Workday (NASDAQ:WDAY) Posts Earnings Results, Beats Expectations By $996.70 EPS

Workday (NASDAQ:WDAY) posted its earnings results on Tuesday. The software maker reported $999.00 earnings per share for the quarter, topping analysts’ consensus estimates of $2.30 by $996.70, Zacks reports. Workday had a net margin of 6.95% and a return on equity of 10.50%.

Workday Stock Performance

Workday stock traded up $1.13 during trading on Tuesday, hitting $130.34. The stock had a trading volume of 6,692,085 shares, compared to its average volume of 4,391,336. The stock’s 50 day moving average is $186.18 and its two-hundred day moving average is $214.16. Workday has a 1 year low of $125.83 and a 1 year high of $281.00. The stock has a market cap of $34.28 billion, a price-to-earnings ratio of 54.76, a price-to-earnings-growth ratio of 1.18 and a beta of 1.13. The company has a quick ratio of 1.83, a current ratio of 1.83 and a debt-to-equity ratio of 0.34.

Analysts Set New Price Targets

Several equities research analysts recently issued reports on the company. KeyCorp decreased their price target on Workday from $285.00 to $260.00 and set an “overweight” rating for the company in a report on Wednesday, November 26th. Wall Street Zen upgraded shares of Workday from a “buy” rating to a “strong-buy” rating in a report on Saturday, February 14th. Stifel Nicolaus set a $175.00 price target on shares of Workday in a research report on Monday, February 9th. Rosenblatt Securities raised shares of Workday from a “hold” rating to a “buy” rating and reduced their price objective for the stock from $235.00 to $180.00 in a research report on Tuesday, February 17th. Finally, Barclays dropped their target price on shares of Workday from $280.00 to $275.00 and set an “overweight” rating on the stock in a research report on Monday, January 12th. One analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and thirteen have issued a Hold rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $240.25.

Key Stories Impacting Workday

Here are the key news stories impacting Workday this week:

• Positive Sentiment: JPMorgan trimmed its price target from $270 to $230 but kept an “Overweight” rating, still implying a large upside vs. current levels — a vote of confidence from a major bank that can support buyers. Benzinga: JPMorgan lowers PT but keeps Overweight
• Positive Sentiment: Workday announced the return of its founder as CEO with an increased AI emphasis — a leadership move investors often view as positive when coupled with a clear strategic focus on growth areas like AI. Yahoo Finance: Founder returns as CEO
• Neutral Sentiment: Workday reports Q4 after the close today; analysts have been updating forecasts and price targets ahead of the print, which increases short-term volatility — earnings execution and guidance will likely be the dominant immediate driver. Benzinga: Forecast changes ahead of Q4
• Neutral Sentiment: Market betting tools and services are showing varied odds for an earnings beat — short-term option and probability markets can amplify intraday swings around the print. TipRanks: Polymarket odds for earnings
• Neutral Sentiment: Broader tech weakness and “apps reset” themes leave software names oversold; some analyst decks and screens flag WDAY as having significant upside if sentiment normalizes — a potential longer-term positive but not a near-term certainty. MarketBeat: Tech selloff / oversold stocks (WDAY flagged)
• Negative Sentiment: Jefferies downgraded and sharply cut targets ahead of the quarter, explicitly citing AI-related competitive/fundamental concerns — cuts from a well-known shop can trigger selling and reduce confidence among momentum-driven holders. TipRanks: Jefferies cuts target, cites AI fears MSN: Jefferies downgrade reported
• Negative Sentiment: High-profile commentators like Jim Cramer signaling they are “not buyers” can weigh on sentiment and retail demand in the near term, contributing to downside pressure. InsiderMonkey: Jim Cramer not a buyer

Insider Transactions at Workday

In other news, insider Gerrit S. Kazmaier sold 3,759 shares of the company’s stock in a transaction on Tuesday, January 6th. The stock was sold at an average price of $208.73, for a total transaction of $784,616.07. Following the transaction, the insider owned 105,167 shares of the company’s stock, valued at $21,951,507.91. This represents a 3.45% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Zane Rowe sold 6,000 shares of the business’s stock in a transaction dated Tuesday, January 6th. The shares were sold at an average price of $208.75, for a total value of $1,252,500.00. Following the completion of the sale, the chief financial officer owned 159,158 shares in the company, valued at $33,224,232.50. This represents a 3.63% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 370,321 shares of company stock valued at $78,866,401. 19.31% of the stock is currently owned by insiders.

Institutional Trading of Workday

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Rakuten Securities Inc. purchased a new stake in Workday during the 2nd quarter valued at $25,000. Measured Wealth Private Client Group LLC purchased a new stake in shares of Workday during the third quarter worth about $26,000. JPL Wealth Management LLC bought a new stake in shares of Workday in the third quarter worth about $30,000. Quarry LP purchased a new position in Workday during the 4th quarter valued at about $36,000. Finally, Aster Capital Management DIFC Ltd purchased a new position in Workday during the 4th quarter valued at about $38,000. Institutional investors own 89.81% of the company’s stock.

About Workday

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.