Workday (NASDAQ:WDAY) Stock Price Expected to Rise, KeyCorp Analyst Says

Workday (NASDAQ:WDAY) had its price target raised by investment analysts at KeyCorp from $158.00 to $215.00 in a research report issued on Friday,Benzinga reports. The brokerage currently has an “overweight” rating on the software maker’s stock. KeyCorp’s price objective would suggest a potential upside of 11.07% from the company’s previous close.

A number of other equities analysts also recently commented on WDAY. Canaccord Genuity Group boosted their price objective on Workday from $200.00 to $225.00 and gave the stock a “buy” rating in a research report on Tuesday. BTIG Research cut shares of Workday from a “buy” rating to a “neutral” rating in a report on Monday, August 17th. Morgan Stanley boosted their price target on shares of Workday from $145.00 to $180.00 and gave the stock an “underweight” rating in a report on Friday. CLSA initiated coverage on shares of Workday in a report on Monday, July 20th. They set an “underperform” rating and a $92.00 price target for the company. Finally, Bank of America increased their price objective on shares of Workday from $140.00 to $205.00 and gave the company a “neutral” rating in a research report on Wednesday, August 19th. Twenty research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the company currently has an average rating of “Hold” and an average target price of $198.86.

Workday Trading Up 1.5%

NASDAQ:WDAY opened at $193.57 on Friday. Workday has a 12-month low of $110.36 and a 12-month high of $249.85. The firm has a market cap of $47.81 billion, a PE ratio of 60.49, a price-to-earnings-growth ratio of 2.03 and a beta of 1.08. 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 has a fifty day moving average price of $155.95 and a 200 day moving average price of $140.36.

Workday (NASDAQ:WDAY) last issued its quarterly earnings results on Thursday, August 27th. The software maker reported $2.75 earnings per share for the quarter, topping the consensus estimate of $2.61 by $0.14. The company had revenue of $2.65 billion for the quarter, compared to the consensus estimate of $2.64 billion. Workday had a return on equity of 14.75% and a net margin of 8.60%.Workday’s revenue was up 12.8% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.21 EPS. Sell-side analysts anticipate that Workday will post 5.38 earnings per share for the current fiscal year.

Insider Buying and Selling at Workday

In other news, insider Robert Enslin sold 5,374 shares of the business’s stock in a transaction that occurred on Sunday, July 5th. The shares were sold at an average price of $134.90, for a total transaction of $724,952.60. Following the completion of the sale, the insider owned 239,469 shares in the company, valued at approximately $32,304,368.10. The trade was a 2.19% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. 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, major shareholder David A. Duffield sold 107,500 shares of the stock in a transaction on Thursday, July 9th. The shares were sold at an average price of $136.74, for a total transaction of $14,699,550.00. Following the completion of the transaction, the insider directly owned 105,049 shares in the company, valued at $14,364,400.26. This trade represents a 50.58% 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. In the last ninety days, insiders have sold 875,020 shares of company stock worth $113,938,503. 18.64% of the stock is currently owned by corporate insiders.

Institutional Trading of Workday

Institutional investors and hedge funds have recently made changes to their positions in the company. California State Teachers Retirement System increased its position in Workday by 11,770.8% during the second quarter. California State Teachers Retirement System now owns 36,907,426 shares of the software maker’s stock worth $4,518,207,000 after buying an additional 36,596,516 shares during the period. Paralel Advisors LLC purchased a new position in Workday during the 2nd quarter worth $2,178,000. Wedmont Private Capital increased its stake in Workday by 25.9% in the second quarter. Wedmont Private Capital now owns 2,751 shares of the software maker’s stock valued at $337,000 after purchasing an additional 566 shares during the period. Kintra Wealth LLC acquired a new position in Workday in the second quarter valued at $499,000. Finally, Figure 8 Investment Strategies LLC raised its holdings in shares of Workday by 84.2% in the second quarter. Figure 8 Investment Strategies LLC now owns 6,571 shares of the software maker’s stock valued at $804,000 after buying an additional 3,003 shares during the last quarter. 89.81% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Workday

Here are the key news stories impacting Workday this week:

• Positive Sentiment: Workday reported fiscal Q2 adjusted EPS of $2.75, above the roughly $2.61–$2.62 consensus, while revenue reached $2.649 billion, slightly exceeding estimates and increasing 12.8% year over year. Workday Surpasses Q2 Earnings and Revenue Estimates
• Positive Sentiment: Subscription revenue climbed 13.9% to $2.471 billion. Management also said AI-related offerings represented more than 25% of new contract value, reinforcing the company’s positioning in enterprise AI for HR, finance and IT. Workday Fiscal 2027 Second-Quarter Results
• Positive Sentiment: Profitability was a major strength: net income reportedly rose to $632 million from $228 million a year earlier, while operating profit increased 26.2%. Workday also authorized an additional $4 billion share repurchase, which could support per-share results and signal confidence in cash generation. Workday Reports Higher Profit and Revenue
• Positive Sentiment: Canaccord Genuity raised its price target to $225, adding to bullish sentiment following the earnings beat. Canaccord Raises Workday Price Target
• Neutral Sentiment: Management’s outlook broadly met expectations and targets at least two points of non-GAAP margin expansion, but investors are watching whether AI adoption can offset slower growth in the coming years. Workday Signals Future Growth and Margin Targets
• Negative Sentiment: Workday’s projected subscription-revenue growth near 11% for fiscal 2028 implies continued deceleration from current levels, raising valuation concerns for a stock trading at a premium earnings multiple. Workday Outlook Despite AI Demand
• Negative Sentiment: Recent insider activity was heavily weighted toward selling, including substantial sales by founder David Duffield. While such transactions may be planned, they can weigh on investor sentiment.

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.