Workday (NASDAQ:WDAY) Major Shareholder Sells 100,780 Shares

Key Points

• Major shareholder David Duffield sold 100,780 Workday shares for approximately $18.7 million under a pre-arranged Rule 10b5-1 trading plan. His remaining stake fell by 48.96% to 105,049 shares.
• Workday reported stronger-than-expected quarterly results, with adjusted earnings of $2.75 per share versus the $2.61 consensus and revenue of $2.65 billion, up 12.8% year over year.
• Shares recently traded at $194.21, while analysts’ consensus target is $206.34. Institutional investors own approximately 89.81% of the company, and analyst sentiment is mixed overall with a consensus “Hold” rating.

Workday, Inc. (NASDAQ:WDAY - Get Free Report) major shareholder David Duffield sold 100,780 shares of the company's stock in a transaction on Thursday, September 10th. The stock was sold at an average price of $185.64, for a total transaction of $18,708,799.20. Following the transaction, the insider owned 105,049 shares of the company's stock, valued at $19,501,296.36. This represents a 48.96% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Major shareholders that own 10% or more of a company's shares are required to disclose their sales and purchases with the SEC.

Workday Price Performance

WDAY traded up $8.51 during midday trading on Monday, hitting $194.21. 2,885,773 shares of the company traded hands, compared to its average volume of 4,989,837. The business has a 50 day simple moving average of $171.85 and a two-hundred day simple moving average of $144.34. Workday, Inc. has a 52-week low of $110.36 and a 52-week high of $249.85. The company has a market capitalization of $46.80 billion, a price-to-earnings ratio of 39.39, a PEG ratio of 1.87 and a beta of 1.08. The company has a current ratio of 0.91, a quick ratio of 0.91 and a debt-to-equity ratio of 0.31.

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

Hedge Funds Weigh In On Workday

Several institutional investors and hedge funds have recently bought and sold shares of WDAY. DT Investment Partners LLC acquired a new position in Workday in the fourth quarter valued at approximately $27,000. Western Wealth Management LLC acquired a new stake in Workday during the first quarter worth $39,000. Manning & Napier Advisors LLC acquired a new stake in Workday during the second quarter worth $42,000. Lloyd Advisory Services LLC. purchased a new stake in Workday in the fourth quarter valued at $47,000. Finally, Elevation Wealth Partners LLC raised its position in Workday by 1,097.0% in the second quarter. Elevation Wealth Partners LLC now owns 395 shares of the software maker's stock valued at $48,000 after purchasing an additional 362 shares during the period. 89.81% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several equities research analysts have issued reports on the stock. Guggenheim reaffirmed a "buy" rating and set a $275.00 target price on shares of Workday in a research note on Friday, August 21st. UBS Group set a $230.00 target price on shares of Workday in a research report on Friday, August 28th. Wolfe Research reissued an "outperform" rating and issued a $160.00 price target on shares of Workday in a research note on Friday, May 22nd. Robert W. Baird boosted their price target on shares of Workday from $190.00 to $215.00 and gave the stock an "outperform" rating in a research report on Friday, August 14th. Finally, Wall Street Zen raised shares of Workday from a "hold" rating to a "buy" rating in a research note on Saturday, September 5th. Twenty equities research analysts have rated the stock with a Buy rating, eighteen have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus price target of $206.34.

About Workday

Workday, Inc develops cloud-based enterprise software designed to help organizations manage finance, human resources and related business operations. Its platform provides tools for financial management, accounting, procurement, expenses, payroll, workforce management, recruiting, talent management, employee experience and enterprise planning.

The company also offers analytics, reporting and artificial intelligence capabilities that support budgeting, forecasting, workforce planning and business decision-making.

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