William Blair Has Positive Estimate for Workday Q3 Earnings

Key Points

• William Blair analysts have increased their Q3 2026 earnings per share (EPS) estimate for Workday to $0.90, up from a previous estimate of $0.89, while the full-year earnings estimate stands at $2.63 per share.
• Workday's latest quarterly earnings report surpassed expectations, with an EPS of $2.21, exceeding the consensus estimate of $2.09.
• Workday has a high institutional ownership of 89.81%, with significant recent activity from large investors increasing their stakes in the company.

Workday, Inc. (NASDAQ:WDAY - Free Report) - Research analysts at William Blair raised their Q3 2026 earnings per share (EPS) estimates for shares of Workday in a note issued to investors on Monday, September 22nd. William Blair analyst J. Roberge now expects that the software maker will earn $0.90 per share for the quarter, up from their previous forecast of $0.89. The consensus estimate for Workday's current full-year earnings is $2.63 per share. William Blair also issued estimates for Workday's FY2026 earnings at $3.81 EPS, Q4 2027 earnings at $1.56 EPS and FY2027 earnings at $5.05 EPS.

Workday (NASDAQ:WDAY - Get Free Report) last issued its quarterly earnings results on Thursday, August 21st. The software maker reported $2.21 EPS for the quarter, topping analysts' consensus estimates of $2.09 by $0.12. The company had revenue of $2.35 billion during the quarter, compared to analyst estimates of $2.34 billion. Workday had a return on equity of 9.74% and a net margin of 6.51%.The company's quarterly revenue was up 12.6% compared to the same quarter last year. During the same period in the previous year, the company earned $1.75 earnings per share. Workday has set its FY 2026 guidance at EPS. Q3 2026 guidance at EPS.

Several other analysts have also issued reports on WDAY. Citigroup decreased their price target on shares of Workday from $279.00 to $260.00 and set a "neutral" rating on the stock in a research report on Friday, August 22nd. JMP Securities reissued a "market outperform" rating and set a $315.00 target price on shares of Workday in a research report on Wednesday, September 17th. Barclays boosted their price target on Workday from $285.00 to $288.00 and gave the company an "overweight" rating in a research note on Thursday, September 18th. Bank of America reduced their target price on Workday from $295.00 to $278.00 and set a "buy" rating for the company in a research report on Tuesday, August 19th. Finally, Sanford C. Bernstein reaffirmed an "outperform" rating and set a $304.00 price objective on shares of Workday in a report on Friday, August 22nd. Three research analysts have rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating and eight have assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $287.83.

Workday Trading Down 1.0%

Shares of WDAY stock opened at $240.32 on Wednesday. The firm has a market capitalization of $64.17 billion, a P/E ratio of 111.26, a price-to-earnings-growth ratio of 3.20 and a beta of 1.12. Workday has a 1 year low of $205.33 and a 1 year high of $294.00. The firm's fifty day simple moving average is $229.33 and its 200 day simple moving average is $237.68. The company has a current ratio of 2.10, a quick ratio of 2.10 and a debt-to-equity ratio of 0.33.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in WDAY. Janney Montgomery Scott LLC boosted its holdings in Workday by 5.0% during the first quarter. Janney Montgomery Scott LLC now owns 22,645 shares of the software maker's stock worth $5,288,000 after buying an additional 1,070 shares during the last quarter. Kingswood Wealth Advisors LLC boosted its stake in Workday by 13.9% during the 1st quarter. Kingswood Wealth Advisors LLC now owns 1,136 shares of the software maker's stock worth $265,000 after acquiring an additional 139 shares during the last quarter. Nisa Investment Advisors LLC grew its holdings in Workday by 33.8% during the first quarter. Nisa Investment Advisors LLC now owns 32,055 shares of the software maker's stock valued at $7,486,000 after purchasing an additional 8,093 shares during the period. Sowell Financial Services LLC bought a new stake in Workday in the first quarter valued at approximately $290,000. Finally, D.A. Davidson & CO. increased its stake in Workday by 27.8% in the first quarter. D.A. Davidson & CO. now owns 1,601 shares of the software maker's stock valued at $374,000 after purchasing an additional 348 shares in the last quarter. Institutional investors and hedge funds own 89.81% of the company's stock.

Insider Activity

In related news, insider Richard Harry Sauer sold 1,160 shares of the business's stock in a transaction that occurred on Wednesday, September 17th. The shares were sold at an average price of $235.41, for a total transaction of $273,075.60. Following the completion of the sale, the insider directly owned 95,756 shares of the company's stock, valued at $22,541,919.96. The trade was a 1.20% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, CEO Carl M. Eschenbach sold 6,250 shares of the firm's stock in a transaction that occurred 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 completion of the transaction, the chief executive officer directly owned 1,472 shares in the company, valued at approximately $352,440.96. The trade was a 80.94% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 254,053 shares of company stock worth $59,011,015. Corporate insiders own 20.00% 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.

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