Workday (NASDAQ:WDAY) Hits New 52-Week Low – What’s Next?

Workday, Inc. (NASDAQ:WDAY)’s stock price hit a new 52-week low on Tuesday . The company traded as low as $184.00 and last traded at $183.8340, with a volume of 241644 shares traded. The stock had previously closed at $186.86.

Wall Street Analysts Forecast Growth

A number of research analysts recently commented on WDAY shares. DA Davidson lowered their price objective on shares of Workday from $260.00 to $250.00 and set a “hold” rating on the stock in a research note on Wednesday, November 26th. The Goldman Sachs Group began coverage on Workday in a research report on Monday, January 12th. They set a “neutral” rating and a $238.00 price target on the stock. Needham & Company LLC reaffirmed a “buy” rating and set a $300.00 target price on shares of Workday in a research note on Wednesday, November 26th. Macquarie reiterated a “buy” rating on shares of Workday in a research report on Wednesday, November 26th. Finally, Raymond James Financial initiated coverage on shares of Workday in a report on Friday, November 21st. They issued a “market perform” rating for the company. Two research analysts have rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating and thirteen have assigned a Hold rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $278.09.

Workday Trading Down 2.7%

The company has a current ratio of 1.83, a quick ratio of 1.83 and a debt-to-equity ratio of 0.34. The stock has a market cap of $47.82 billion, a price-to-earnings ratio of 76.45, a P/E/G ratio of 2.11 and a beta of 1.14. The company has a fifty day simple moving average of $215.59 and a 200-day simple moving average of $226.48.

Workday (NASDAQ:WDAY) last released its earnings results on Tuesday, November 25th. The software maker reported $2.32 earnings per share for the quarter, topping the consensus estimate of $2.17 by $0.15. The business had revenue of $2.43 billion for the quarter, compared to the consensus estimate of $2.42 billion. Workday had a net margin of 6.95% and a return on equity of 10.50%. The firm’s quarterly revenue was up 12.6% compared to the same quarter last year. During the same period last year, the firm posted $1.89 earnings per share. On average, research analysts forecast that Workday, Inc. will post 2.63 earnings per share for the current fiscal year.

Insider Activity at Workday

In other news, CFO Zane Rowe sold 6,000 shares of the firm’s stock in a transaction on Tuesday, January 6th. The stock was 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 of the company’s stock, valued at $33,224,232.50. This trade represents a 3.63% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, insider Gerrit S. Kazmaier sold 3,759 shares of the stock in a transaction dated Tuesday, January 6th. The stock was sold at an average price of $208.73, for a total value of $784,616.07. Following the completion of the sale, the insider directly owned 105,167 shares of the company’s stock, valued at approximately $21,951,507.91. This represents a 3.45% 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 worth $78,866,401. Insiders own 20.00% of the company’s stock.

Institutional Investors Weigh In On Workday

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. AlphaQuest LLC increased its stake in shares of Workday by 636.7% in the 2nd quarter. AlphaQuest LLC now owns 1,886 shares of the software maker’s stock valued at $453,000 after acquiring an additional 1,630 shares during the last quarter. PKO Investment Management Joint Stock Co acquired a new position in Workday during the third quarter valued at approximately $1,805,000. Norges Bank bought a new stake in Workday in the second quarter valued at approximately $442,702,000. EULAV Asset Management raised its holdings in Workday by 69.4% in the third quarter. EULAV Asset Management now owns 61,000 shares of the software maker’s stock worth $14,685,000 after purchasing an additional 25,000 shares during the period. Finally, Chicago Capital LLC boosted its position in shares of Workday by 2.2% during the second quarter. Chicago Capital LLC now owns 175,802 shares of the software maker’s stock worth $42,193,000 after purchasing an additional 3,824 shares in the last quarter. Hedge funds and other 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.