Canaccord Genuity Group Has Lowered Expectations for Workday (NASDAQ:WDAY) Stock Price

Key Points

• Canaccord Genuity Group has reduced its price target for Workday (NASDAQ:WDAY) from $330.00 to $275.00, while maintaining a "buy" rating, indicating a potential upside of 20.84%.
• Other analysts have also adjusted their price targets, with Bank of America setting theirs at $278.00 and Barclays at $298.00, leading to an average price target of $285.96 across evaluations.
• Workday reported $2.21 earnings per share for its last quarter, exceeding estimates, alongside a revenue increase of 12.6% year-over-year, demonstrating strong performance in a challenging market.

Workday (NASDAQ:WDAY - Get Free Report) had its price objective reduced by equities research analysts at Canaccord Genuity Group from $330.00 to $275.00 in a note issued to investors on Friday,Benzinga reports. The firm currently has a "buy" rating on the software maker's stock. Canaccord Genuity Group's price target suggests a potential upside of 20.84% from the company's current price.

A number of other analysts have also commented on the company. Bank of America lowered their price objective on Workday from $295.00 to $278.00 and set a "buy" rating for the company in a research report on Tuesday. Cantor Fitzgerald set a $265.00 price objective on Workday in a report on Thursday, August 14th. Barclays dropped their target price on Workday from $321.00 to $298.00 and set an "overweight" rating on the stock in a research report on Monday. Needham & Company LLC restated a "buy" rating and issued a $300.00 price target on shares of Workday in a research note on Friday. Finally, Oppenheimer decreased their price target on Workday from $300.00 to $270.00 and set an "outperform" rating for the company in a research note on Friday. Two analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, seven have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $285.96.

Workday Stock Performance

Workday stock opened at $227.58 on Friday. The stock has a 50-day simple moving average of $232.85 and a 200 day simple moving average of $242.98. The company has a quick ratio of 2.07, a current ratio of 2.07 and a debt-to-equity ratio of 0.33. Workday has a 12-month low of $205.33 and a 12-month high of $294.00. The stock has a market capitalization of $60.76 billion, a price-to-earnings ratio of 125.73, a P/E/G ratio of 3.44 and a beta of 1.24.

Workday (NASDAQ:WDAY - Get Free Report) last released its quarterly earnings results on Thursday, August 21st. The software maker reported $2.21 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.09 by $0.12. Workday had a return on equity of 8.00% and a net margin of 5.60%.The business had revenue of $2.35 billion during the quarter, compared to analysts' expectations of $2.34 billion. During the same period in the previous year, the business posted $1.75 earnings per share. The firm's revenue for the quarter was up 12.6% compared to the same quarter last year. Workday has set its FY 2026 guidance at EPS. Q3 2026 guidance at EPS. On average, research analysts anticipate that Workday will post 2.63 earnings per share for the current fiscal year.

Insider Buying and Selling at Workday

In related news, major shareholder David A. Duffield sold 72,551 shares of the stock in a transaction that occurred on Tuesday, July 8th. The stock was sold at an average price of $239.61, for a total transaction of $17,383,945.11. Following the sale, the insider owned 102,997 shares of the company's stock, valued at $24,679,111.17. This represents a 41.33% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CAO Mark S. Garfield sold 451 shares of the stock in a transaction that occurred on Thursday, July 10th. The stock was sold at an average price of $234.86, for a total value of $105,921.86. Following the sale, the chief accounting officer directly owned 42,977 shares in the company, valued at $10,093,578.22. This represents a 1.04% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 329,005 shares of company stock valued at $79,203,523 over the last ninety days. 19.31% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in WDAY. Brighton Jones LLC lifted its holdings in shares of Workday by 230.2% in the fourth quarter. Brighton Jones LLC now owns 4,005 shares of the software maker's stock worth $1,033,000 after acquiring an additional 2,792 shares during the last quarter. Bank Pictet & Cie Europe AG grew its stake in shares of Workday by 24.0% in the fourth quarter. Bank Pictet & Cie Europe AG now owns 3,075 shares of the software maker's stock worth $793,000 after purchasing an additional 595 shares during the last quarter. Dimensional Fund Advisors LP lifted its holdings in Workday by 40.7% in the fourth quarter. Dimensional Fund Advisors LP now owns 350,829 shares of the software maker's stock valued at $90,545,000 after buying an additional 101,466 shares during the period. TD Waterhouse Canada Inc. lifted its holdings in Workday by 30.2% in the fourth quarter. TD Waterhouse Canada Inc. now owns 5,609 shares of the software maker's stock valued at $1,447,000 after buying an additional 1,300 shares during the period. Finally, Pinebridge Investments L.P. increased its stake in Workday by 6.5% in the fourth quarter. Pinebridge Investments L.P. now owns 38,008 shares of the software maker's stock valued at $9,807,000 after purchasing an additional 2,303 shares in the last quarter. Institutional investors own 89.81% of the company's stock.

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.

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