding company, provides cannabis wellness lifestyle products. The company offers Calm to quiet the mind and ease into a gentle sense of wellbeing; Wonder, a THC offering to bring back the youthful sense; Love to reduce barriers to intimacy, stimulate personal connections, and increase tactile sensation; Create to stimulate senses, spark imagination, and channel inner muse; Play to become fully immersed in the moment and the people around; Delight to open up senses; and Sleep for helping to fall asleep. The company was formerly known as Textmunication Holdings, Inc. and changed its name to Resonate Blends, Inc. in December 2019. Resonate Blends, Inc. is based in Calabasas, California.