Workday (NASDAQ:WDAY) Posts Quarterly Earnings Results, Beats Estimates By $0.14 EPS

Workday (NASDAQ:WDAY) issued its quarterly earnings data on Thursday. The software maker reported $2.75 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.61 by $0.14, FiscalAI reports. Workday had a return on equity of 14.75% and a net margin of 8.60%.The business had revenue of $2.65 billion for the quarter, compared to analysts’ expectations of $2.64 billion.

Workday Stock Performance

WDAY stock traded up $2.82 during trading on Thursday, reaching $193.57. The stock had a trading volume of 6,975,531 shares, compared to its average volume of 5,073,489. Workday has a 52 week low of $110.36 and a 52 week high of $249.85. The company has a current ratio of 1.01, a quick ratio of 1.01 and a debt-to-equity ratio of 0.30. The stock’s 50 day moving average is $154.42 and its two-hundred day moving average is $140.14. The firm has a market cap of $47.81 billion, a PE ratio of 60.49, a PEG ratio of 2.07 and a beta of 1.08.

Wall Street Analysts Forecast Growth

A number of research analysts have weighed in on WDAY shares. Summit Redstone set a $275.00 target price on shares of Workday in a research note on Wednesday, May 27th. Cantor Fitzgerald reaffirmed an “overweight” rating on shares of Workday in a research note on Friday, August 21st. Lake Street Capital set a $205.00 target price on Workday in a research note on Friday, August 14th. Guggenheim reissued a “buy” rating and issued a $275.00 price target on shares of Workday in a research note on Friday, August 21st. Finally, Oppenheimer raised their price target on Workday from $165.00 to $220.00 and gave the company an “outperform” rating in a research report on Monday. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating, fifteen have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $189.86.

Insider Buying and Selling at Workday

In other news, CFO Zane Rowe sold 6,000 shares of the business’s stock in a transaction dated Tuesday, July 7th. The stock was sold at an average price of $143.70, for a total transaction of $862,200.00. Following the sale, the chief financial officer owned 288,460 shares in the company, valued at approximately $41,451,702. The trade was a 2.04% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Robert Enslin sold 5,374 shares of the business’s stock in a transaction that occurred on Sunday, July 5th. The stock was sold at an average price of $134.90, for a total value of $724,952.60. Following the sale, the insider owned 239,469 shares of the company’s stock, valued at $32,304,368.10. The trade was a 2.19% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 875,020 shares of company stock valued at $113,938,503. Company insiders own 18.64% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. State Street Corp grew its position in Workday by 1.0% in the 4th quarter. State Street Corp now owns 9,770,707 shares of the software maker’s stock valued at $2,098,552,000 after buying an additional 96,139 shares in the last quarter. Hotchkis & Wiley Capital Management LLC raised its position in shares of Workday by 47.5% during the 3rd quarter. Hotchkis & Wiley Capital Management LLC now owns 5,842,491 shares of the software maker’s stock valued at $1,406,463,000 after acquiring an additional 1,882,391 shares during the last quarter. Generation Investment Management LLP increased its position in shares of Workday by 33.4% during the fourth quarter. Generation Investment Management LLP now owns 4,118,011 shares of the software maker’s stock worth $884,466,000 after acquiring an additional 1,030,616 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in shares of Workday by 41.5% in the 3rd quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 3,761,599 shares of the software maker’s stock valued at $905,530,000 after acquiring an additional 1,103,421 shares during the period. Finally, The Manufacturers Life Insurance Company boosted its position in shares of Workday by 4.4% in the fourth quarter. The Manufacturers Life Insurance Company now owns 2,772,669 shares of the software maker’s stock valued at $595,514,000 after acquiring an additional 116,125 shares during the period. Institutional investors and hedge funds own 89.81% of the company’s stock.

Workday Company Profile

Workday, Inc (NASDAQ: WDAY) is a provider of cloud-based enterprise applications focused on human capital management (HCM) and financial management. Founded in 2005 by Dave Duffield and Aneel Bhusri following their tenure at PeopleSoft, the company develops software-as-a-service solutions that help organizations manage workforce and financial processes in a unified, cloud-native environment. Workday’s platform emphasizes continuous updates, data security, and a configurable architecture aimed at large and mid-sized enterprises.

The company’s product portfolio centers on Workday Human Capital Management and Workday Financial Management, with additional offerings for payroll, talent management, workforce planning and analytics.