David Duffield Sells 107,500 Shares of Workday (NASDAQ:WDAY) Stock

Key Points

• David Duffield sold 107,500 shares on March 2 at an average price of $134.40 for roughly $14.45 million, cutting his stake by 50.58% to 105,049 shares; the transaction was reported in an SEC Form 4.
• Company fundamentals remain solid—Workday beat Q4 estimates (EPS $2.47 vs. $2.32) and posted 14.5% year‑over‑year revenue growth, and analysts carry a consensus "Moderate Buy" with a $205.19 target despite recent price‑target cuts.
• Shares face near-term valuation pressure as the stock traded near $143.04, below its 50‑ and 200‑day moving averages ($176.41 and $210.59), with macro headwinds and analyst downgrades weighing on sentiment.

Workday, Inc. (NASDAQ:WDAY - Get Free Report) major shareholder David Duffield sold 107,500 shares of the firm's stock in a transaction that occurred on Monday, March 2nd. The shares were sold at an average price of $134.40, for a total transaction of $14,448,000.00. Following the completion of the transaction, the insider owned 105,049 shares of the company's stock, valued at $14,118,585.60. This trade represents a 50.58% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Large shareholders that own 10% or more of a company's shares are required to disclose their transactions with the SEC.

Workday Price Performance

NASDAQ WDAY traded down $0.57 on Wednesday, hitting $143.04. The stock had a trading volume of 4,962,922 shares, compared to its average volume of 5,284,498. The firm has a 50-day moving average of $176.41 and a 200-day moving average of $210.59. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.83 and a current ratio of 1.32. Workday, Inc. has a 52-week low of $117.76 and a 52-week high of $276.00. The company has a market capitalization of $37.62 billion, a price-to-earnings ratio of 55.44, a price-to-earnings-growth ratio of 1.31 and a beta of 1.16.

Workday (NASDAQ:WDAY - Get Free Report) last released its quarterly earnings results on Tuesday, February 24th. The software maker reported $2.47 earnings per share for the quarter, topping the consensus estimate of $2.32 by $0.15. Workday had a net margin of 7.26% and a return on equity of 13.37%. The firm had revenue of $2.53 billion for the quarter, compared to analysts' expectations of $2.52 billion. During the same quarter in the prior year, the firm posted $1.92 earnings per share. The business's quarterly revenue was up 14.5% on a year-over-year basis. Equities analysts expect that Workday, Inc. will post 2.63 EPS for the current year.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on the company. JPMorgan Chase & Co. cut their price objective on Workday from $270.00 to $230.00 and set an "overweight" rating for the company in a report on Tuesday, February 24th. Stifel Nicolaus set a $175.00 price target on shares of Workday in a report on Monday, February 9th. Oppenheimer dropped their price objective on shares of Workday from $200.00 to $165.00 and set an "outperform" rating for the company in a report on Wednesday, February 25th. BMO Capital Markets reduced their target price on Workday from $204.00 to $182.00 and set an "outperform" rating on the stock in a research note on Wednesday, February 25th. Finally, Raymond James Financial reaffirmed a "market perform" rating on shares of Workday in a research note on Monday, February 9th. Twenty investment analysts have rated the stock with a Buy rating and fifteen have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $205.19.

Key Workday News

Here are the key news stories impacting Workday this week:

• Positive Sentiment: Recent bargain-hunting lifted the stock after a steep pullback, producing a multi-day rally that attracted short-term buyers. Workday Climbs 7.2%
• Positive Sentiment: Workday continues to expand its partner ecosystem (HR Acuity, Insperity HRScale), which strengthens HCM footprint and could support longer-term revenue growth in HR and SMB segments. HR Acuity Joins Workday
• Positive Sentiment: Recent quarterly results (late Feb) beat EPS and revenue expectations, providing a fundamental reason for buyers to step in after the pullback.
• Neutral Sentiment: Broader market dynamics — stubborn inflation and higher-for-longer rate expectations — are pressuring tech multiples and keeping upward moves tentative. US Stock Market Today
• Neutral Sentiment: Macro and sector commentary (e.g., Sequoia’s Alfred Lin on SaaS resilience) reinforces that software demand remains attractive, but it does not remove near-term valuation pressure. Why Sequoia’s Alfred Lin Isn’t Worried
• Negative Sentiment: Major insider sale: co-founder David Duffield sold 107,500 shares (~50% cut to his position), a large disclosed transaction that can be viewed negatively by the market. SEC Filing
• Negative Sentiment: Competitive risk: French AI startup Pigment is scaling quickly and positioning itself as a competitor in planning/analytics, which raises long-term competitive concerns. Pigment Profile
• Negative Sentiment: Negative media/analyst takes: Jim Cramer flagged Workday as a weaker performer recently, and at least one analyst/author has lowered fair-value expectations — both can amplify selling pressure. Cramer on Workday Seeking Alpha Fair Value Note

Hedge Funds Weigh In On Workday

Several hedge funds have recently made changes to their positions in the business. First Eagle Investment Management LLC bought a new stake in shares of Workday during the 3rd quarter valued at $556,252,000. PKO Investment Management Joint Stock Co bought a new position in shares of Workday in the 3rd quarter worth about $1,805,000. Phoenix Financial Ltd. purchased a new position in Workday during the 3rd quarter valued at about $2,000,000. Rakuten Investment Management Inc. purchased a new position in Workday during the 3rd quarter valued at about $124,718,000. Finally, Norges Bank bought a new stake in Workday during the second quarter worth about $442,702,000. 89.81% of the stock is owned by hedge funds and other institutional investors.

Workday Company Profile

Workday, Inc NASDAQ: WDAY is a provider of cloud-based enterprise applications focused on human capital management (HCM) and financial management. Founded in 2005 by Dave Duffield and Aneel Bhusri following their tenure at PeopleSoft, the company develops software-as-a-service solutions that help organizations manage workforce and financial processes in a unified, cloud-native environment. Workday's platform emphasizes continuous updates, data security, and a configurable architecture aimed at large and mid-sized enterprises.

The company's product portfolio centers on Workday Human Capital Management and Workday Financial Management, with additional offerings for payroll, talent management, workforce planning and analytics.

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