Parnassus Mid Cap Fund Sold Guidewire Software (GWRE) After Achieving Investment Thesis

Core Insights - Parnassus Mid Cap Fund outperformed the Russell Midcap Index in Q4 2025, returning 1.17% compared to the index's 0.16% [1] - The fund's year-to-date return is 12.85%, exceeding the index's 10.60% [1] - The fund is optimistic about mid-cap stocks driving market growth in 2026, especially beyond artificial intelligence [1] Company-Specific Insights - Guidewire Software, Inc. (NYSE:GWRE) is a key holding in the Parnassus Mid Cap Fund, providing cloud-based software for property and casualty insurance [2] - Guidewire's stock closed at $144.90 on March 30, 2026, with a market capitalization of $12.27 billion [2] - The stock has experienced a -4.63% return in the past month and a -23.96% decline over the past twelve months [2] Investment Strategy Insights - The fund exited its position in Guidewire Software, citing fulfilled investment thesis and return targets, and identified better redeployment opportunities [3] - Guidewire is not among the 40 most popular stocks among hedge funds heading into 2026, with a decrease in hedge fund holdings from 72 to 69 [3] - The fund believes certain AI stocks present greater upside potential and less downside risk compared to Guidewire [3]