Generation Investment Management LLP Has $678.12 Million Stock Position in Workday, Inc. $WDAY

Key Points

• Generation Investment Management LLP increased its stake in Workday, Inc. by 36.6%, now holding approximately 2,903,767 shares valued at around $678 million, making it the fund's 9th largest holding.
• Several institutional investors, including Nuveen LLC and T. Rowe Price Investment Management Inc., have also significantly adjusted their positions in Workday, contributing to 89.81% of the company's stock being owned by institutional investors.
• Workday reported $2.21 EPS for the last quarter, exceeding expectations and showcasing a 12.6% year-over-year revenue increase to $2.35 billion.

Generation Investment Management LLP increased its holdings in shares of Workday, Inc. (NASDAQ:WDAY - Free Report) by 36.6% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 2,903,767 shares of the software maker's stock after purchasing an additional 778,301 shares during the period. Workday accounts for about 4.1% of Generation Investment Management LLP's holdings, making the stock its 9th biggest holding. Generation Investment Management LLP owned approximately 1.09% of Workday worth $678,117,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors have also recently added to or reduced their stakes in the company. Cornerstone Planning Group LLC boosted its position in Workday by 76.1% during the 1st quarter. Cornerstone Planning Group LLC now owns 125 shares of the software maker's stock worth $28,000 after purchasing an additional 54 shares during the period. Dagco Inc. purchased a new stake in Workday during the 1st quarter worth $31,000. Farmers & Merchants Investments Inc. purchased a new stake in Workday during the 1st quarter worth $32,000. Financial Management Professionals Inc. boosted its position in Workday by 54.0% during the 1st quarter. Financial Management Professionals Inc. now owns 154 shares of the software maker's stock worth $36,000 after purchasing an additional 54 shares during the period. Finally, Pinnacle Bancorp Inc. purchased a new stake in Workday during the 1st quarter worth $40,000. 89.81% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on WDAY. Wells Fargo & Company decreased their price target on shares of Workday from $325.00 to $300.00 and set an "overweight" rating for the company in a research report on Monday, August 18th. Cantor Fitzgerald set a $265.00 price target on shares of Workday in a research report on Thursday, August 14th. Stifel Nicolaus decreased their price target on shares of Workday from $275.00 to $255.00 and set a "hold" rating for the company in a research report on Friday, August 22nd. JPMorgan Chase & Co. cut their price objective on shares of Workday from $295.00 to $290.00 and set an "overweight" rating on the stock in a report on Friday, August 22nd. Finally, Barclays cut their price objective on shares of Workday from $321.00 to $298.00 and set an "overweight" rating on the stock in a report on Monday, August 18th. Two equities research analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Workday has an average rating of "Moderate Buy" and a consensus target price of $286.81.

Workday Stock Down 1.0%

WDAY stock traded down $2.30 during trading on Thursday, reaching $231.13. The stock had a trading volume of 2,226,795 shares, compared to its average volume of 3,924,129. The company has a market capitalization of $61.71 billion, a P/E ratio of 107.01, a PEG ratio of 3.25 and a beta of 1.12. The firm has a fifty day moving average price of $230.64 and a 200 day moving average price of $240.41. The company has a current ratio of 2.10, a quick ratio of 2.10 and a debt-to-equity ratio of 0.33. Workday, Inc. has a 1-year low of $205.33 and a 1-year high of $294.00.

Workday (NASDAQ:WDAY - Get Free Report) last issued its 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. The business had revenue of $2.35 billion for the quarter, compared to analyst estimates of $2.34 billion. Workday had a net margin of 6.51% and a return on equity of 9.74%. The company's revenue for the quarter was up 12.6% on a year-over-year basis. During the same quarter in the prior year, the business posted $1.75 EPS. Workday has set its FY 2026 guidance at EPS. Q3 2026 guidance at EPS. On average, equities analysts anticipate that Workday, Inc. will post 2.63 earnings per share for the current year.

Insider Activity at Workday

In other news, major shareholder David A. Duffield sold 72,551 shares of the company's stock in a transaction dated Tuesday, July 8th. The shares were sold at an average price of $239.61, for a total value of $17,383,945.11. Following the sale, the insider owned 102,997 shares in the company, valued at approximately $24,679,111.17. This represents a 41.33% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO Zane Rowe sold 6,000 shares of the company's stock in a transaction dated Tuesday, July 8th. The shares were sold at an average price of $239.59, for a total transaction of $1,437,540.00. Following the completion of the sale, the chief financial officer owned 178,418 shares in the company, valued at approximately $42,747,168.62. This trade represents a 3.25% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 318,380 shares of company stock worth $76,586,604. Company insiders own 19.31% 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.