William Blair Upgrades Workday (NASDAQ:WDAY) to Strong-Buy

Workday (NASDAQ:WDAY) was upgraded by investment analysts at William Blair to a “strong-buy” rating in a report released on Friday,Zacks.com reports.

Several other research firms have also weighed in on WDAY. Morgan Stanley decreased their price target on Workday from $280.00 to $200.00 and set an “equal weight” rating on the stock in a report on Monday, February 23rd. Needham & Company LLC cut their price objective on Workday from $300.00 to $180.00 and set a “buy” rating on the stock in a research report on Friday. Citigroup reaffirmed a “market perform” rating on shares of Workday in a research report on Friday. Citizens Jmp downgraded Workday from an “outperform” rating to a “market perform” rating in a research report on Wednesday, February 18th. Finally, Deutsche Bank Aktiengesellschaft cut their price objective on Workday from $265.00 to $190.00 and set a “buy” rating on the stock in a research report on Wednesday, February 18th. One analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $189.48.

Workday Stock Performance

NASDAQ:WDAY opened at $128.14 on Friday. The stock’s fifty day moving average is $125.91 and its 200 day moving average is $169.28. Workday has a fifty-two week low of $110.36 and a fifty-two week high of $257.09. The firm has a market capitalization of $32.93 billion, a PE ratio of 40.04, a PEG ratio of 1.18 and a beta of 1.04. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.32 and a current ratio of 1.32.

Workday (NASDAQ:WDAY) last released its quarterly earnings results on Thursday, May 21st. The software maker reported $2.66 earnings per share for the quarter, beating the consensus estimate of $2.51 by $0.15. Workday had a return on equity of 13.92% and a net margin of 8.60%.The company had revenue of $2.54 billion for the quarter, compared to analyst estimates of $2.52 billion. During the same quarter in the prior year, the firm posted $2.23 EPS. Workday’s quarterly revenue was up 13.5% compared to the same quarter last year. On average, sell-side analysts anticipate that Workday will post 5.11 earnings per share for the current year.

Insider Activity at Workday

In related news, CAO Mark S. Garfield sold 1,585 shares of the firm’s stock in a transaction dated Friday, April 10th. The stock was sold at an average price of $113.05, for a total transaction of $179,184.25. Following the sale, the chief accounting officer owned 31,467 shares of the company’s stock, valued at $3,557,344.35. This trade represents a 4.80% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Gerrit S. Kazmaier sold 9,356 shares of the firm’s stock in a transaction dated Tuesday, April 7th. The shares were sold at an average price of $128.39, for a total value of $1,201,216.84. Following the sale, the insider directly owned 165,074 shares in the company, valued at approximately $21,193,850.86. The trade was a 5.36% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 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. Insiders have sold 989,814 shares of company stock valued at $131,576,291 over the last 90 days. Company insiders own 18.64% of the company’s stock.

Institutional Investors Weigh In On Workday

A number of institutional investors have recently added to or reduced their stakes in the stock. Finivi Inc. boosted its position in Workday by 3.3% during the third quarter. Finivi Inc. now owns 1,516 shares of the software maker’s stock valued at $365,000 after purchasing an additional 48 shares in the last quarter. Strategic Investment Advisors MI boosted its position in Workday by 1.6% during the second quarter. Strategic Investment Advisors MI now owns 3,263 shares of the software maker’s stock valued at $777,000 after purchasing an additional 50 shares in the last quarter. Legacy Financial Advisors Inc. raised its stake in Workday by 5.1% in the third quarter. Legacy Financial Advisors Inc. now owns 1,113 shares of the software maker’s stock valued at $268,000 after buying an additional 54 shares during the last quarter. Sagespring Wealth Partners LLC raised its stake in Workday by 3.0% in the fourth quarter. Sagespring Wealth Partners LLC now owns 2,052 shares of the software maker’s stock valued at $441,000 after buying an additional 59 shares during the last quarter. Finally, CVA Family Office LLC raised its stake in Workday by 35.3% in the fourth quarter. CVA Family Office LLC now owns 249 shares of the software maker’s stock valued at $53,000 after buying an additional 65 shares during the last quarter. Institutional investors own 89.81% of the company’s stock.

Trending Headlines about Workday

Here are the key news stories impacting Workday this week:

• Positive Sentiment: Workday posted Q1 adjusted EPS of $2.66 versus estimates of $2.49, while revenue rose 13.5% year over year to $2.54 billion, topping forecasts. Workday Announces Fiscal 2027 First Quarter Financial Results
• Positive Sentiment: Management raised its full-year non-GAAP operating margin guidance to 30.5%, signaling stronger profitability and helping fuel the stock’s rebound. Workday pops as Q1 results guidance top estimates
• Positive Sentiment: Analysts highlighted growing AI monetization, noting that Workday’s AI features and agentic roadmap are starting to show up in contract value and customer adoption. Workday’s AI Momentum Continues as Solid Q1 Results Posted, RBC Says
• Positive Sentiment: Several Wall Street firms responded with constructive commentary and price-target updates after the beat, reinforcing sentiment that the quarter was solid and the setup remains favorable. These Analysts Revise Their Forecasts On Workday Following Q1 Results
• Neutral Sentiment: Some analysts remain cautious, calling the post-earnings move more of a relief rally and noting that the stock is still expensive relative to fundamentals. WDAY Stock’s Gains Following Q1 Beat Fails to Unite Wall Street – This Analyst Believes Post-Earnings Rise Feels More Like Relief Rally
• Negative Sentiment: Citi and other firms trimmed price targets, reflecting lingering concerns about valuation and execution even after the strong quarter. Workday Rallies On ‘Low Bar’ Beat As AI Starts To Show Up In Contract Value

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.