Workday (NASDAQ:WDAY) Trading Down 4.6% - Here's Why

Workday, Inc. (NASDAQ:WDAY - Get Free Report)'s stock price was down 4.6% during mid-day trading on Thursday . The stock traded as low as $227.59 and last traded at $229.21. Approximately 1,385,120 shares traded hands during mid-day trading, a decline of 44% from the average daily volume of 2,468,959 shares. The stock had previously closed at $240.17.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on WDAY shares. Needham & Company LLC restated a "buy" rating and issued a $300.00 target price on shares of Workday in a report on Wednesday, May 21st. Mizuho decreased their target price on Workday from $320.00 to $275.00 and set an "outperform" rating on the stock in a research note on Tuesday, April 15th. Morgan Stanley set a $255.00 price target on Workday and gave the company an "equal weight" rating in a research report on Friday, May 23rd. KeyCorp reduced their price target on Workday from $335.00 to $325.00 and set an "overweight" rating on the stock in a research report on Friday, May 23rd. Finally, Westpark Capital raised their target price on Workday from $315.00 to $328.00 and gave the stock a "buy" rating in a research report on Friday, May 23rd. One investment analyst has rated the stock with a sell rating, eight have issued a hold rating, eighteen have issued a buy rating and two have given a strong buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $296.88.

Workday Price Performance

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 50 day moving average price of $248.80 and a 200 day moving average price of $248.82. The firm has a market cap of $61.22 billion, a PE ratio of 126.69, a PEG ratio of 3.63 and a beta of 1.21.

Workday (NASDAQ:WDAY - Get Free Report) last released its quarterly earnings data on Thursday, May 22nd. The software maker reported $2.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.01 by $0.22. The firm had revenue of $2.24 billion during the quarter, compared to analysts' expectations of $2.22 billion. Workday had a return on equity of 8.00% and a net margin of 5.60%. Workday's revenue was up 12.6% compared to the same quarter last year. During the same quarter in the prior year, the business posted $1.74 earnings per share. Sell-side analysts expect that Workday, Inc. will post 2.63 EPS for the current fiscal year.

Insider Activity at Workday

In other Workday news, 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 directly owned 1,472 shares in the company, valued at approximately $352,440.96. The trade was a 80.94% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, major shareholder David A. Duffield sold 72,551 shares of the business's stock in a transaction on Tuesday, July 8th. The stock was sold at an average price of $239.61, for a total transaction of $17,383,945.11. Following the sale, the insider owned 102,997 shares in the company, valued at $24,679,111.17. The trade was a 41.33% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 328,554 shares of company stock valued at $79,097,601 over the last 90 days. Company insiders own 19.31% of the company's stock.

Institutional Investors Weigh In On Workday

Several institutional investors have recently made changes to their positions in WDAY. Cornerstone Planning Group LLC raised its stake in shares of 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 buying an additional 54 shares during the last quarter. Dagco Inc. acquired a new position in shares of Workday during the 1st quarter worth $31,000. Farmers & Merchants Investments Inc. acquired a new position in shares of Workday during the 1st quarter worth $32,000. TCTC Holdings LLC acquired a new position in shares of Workday during the 4th quarter worth $35,000. Finally, Financial Management Professionals Inc. raised its stake in shares of 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 buying an additional 54 shares during the last quarter. 89.81% of the stock is currently owned by hedge funds and other institutional investors.

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.