Key Points
- Major shareholder David Duffield sold 99,228 Workday shares for approximately $18.6 million, reducing his direct ownership by 48.6% to 105,049 shares. The transaction was conducted under a pre-arranged Rule 10b5-1 plan.
- Workday reported stronger-than-expected quarterly results, with EPS of $2.75 versus the $2.61 consensus and revenue of $2.65 billion, up 12.8% year over year.
- Analysts’ consensus rating remains “Hold,” with an average price target of $205.82, while institutional investors own approximately 89.8% of the company.
Workday, Inc. (NASDAQ:WDAY - Get Free Report) insider Gerrit Kazmaier sold 2,729 shares of Workday stock in a transaction that occurred on Tuesday, October 6th. The shares were sold at an average price of $187.28, for a total transaction of $511,087.12. Following the sale, the insider owned 251,314 shares of the company's stock, valued at approximately $47,066,085.92. The trade was a 1.07% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards.
Workday Stock Down 1.2%
WDAY stock opened at $184.26 on Thursday. The company has a market capitalization of $44.41 billion, a P/E ratio of 37.38, a price-to-earnings-growth ratio of 1.87 and a beta of 1.07. Workday, Inc. has a 12 month low of $110.36 and a 12 month high of $247.40. The firm's fifty day simple moving average is $188.79 and its 200-day simple moving average is $150.92. The company has a debt-to-equity ratio of 0.31, a current ratio of 0.91 and a quick ratio of 0.91.
Workday (NASDAQ:WDAY - Get Free Report) last issued its earnings results on Thursday, August 27th. The software maker reported $2.75 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.61 by $0.14. The firm had revenue of $2.65 billion during the quarter, compared to analysts' expectations of $2.64 billion. Workday had a net margin of 12.32% and a return on equity of 20.95%. The firm's revenue was up 12.8% compared to the same quarter last year. During the same quarter last year, the company posted $2.21 earnings per share. As a group, equities research analysts forecast that Workday, Inc. will post 5.33 earnings per share for the current year.
Wall Street Analysts Forecast Growth
WDAY has been the subject of several analyst reports. Morgan Stanley boosted their price objective on Workday from $145.00 to $180.00 and gave the company an "underweight" rating in a report on Friday, August 28th. Jefferies Financial Group reiterated a "hold" rating on shares of Workday in a research report on Thursday. Lake Street Capital set a $205.00 price target on Workday in a report on Friday, August 14th. DA Davidson upped their price objective on Workday from $135.00 to $190.00 and gave the stock a "neutral" rating in a research report on Friday, August 28th. Finally, Wells Fargo & Company raised their price objective on shares of Workday from $215.00 to $225.00 and gave the stock an "overweight" rating in a research note on Friday, August 28th. Twenty research analysts have rated the stock with a Buy rating, eighteen have assigned a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus target price of $205.82.
View Our Latest Stock Report on WDAY
Institutional Investors Weigh In On Workday
Institutional investors have recently modified their holdings of the business. Elevation Wealth Partners LLC increased its stake in shares of Workday by 21.8% in the 3rd quarter. Elevation Wealth Partners LLC now owns 481 shares of the software maker's stock valued at $92,000 after purchasing an additional 86 shares in the last quarter. Lakehouse Capital Pty Ltd boosted its position in Workday by 77.9% during the third quarter. Lakehouse Capital Pty Ltd now owns 43,773 shares of the software maker's stock worth $8,337,000 after purchasing an additional 19,174 shares in the last quarter. Baker Tilly Wealth Management LLC grew its holdings in Workday by 5.5% in the third quarter. Baker Tilly Wealth Management LLC now owns 1,791 shares of the software maker's stock valued at $341,000 after purchasing an additional 93 shares during the period. CX Institutional grew its holdings in Workday by 5.8% in the third quarter. CX Institutional now owns 3,559 shares of the software maker's stock valued at $678,000 after purchasing an additional 195 shares during the period. Finally, Versant Capital Management Inc increased its position in shares of Workday by 34.2% in the third quarter. Versant Capital Management Inc now owns 3,188 shares of the software maker's stock valued at $607,000 after buying an additional 813 shares in the last quarter. 89.81% of the stock is currently owned by institutional investors and hedge funds.
Workday News Roundup
Here are the key news stories impacting Workday this week:
- Positive Sentiment: Workday continues to receive favorable attention from growth and momentum screens, reflecting its earnings performance, cloud-software position and longer-term operating momentum. Here's Why Workday is a Strong Momentum Stock Here's Why Workday is a Strong Growth Stock
- Neutral Sentiment: CFO Zane Rowe sold 6,000 shares, while insiders Gerrit Kazmaier and Robert Enslin sold 2,729 and 5,374 shares, respectively. Each transaction was made under a pre-arranged Rule 10b5-1 plan to cover tax withholding on vested equity awards, reducing the likelihood that the sales signal a change in business outlook. Workday CFO Form 4 Filing
- Negative Sentiment: Major shareholder David Duffield sold 99,228 shares worth approximately $18.6 million, cutting his reported position by nearly half. Although the sale was also executed under a 10b5-1 plan, its size may weigh on sentiment and increase near-term supply of WDAY shares. A previously reported sale of 98,446 shares adds to the recent selling narrative. David Duffield Workday Form 4 Filing
- Negative Sentiment: Workday underperformed the broader market in the latest session, suggesting investors remain cautious despite recent earnings beats. The stock’s valuation remains elevated at roughly 37 times earnings, leaving less room for disappointment in growth or guidance. Why Workday Dipped More Than the Broader Market
Workday Company Profile
(
Get Free Report)
Workday, Inc develops cloud-based enterprise software for managing an organization's people, finances and operations. Its platform is primarily used by businesses, government agencies and educational institutions to support human resources, finance, planning, analytics and related administrative processes.
The company's offerings include Workday Human Capital Management, Financial Management, Adaptive Planning, Spend Management, payroll, recruiting, talent management, learning and workforce analytics.
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