Beyond The Numbers: 26 Analysts Discuss Workday Stock

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Across the recent three months, 26 analysts have shared their insights on Workday , expressing a variety of opinions spanning from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 7 11 8 0 0
Last 30D 0 1 0 0 0
1M Ago 2 1 1 0 0
2M Ago 3 8 6 0 0
3M Ago 2 1 1 0 0

Analysts have set 12-month price targets for Workday, revealing an average target of $306.12, a high estimate of $360.00, and a low estimate of $230.00. This upward trend is evident, with the current average reflecting a 1.66% increase from the previous average price target of $301.12.

price target chart

Decoding Analyst Ratings: A Detailed Look

The perception of Workday by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |--------------------|------------------------|---------------|-----------------|--------------------|--------------------| |Siti Panigrahi |Mizuho |Lowers |Outperform | $275.00|$320.00 | |Gil Luria |DA Davidson |Lowers |Neutral | $230.00|$270.00 | |Brent Thill |Jefferies |Lowers |Buy | $325.00|$350.00 | |Scott Berg |Needham |Maintains |Buy | $300.00|$300.00 | | Allan Verkhovski |Scotiabank |Lowers |Sector Outperform| $305.00|$355.00 | | Allan Verkhovski |Scotiabank |Raises |Sector Outperform| $355.00|$340.00 | |Daniel Jester |BMO Capital |Raises |Outperform | $314.00|$300.00 | |Yun Kim |Loop Capital |Raises |Hold | $285.00|$260.00 | |Karl Keirstead |UBS |Raises |Neutral | $285.00|$255.00 | |Kash Rangan |Goldman Sachs |Raises |Buy | $345.00|$310.00 | |David Hynes |Canaccord Genuity |Raises |Buy | $330.00|$300.00 | |Rishi Jaluria |RBC Capital |Raises |Outperform | $340.00|$320.00 | |Mark Murphy |JP Morgan |Raises |Overweight | $310.00|$285.00 | |Patrick Walravens |Citizens Capital Markets|Maintains |Market Outperform| $315.00|$315.00 | |Michael Turrin |Wells Fargo |Raises |Overweight | $360.00|$330.00 | |Brad Reback |Stifel |Raises |Hold | $310.00|$270.00 | |Jason Celino |Keybanc |Raises |Overweight | $335.00|$305.00 | |Brian Schwartz |Oppenheimer |Raises |Outperform | $320.00|$300.00 | |Scott Berg |Needham |Maintains |Buy | $300.00|$300.00 | |Brent Bracelin |Piper Sandler |Raises |Neutral | $290.00|$270.00 | |Yun Kim |Loop Capital |Raises |Hold | $260.00|$242.00 | |Keith Weiss |Morgan Stanley |Lowers |Equal-Weight | $275.00|$330.00 | |Reni Benjamin |JMP Securities |Maintains |Market Outperform| $315.00|$315.00 | |Scott Berg |Needham |Maintains |Buy | $300.00|$300.00 | |Kash Rangan |Goldman Sachs |Raises |Buy | $310.00|$300.00 | |Steven Enders |Citigroup |Lowers |Neutral | $270.00|$287.00 |

Key Insights:

  • Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Workday. This insight gives a snapshot of analysts' perspectives on the current state of the company.
  • Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Workday compared to the broader market.
  • Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Capture valuable insights into Workday's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Workday analyst ratings.

Discovering Workday: A Closer Look

Workday is a software company that offers human capital management, or HCM, financial management, and business planning solutions for enterprises. Known for being a cloud-only software provider, Workday was founded in 2005 and is headquartered in Pleasanton, California.

Breaking Down Workday's Financial Performance

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Revenue Growth: Over the 3M period, Workday showcased positive performance, achieving a revenue growth rate of 15.04% as of 31 January, 2025. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: Workday's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 4.25% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Workday's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 1.06%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 0.55%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: With a below-average debt-to-equity ratio of 0.37, Workday adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Basics of Analyst Ratings

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

Which Stocks Are Analysts Recommending Now?

Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. Click here to stay ahead of the market.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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