First Sabrepoint Capital Management LP Makes New Investment in Workday, Inc. $WDAY

Key Points

• First Sabrepoint Capital Management LP acquired 21,500 shares of Workday, Inc., representing approximately $5 million and making it the 21st largest position in its portfolio.
• Workday's quarterly earnings report showed a EPS of $2.21, beating estimates, with a revenue of $2.35 billion, indicating a year-over-year growth of 12.6%.
• Analyst ratings are generally positive, with two analysts giving a Strong Buy rating and a consensus average target price of $286.81 for Workday shares.

First Sabrepoint Capital Management LP purchased a new position in Workday, Inc. (NASDAQ:WDAY - Free Report) in the 1st quarter, according to the company in its most recent disclosure with the SEC. The fund purchased 21,500 shares of the software maker's stock, valued at approximately $5,021,000. Workday comprises about 1.9% of First Sabrepoint Capital Management LP's investment portfolio, making the stock its 21st biggest holding.

Several other large investors have also bought and sold shares of WDAY. Brighton Jones LLC raised its holdings in 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 buying an additional 2,792 shares during the last quarter. Bank Pictet & Cie Europe AG raised its holdings in Workday by 24.0% in the 4th quarter. Bank Pictet & Cie Europe AG now owns 3,075 shares of the software maker's stock worth $793,000 after acquiring an additional 595 shares during the last quarter. Integrated Wealth Concepts LLC raised its holdings in Workday by 23.6% in the 4th quarter. Integrated Wealth Concepts LLC now owns 2,034 shares of the software maker's stock worth $525,000 after acquiring an additional 388 shares during the last quarter. Lido Advisors LLC raised its holdings in Workday by 208.3% in the 4th quarter. Lido Advisors LLC now owns 4,134 shares of the software maker's stock worth $1,067,000 after acquiring an additional 2,793 shares during the last quarter. Finally, Meiji Yasuda Life Insurance Co raised its stake in shares of Workday by 13.1% in the fourth quarter. Meiji Yasuda Life Insurance Co now owns 1,123 shares of the software maker's stock worth $290,000 after purchasing an additional 130 shares during the last quarter. 89.81% of the stock is owned by hedge funds and other institutional investors.

Workday Stock Performance

WDAY stock traded down $1.93 during midday trading on Tuesday, reaching $228.89. 3,936,749 shares of the company's stock traded hands, compared to its average volume of 3,836,420. Workday, Inc. has a 52-week low of $205.33 and a 52-week high of $294.00. The stock has a market cap of $61.11 billion, a P/E ratio of 105.97, a PEG ratio of 3.22 and a beta of 1.12. The company has a current ratio of 2.10, a quick ratio of 2.07 and a debt-to-equity ratio of 0.33. The stock's 50-day moving average is $230.77 and its 200 day moving average is $240.65.

Workday (NASDAQ:WDAY - Get Free Report) last posted its quarterly earnings data on Thursday, August 21st. The software maker reported $2.21 EPS for the quarter, topping the consensus estimate of $2.09 by $0.12. The firm had revenue of $2.35 billion during the quarter, compared to analyst estimates of $2.34 billion. Workday had a return on equity of 9.74% and a net margin of 6.51%.Workday's revenue was up 12.6% on a year-over-year basis. During the same period in the prior year, the business posted $1.75 EPS. Workday has set its FY 2026 guidance at EPS. Q3 2026 guidance at EPS. As a group, analysts anticipate that Workday, Inc. will post 2.63 EPS for the current year.

Analysts Set New Price Targets

Several research analysts have recently weighed in on WDAY shares. JMP Securities restated a "market outperform" rating and issued a $315.00 price target on shares of Workday in a research note on Friday, August 22nd. DA Davidson boosted their target price on Workday from $230.00 to $250.00 and gave the stock a "neutral" rating in a research report on Friday, May 23rd. Oppenheimer decreased their target price on Workday from $300.00 to $270.00 and set an "outperform" rating for the company in a research report on Friday, August 22nd. Westpark Capital boosted their target price on Workday from $315.00 to $328.00 and gave the stock a "buy" rating in a research report on Friday, May 23rd. Finally, Loop Capital lowered their price objective on shares of Workday from $285.00 to $250.00 and set a "hold" rating on the stock in a research report on Friday, May 23rd. Two research analysts have rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Workday presently has an average rating of "Moderate Buy" and an average price target of $286.81.

Insiders Place Their Bets

In other Workday news, major shareholder David A. Duffield sold 72,551 shares of the company's stock in a transaction dated Tuesday, July 8th. The stock was sold at an average price of $239.61, for a total value of $17,383,945.11. Following the completion of the sale, the insider owned 102,997 shares in the company, 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 this hyperlink. Also, CFO Zane Rowe sold 6,000 shares of the company's stock in a transaction dated Tuesday, July 8th. The stock was sold at an average price of $239.59, for a total value of $1,437,540.00. Following the completion of the sale, the chief financial officer owned 178,418 shares of the company's stock, valued at approximately $42,747,168.62. The trade was a 3.25% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 325,880 shares of company stock valued at $78,449,679. 20.00% of the stock is currently owned by corporate insiders.

Workday Profile

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.