Zacks Research Issues Positive Outlook for Workday Earnings

Workday, Inc. (NASDAQ:WDAY) – Investment analysts at Zacks Research raised their FY2027 earnings estimates for Workday in a research note issued on Monday, February 17th. Zacks Research analyst R. Department now anticipates that the software maker will post earnings of $4.57 per share for the year, up from their previous estimate of $4.56. The consensus estimate for Workday’s current full-year earnings is $2.63 per share.

Workday (NASDAQ:WDAY) last issued its quarterly earnings data on Tuesday, November 26th. The software maker reported $1.89 EPS for the quarter, beating the consensus estimate of $1.76 by $0.13. The company had revenue of $2.16 billion during the quarter, compared to analysts’ expectations of $2.13 billion. Workday had a net margin of 19.86% and a return on equity of 6.13%. Workday’s revenue for the quarter was up 15.8% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.47 earnings per share.

Other equities research analysts have also issued reports about the stock. Piper Sandler reiterated a “neutral” rating and set a $270.00 target price (down from $285.00) on shares of Workday in a research report on Wednesday, November 27th. BNP Paribas upgraded shares of Workday to a “strong-buy” rating in a research report on Friday, February 14th. Barclays dropped their target price on shares of Workday from $314.00 to $305.00 and set an “overweight” rating for the company in a research report on Wednesday, November 27th. Mizuho lifted their target price on shares of Workday from $280.00 to $320.00 and gave the company an “outperform” rating in a research report on Friday, December 13th. Finally, Needham & Company LLC reiterated a “buy” rating and set a $300.00 target price on shares of Workday in a research report on Thursday, February 6th. Ten equities research analysts have rated the stock with a hold rating, twenty have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $291.11.

Workday Price Performance

Shares of NASDAQ:WDAY opened at $261.63 on Thursday. Workday has a 12 month low of $199.81 and a 12 month high of $311.28. The stock has a market cap of $69.59 billion, a P/E ratio of 43.39, a P/E/G ratio of 3.62 and a beta of 1.35. The company has a current ratio of 2.05, a quick ratio of 2.05 and a debt-to-equity ratio of 0.35. The company has a 50 day moving average of $261.10 and a 200 day moving average of $252.54.

Insider Activity at Workday

In other Workday news, Director Wayne A.I. Frederick sold 1,829 shares of the business’s stock in a transaction on Thursday, January 2nd. The shares were sold at an average price of $253.09, for a total transaction of $462,901.61. Following the transaction, the director now directly owns 6,845 shares of the company’s stock, valued at approximately $1,732,401.05. The trade was a 21.09 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, major shareholder David A. Duffield sold 57,000 shares of the business’s stock in a transaction on Wednesday, December 18th. The shares were sold at an average price of $275.31, for a total transaction of $15,692,670.00. Following the transaction, the insider now directly owns 284,000 shares in the company, valued at approximately $78,188,040. The trade was a 16.72 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 438,819 shares of company stock worth $113,142,592 in the last three months. 20.00% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. Mackenzie Financial Corp increased its position in Workday by 78.5% during the 4th quarter. Mackenzie Financial Corp now owns 241,808 shares of the software maker’s stock valued at $62,394,000 after purchasing an additional 106,364 shares during the period. Forum Financial Management LP purchased a new position in Workday during the 4th quarter valued at $287,000. Toronto Dominion Bank increased its position in Workday by 274.3% during the 4th quarter. Toronto Dominion Bank now owns 113,761 shares of the software maker’s stock valued at $29,354,000 after purchasing an additional 83,371 shares during the period. Cache Advisors LLC purchased a new position in Workday during the 4th quarter valued at $1,039,000. Finally, GF Fund Management CO. LTD. purchased a new position in Workday during the 4th quarter valued at $10,416,000. 89.81% of the stock is owned by hedge funds and other institutional investors.

About Workday

Workday, Inc provides enterprise cloud applications in the United States and internationally. Its applications help its customers to plan, execute, analyze, and extend to other applications and environments to manage their business and operations. The company offers a suite of financial management applications to maintain accounting information in the general ledger; manage financial processes, such as payables and receivables; identify real-time financial, operational, and management insights; enhance financial consolidation; reduce time-to-close; promote internal control and auditability; and achieve consistency across finance operations.