Workday (NASDAQ:WDAY) Announces Earnings Results, Beats Expectations By $0.20 EPS

Workday (NASDAQ:WDAY) issued its quarterly earnings data on Tuesday. The software maker reported $2.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.12 by $0.20, FiscalAI reports. The company had revenue of $2.43 billion for the quarter, compared to the consensus estimate of $2.42 billion. Workday had a net margin of 6.51% and a return on equity of 9.74%.

Workday Price Performance

WDAY stock traded up $7.05 on Tuesday, reaching $233.69. 5,020,547 shares of the company’s stock were exchanged, compared to its average volume of 2,582,619. The stock has a fifty day moving average of $234.05 and a 200-day moving average of $236.79. The firm has a market cap of $62.40 billion, a PE ratio of 108.19, a P/E/G ratio of 2.81 and a beta of 1.11. The company has a quick ratio of 2.10, a current ratio of 2.10 and a debt-to-equity ratio of 0.33. Workday has a twelve month low of $205.33 and a twelve month high of $294.00.

Analyst Upgrades and Downgrades

Several brokerages have recently weighed in on WDAY. Stifel Nicolaus decreased their target price on shares of Workday from $275.00 to $255.00 and set a “hold” rating for the company in a research note on Friday, August 22nd. Barclays increased their price objective on Workday from $285.00 to $288.00 and gave the stock an “overweight” rating in a research report on Thursday, September 18th. Citigroup boosted their target price on Workday from $260.00 to $261.00 and gave the company a “neutral” rating in a report on Monday, November 3rd. JPMorgan Chase & Co. cut their price target on Workday from $295.00 to $290.00 and set an “overweight” rating for the company in a research note on Friday, August 22nd. Finally, Canaccord Genuity Group lowered their price objective on shares of Workday from $330.00 to $275.00 and set a “buy” rating on the stock in a research report on Friday, August 22nd. Two investment analysts have rated the stock with a Strong Buy rating, twenty-three have given a Buy rating and eleven have issued a Hold rating to the stock. According to MarketBeat.com, Workday presently has an average rating of “Moderate Buy” and a consensus target price of $287.86.

Insider Activity at Workday

In related news, major shareholder David A. Duffield sold 75,053 shares of Workday stock in a transaction that occurred on Wednesday, October 8th. The stock was sold at an average price of $236.34, for a total transaction of $17,738,026.02. Following the completion of the transaction, the insider directly owned 102,997 shares in the company, valued at $24,342,310.98. The trade was a 42.15% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Michael M. Mcnamara sold 5,393 shares of the company’s stock in a transaction on Friday, October 10th. The shares were sold at an average price of $235.16, for a total value of $1,268,217.88. Following the completion of the sale, the director owned 24,078 shares in the company, valued at $5,662,182.48. This represents a 18.30% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 264,933 shares of company stock worth $61,475,760. 20.00% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Brighton Jones LLC grew its position in Workday by 230.2% during the fourth quarter. Brighton Jones LLC now owns 4,005 shares of the software maker’s stock valued at $1,033,000 after acquiring an additional 2,792 shares during the period. Sivia Capital Partners LLC purchased a new position in shares of Workday in the 2nd quarter worth about $281,000. Benjamin Edwards Inc. lifted its stake in shares of Workday by 37.7% in the 2nd quarter. Benjamin Edwards Inc. now owns 2,079 shares of the software maker’s stock valued at $499,000 after purchasing an additional 569 shares in the last quarter. Engineers Gate Manager LP grew its holdings in shares of Workday by 264.4% during the 2nd quarter. Engineers Gate Manager LP now owns 39,626 shares of the software maker’s stock worth $9,510,000 after purchasing an additional 28,753 shares during the period. Finally, EP Wealth Advisors LLC increased its position in Workday by 45.0% during the 2nd quarter. EP Wealth Advisors LLC now owns 5,813 shares of the software maker’s stock worth $1,395,000 after purchasing an additional 1,803 shares in the last quarter. Institutional investors and hedge funds own 89.81% 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.