Here’s What Weighed on Clearwater Analytics Holdings (CWAN) Stock

Core Insights - Loomis Sayles Small/Mid Cap Growth Fund underperformed the Russell 2500 Growth Index in Q2 2025, returning 8.49% compared to the index's 11.31% [1] - The fund's underperformance was primarily due to security selection in the consumer discretionary and financials sectors [1] Company Performance - Clearwater Analytics Holdings, Inc. (NYSE:CWAN) was highlighted as a significant detractor from the fund's performance, with a one-month return of -0.36% and a 52-week loss of 19.99% [2][3] - As of September 12, 2025, Clearwater Analytics had a market capitalization of $6.386 billion, with shares closing at $19.61 [2] Financial Metrics - Clearwater Analytics reported revenue of $181.9 million in Q2 2025, marking a 70% year-over-year increase [4] - The company is currently integrating three acquisitions made earlier in the year, which has contributed to performance uncertainty [3] Market Sentiment - Clearwater Analytics is not among the 30 most popular stocks among hedge funds, with 51 hedge fund portfolios holding the stock at the end of Q2 2025, up from 41 in the previous quarter [4] - Analysts suggest that while Clearwater Analytics has potential, certain AI stocks may offer better upside potential and lower downside risk [4]