Workday (NASDAQ:WDAY) Major Shareholder David Duffield Sells 98,971 Shares of Company Stock

Key Points

• Major shareholder David Duffield sold 98,971 Workday shares for approximately $18.66 million at an average price of $188.55, reducing his ownership by 48.51%. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
• Workday shares rose 0.7% to $190.46, while the company’s latest quarterly results exceeded expectations with earnings of $2.75 per share and revenue of $2.65 billion, up 12.8% year over year.
• Analyst sentiment remains mixed, with an average rating of “Hold” and a $206.34 price target. Workday’s planned elimination of about 500 jobs is expected to cost $65 million to $85 million but could improve efficiency and margins over time.

Workday, Inc. (NASDAQ:WDAY - Get Free Report) major shareholder David Duffield sold 98,971 shares of the business's stock in a transaction that occurred on Monday, September 28th. The shares were sold at an average price of $188.55, for a total value of $18,660,982.05. Following the completion of the transaction, the insider owned 105,049 shares of the company's stock, valued at $19,806,988.95. This represents a 48.51% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Large shareholders that own at least 10% of a company's shares are required to disclose their transactions with the SEC.

Workday Stock Up 0.7%

NASDAQ WDAY traded up $1.29 during trading on Wednesday, hitting $190.46. The stock had a trading volume of 2,109,563 shares, compared to its average volume of 4,832,125. Workday, Inc. has a 12 month low of $110.36 and a 12 month high of $247.40. The company has a debt-to-equity ratio of 0.31, a quick ratio of 0.91 and a current ratio of 0.91. The company's 50-day moving average price is $183.74 and its two-hundred day moving average price is $148.65. The company has a market capitalization of $45.90 billion, a PE ratio of 38.63, a P/E/G ratio of 1.90 and a beta of 1.08.

Workday (NASDAQ:WDAY - Get Free Report) last issued its earnings results on Thursday, August 27th. The software maker reported $2.75 earnings per share for the quarter, topping analysts' consensus estimates of $2.61 by $0.14. The business had revenue of $2.65 billion for the quarter, compared to the consensus estimate of $2.64 billion. Workday had a net margin of 12.32% and a return on equity of 20.95%. The firm's revenue for the quarter was up 12.8% on a year-over-year basis. During the same period in the previous year, the company earned $2.21 earnings per share. As a group, sell-side analysts forecast that Workday, Inc. will post 5.3 EPS for the current year.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on the stock. Oppenheimer increased their target price on shares of Workday from $165.00 to $220.00 and gave the stock an "outperform" rating in a report on Monday, August 24th. KeyCorp raised their target price on shares of Workday from $158.00 to $215.00 and gave the company an "overweight" rating in a research report on Friday, August 28th. Morgan Stanley increased their price target on Workday from $145.00 to $180.00 and gave the company an "underweight" rating in a research note on Friday, August 28th. Weiss Ratings upgraded Workday from a "hold (c-)" rating to a "hold (c)" rating in a research report on Friday, September 18th. Finally, CLSA started coverage on Workday in a report on Monday, July 20th. They issued an "underperform" rating and a $92.00 target price for the company. Twenty analysts have rated the stock with a Buy rating, eighteen have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, Workday currently has an average rating of "Hold" and an average price target of $206.34.

Institutional Trading of Workday

Institutional investors and hedge funds have recently modified their holdings of the stock. Auto Owners Insurance Co increased its position in shares of Workday by 25,412.8% during the fourth quarter. Auto Owners Insurance Co now owns 10,230,616 shares of the software maker's stock valued at $2,197,332,000 after acquiring an additional 10,190,516 shares during the last quarter. Janus Henderson Group PLC grew its stake in Workday by 101.4% in the 4th quarter. Janus Henderson Group PLC now owns 5,017,905 shares of the software maker's stock valued at $1,077,537,000 after purchasing an additional 2,525,821 shares during the period. Pictet Asset Management Holding SA grew its stake in Workday by 8.7% in the 1st quarter. Pictet Asset Management Holding SA now owns 2,803,568 shares of the software maker's stock valued at $364,217,000 after purchasing an additional 223,493 shares during the period. Norges Bank purchased a new stake in shares of Workday during the 4th quarter valued at $448,804,000. Finally, Brown Advisory Inc. raised its stake in shares of Workday by 39.7% during the 4th quarter. Brown Advisory Inc. now owns 1,709,736 shares of the software maker's stock worth $367,217,000 after purchasing an additional 486,008 shares during the period. 89.81% of the stock is owned by hedge funds and other institutional investors.

Key Workday News

Here are the key news stories impacting Workday this week:

• Positive Sentiment: William Blair analyst Patrick McIlwee reaffirmed a Buy rating, citing Workday’s discounted valuation, efficiency initiatives and potential for stronger margins. The bullish view supports the stock by suggesting the workforce reduction could improve profitability without undermining long-term growth. Analyst Reaffirms Buy on Workday, Citing Discounted Valuation, Efficiency Gains and Strong Margin Outlook
• Positive Sentiment: Commentary argues that reducing headcount could bolster Workday’s AI strategy by reallocating resources and improving operating leverage. Investors may view the restructuring as evidence that management is prioritizing scalable growth and profitability. Workday: Reduced Headcount Could Further Bolster My AI Thesis
• Neutral Sentiment: Workday was included among stocks attracting market attention on Wednesday, keeping WDAY on traders’ watchlists amid the restructuring and analyst commentary. 4 Stocks to Watch on Wednesday: CAG, MRNA, SPCX, and WDAY
• Negative Sentiment: Workday plans to eliminate approximately 500 positions, or 2.5% of its workforce, primarily within product and technology. This is the company’s second workforce reduction of 2026 and raises concerns about growth execution and employee confidence. Workday Plans to Cut 2.5% of Workforce
• Negative Sentiment: The reorganization is expected to generate approximately $65 million to $85 million in costs, while Workday revised its GAAP margin outlook. Those charges could weigh on reported earnings before the anticipated efficiency benefits materialize. Workday Cuts 2.5% of Workforce, Revises GAAP Margin Outlook

Workday Company Profile

Workday, Inc develops cloud-based enterprise software for managing an organization's people, finances and operations. Its platform is primarily used by businesses, government agencies and educational institutions to support human resources, finance, planning, analytics and related administrative processes.

The company's offerings include Workday Human Capital Management, Financial Management, Adaptive Planning, Spend Management, payroll, recruiting, talent management, learning and workforce analytics.

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