Neuberger Berman Group LLC Boosts Stake in Workday, Inc. (NASDAQ:WDAY)

Key Points

• Neuberger Berman Group LLC raised its stake in Workday, acquiring an additional 24,868 shares, bringing its total ownership to 718,452 shares, valued at approximately $167.78 million.
• Workday's recent quarterly earnings report indicated an EPS of $2.23, surpassing analyst expectations, while revenue grew by 12.6% year-over-year.
• Multiple institutional investors have significantly increased their holdings in Workday, with notable acquisitions including T. Rowe Price and The Manufacturers Life Insurance Company.

Neuberger Berman Group LLC lifted its position in shares of Workday, Inc. (NASDAQ:WDAY - Free Report) by 3.6% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 718,452 shares of the software maker's stock after buying an additional 24,868 shares during the period. Neuberger Berman Group LLC owned about 0.27% of Workday worth $167,780,000 as of its most recent SEC filing.

Other large investors also recently modified their holdings of the company. T. Rowe Price Investment Management Inc. bought a new position in Workday during the 4th quarter worth approximately $658,735,000. Nuveen LLC purchased a new position in Workday in the 1st quarter worth approximately $456,341,000. The Manufacturers Life Insurance Company increased its stake in Workday by 60.7% in the 4th quarter. The Manufacturers Life Insurance Company now owns 3,722,255 shares of the software maker's stock worth $960,454,000 after purchasing an additional 1,406,088 shares during the period. Northern Trust Corp increased its stake in Workday by 51.2% in the 4th quarter. Northern Trust Corp now owns 2,263,981 shares of the software maker's stock worth $584,175,000 after purchasing an additional 767,034 shares during the period. Finally, Contour Asset Management LLC purchased a new position in Workday in the 4th quarter worth approximately $183,516,000. 89.81% of the stock is owned by hedge funds and other institutional investors.

Workday Stock Down 0.5%

Shares of NASDAQ WDAY traded down $1.15 during mid-day trading on Thursday, hitting $221.92. 3,254,754 shares of the stock traded hands, compared to its average volume of 2,875,696. The company has a debt-to-equity ratio of 0.33, a quick ratio of 2.07 and a current ratio of 2.07. Workday, Inc. has a 52 week low of $205.33 and a 52 week high of $294.00. The company has a market cap of $59.25 billion, a price-to-earnings ratio of 122.61, a PEG ratio of 3.37 and a beta of 1.24. The stock has a fifty day moving average price of $235.20 and a 200-day moving average price of $244.18.

Workday (NASDAQ:WDAY - Get Free Report) last released its earnings results on Thursday, May 22nd. The software maker reported $2.23 EPS for the quarter, topping the consensus estimate of $2.01 by $0.22. Workday had a return on equity of 8.00% and a net margin of 5.60%. The business had revenue of $2.24 billion for the quarter, compared to the consensus estimate of $2.22 billion. During the same period in the previous year, the company posted $1.74 earnings per share. The company's revenue for the quarter was up 12.6% compared to the same quarter last year. Research analysts anticipate that Workday, Inc. will post 2.63 EPS for the current year.

Insiders Place Their Bets

In other Workday news, CFO Zane Rowe sold 6,000 shares of the business's stock in a transaction on 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 sale, the chief financial officer directly 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 ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, major shareholder David A. Duffield sold 72,551 shares of the business's stock in a transaction on 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 directly owned 102,997 shares in the company, valued at $24,679,111.17. This trade represents a 41.33% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 329,005 shares of company stock valued at $79,203,523. Company insiders own 19.31% of the company's stock.

Analyst Upgrades and Downgrades

A number of brokerages have commented on WDAY. Citigroup cut Workday from a "neutral" rating to a "mixed" rating in a research note on Friday, May 16th. Wall Street Zen raised Workday from a "hold" rating to a "buy" rating in a research note on Sunday, July 13th. Morgan Stanley set a $255.00 price target on Workday and gave the stock an "equal weight" rating in a research note on Friday, May 23rd. Loop Capital cut their price objective on Workday from $285.00 to $250.00 and set a "hold" rating on the stock in a research report on Friday, May 23rd. Finally, JMP Securities reiterated a "market outperform" rating and issued a $315.00 price objective on shares of Workday in a research report on Friday, May 23rd. One research analyst has rated the stock with a sell rating, seven have given a hold rating, twenty have given a buy rating and two have assigned a strong buy rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $294.31.

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.