Guggenheim Reiterates "Neutral" Rating for Workday (NASDAQ:WDAY)

Key Points

• Guggenheim has reaffirmed its "neutral" rating for Workday (NASDAQ: WDAY) while other analysts have adjusted their price targets, with UBS lowering theirs from $285 to $250.
• Workday's latest earnings report showed a net income of $2.21 EPS, slightly exceeding expectations, alongside a year-over-year revenue growth of 12.6% to $2.35 billion.
• Despite mixed ratings from analysts, Workday holds a consensus target price of $285.96, with a majority classifying it as a "Moderate Buy."

Workday (NASDAQ:WDAY - Get Free Report)'s stock had its "neutral" rating reaffirmed by equities research analysts at Guggenheim in a report released on Friday,Benzinga reports.

WDAY has been the topic of several other reports. UBS Group decreased their price target on shares of Workday from $285.00 to $250.00 and set a "neutral" rating on the stock in a research note on Tuesday, August 12th. Loop Capital cut their price objective on shares of Workday from $285.00 to $250.00 and set a "hold" rating for the company in a research report on Friday, May 23rd. Wall Street Zen raised shares of Workday from a "hold" rating to a "buy" rating in a research report on Sunday, July 13th. Morgan Stanley set a $255.00 price objective on shares of Workday and gave the stock an "equal weight" rating in a research report on Friday, May 23rd. Finally, BMO Capital Markets reduced their price target on shares of Workday from $314.00 to $285.00 and set an "outperform" rating on the stock in a research note on Friday. Two investment analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $285.96.

Workday Stock Performance

Shares of WDAY stock opened at $227.58 on Friday. The stock has a market cap of $60.76 billion, a P/E ratio of 125.73, a P/E/G ratio of 3.44 and a beta of 1.24. The company has a debt-to-equity ratio of 0.33, a current ratio of 2.07 and a quick ratio of 2.07. The company has a fifty day moving average price of $232.85 and a two-hundred day moving average price of $242.98. Workday has a one year low of $205.33 and a one year high of $294.00.

Workday (NASDAQ:WDAY - Get Free Report) last issued its quarterly earnings data on Thursday, August 21st. The software maker reported $2.21 earnings per share for the quarter, beating the consensus estimate of $2.09 by $0.12. The company had revenue of $2.35 billion for the quarter, compared to analyst estimates of $2.34 billion. Workday had a net margin of 5.60% and a return on equity of 8.00%. The company's revenue was up 12.6% on a year-over-year basis. During the same period in the prior year, the firm earned $1.75 earnings per share. Workday has set its FY 2026 guidance at EPS. Q3 2026 guidance at EPS. As a group, equities analysts predict that Workday will post 2.63 EPS for the current year.

Insider Buying and Selling

In related news, CFO Zane Rowe sold 6,000 shares of the business's stock in a transaction on 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 transaction, the chief financial officer owned 178,418 shares in the company, valued at $42,747,168.62. The trade was a 3.25% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Carl M. Eschenbach sold 6,250 shares of the business's stock in a transaction on Tuesday, July 1st. The shares were sold at an average price of $239.43, for a total transaction of $1,496,437.50. Following the sale, the chief executive officer owned 1,472 shares of the company's stock, valued at $352,440.96. This trade represents a 80.94% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 329,005 shares of company stock worth $79,203,523. Corporate insiders own 19.31% of the company's stock.

Institutional Trading of Workday

Several institutional investors have recently made changes to their positions in WDAY. B. Riley Wealth Advisors Inc. bought a new position in Workday during the second quarter valued at about $318,000. Newbridge Financial Services Group Inc. bought a new position in Workday during the second quarter valued at about $98,000. Advisory Services Network LLC increased its stake in shares of Workday by 271.7% during the 2nd quarter. Advisory Services Network LLC now owns 3,869 shares of the software maker's stock worth $887,000 after purchasing an additional 2,828 shares during the last quarter. Anchor Investment Management LLC increased its stake in shares of Workday by 8.5% during the 2nd quarter. Anchor Investment Management LLC now owns 7,872 shares of the software maker's stock worth $1,889,000 after purchasing an additional 617 shares during the last quarter. Finally, State of Wyoming purchased a new stake in shares of Workday during the 2nd quarter worth approximately $864,000. Institutional investors own 89.81% of the company's stock.

Workday Company 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.

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