Workday (NASDAQ:WDAY) Sets New 52-Week Low – Time to Sell?

Shares of Workday, Inc. (NASDAQ:WDAY) reached a new 52-week low on Wednesday . The stock traded as low as $157.00 and last traded at $161.17, with a volume of 5503885 shares trading hands. The stock had previously closed at $173.38.

Key Workday News

Here are the key news stories impacting Workday this week:

• Positive Sentiment: Needham reaffirmed a “buy” rating and a $300 price target, highlighting continued bullish sell‑side conviction and a large implied upside that can attract buyers. Needham Reaffirms Buy on Workday
• Positive Sentiment: Shares showed recent upside momentum (a ~5.6% jump in the prior session) with above‑average volume — technical strength that can sustain short‑term buying interest. Strength Seen in Workday
• Positive Sentiment: Corporate hiring/PR: Workday expanded veteran hiring tools and positioned shares as undervalued in a company release — a modest positive for investor perception and ESG/hiring narrative. Workday Expands Veteran Hiring Tools
• Neutral Sentiment: Piper Sandler moved its rating to “hold” — not a stamp of confidence but removes a prior downgrade risk; may temper near‑term upside. Piper Sandler Upgrades to Hold
• Neutral Sentiment: Several Zacks pieces note analysts are broadly optimistic and retail interest is high — useful context but not new fundamentals; these stories can amplify trading volatility more than change fundamentals. Is Workday a Buy?
• Neutral Sentiment: Another Zacks note summarizes why WDAY is trending among users — useful for sentiment tracking but mixed on immediate price impact. Here Is What to Know Beyond Why Workday Is Trending
• Negative Sentiment: Workday announced cuts of roughly 400 jobs (~2% of workforce), mainly in customer‑service roles, signaling near‑term cost action but also raising execution and morale risks; layoffs were cited alongside guidance comments. Workday Cuts 400 Jobs
• Negative Sentiment: Company warned of a wider FY26 GAAP vs. non‑GAAP margin gap — investors often penalize such disclosure because it can signal pressure on GAAP profitability and complicate modeling. Workday Flags Wider FY26 GAAP vs Non-GAAP Margin Gap
• Negative Sentiment: Broader competitive risk: OpenAI’s new Frontier enterprise agent platform could layer on top of or displace some enterprise app workflows (including HR/ERP use cases), posing a medium‑term threat to incumbents like Workday. OpenAI Announces Frontier

Wall Street Analyst Weigh In

Several research firms have recently commented on WDAY. UBS Group set a $260.00 price target on shares of Workday in a report on Wednesday, November 26th. Wells Fargo & Company reduced their price objective on Workday from $300.00 to $290.00 and set an “overweight” rating for the company in a research report on Wednesday, November 26th. JPMorgan Chase & Co. lowered their price objective on Workday from $290.00 to $270.00 and set an “overweight” rating for the company in a research note on Wednesday, November 26th. DA Davidson cut their target price on Workday from $260.00 to $250.00 and set a “hold” rating on the stock in a research note on Wednesday, November 26th. Finally, The Goldman Sachs Group initiated coverage on shares of Workday in a report on Monday, January 12th. They set a “neutral” rating and a $238.00 price target for the company. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating and thirteen have given a Hold rating to the company. Based on data from MarketBeat.com, Workday presently has a consensus rating of “Moderate Buy” and a consensus target price of $277.00.

Workday Stock Performance

The company’s 50 day simple moving average is $203.82 and its 200 day simple moving average is $221.73. The company has a debt-to-equity ratio of 0.34, a quick ratio of 1.83 and a current ratio of 1.83. The stock has a market cap of $42.85 billion, a price-to-earnings ratio of 45.36, a PEG ratio of 1.36 and a beta of 1.13.

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

Insider Buying and Selling at Workday

In other news, major shareholder David A. Duffield sold 82,884 shares of the firm’s stock in a transaction dated Thursday, January 8th. The shares were sold at an average price of $209.75, for a total transaction of $17,384,919.00. Following the completion of the transaction, the insider owned 105,049 shares in the company, valued at approximately $22,034,027.75. This trade represents a 44.10% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Gerrit S. Kazmaier sold 6,547 shares of Workday stock in a transaction that occurred on Friday, December 19th. The stock was sold at an average price of $218.77, for a total transaction of $1,432,287.19. Following the completion of the transaction, the insider directly owned 111,353 shares in the company, valued at $24,360,695.81. This represents a 5.55% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 370,321 shares of company stock valued at $78,866,401. Corporate insiders own 19.31% of the company’s stock.

Institutional Investors Weigh In On Workday

A number of institutional investors and hedge funds have recently modified their holdings of WDAY. Lloyd Advisory Services LLC. acquired a new position in shares of Workday in the 4th quarter worth $47,000. Advisory Alpha LLC lifted its holdings in shares of Workday by 26.5% during the fourth quarter. Advisory Alpha LLC now owns 1,932 shares of the software maker’s stock valued at $415,000 after purchasing an additional 405 shares during the last quarter. Axxcess Wealth Management LLC acquired a new position in shares of Workday in the 4th quarter valued at $1,934,000. Meiji Yasuda Asset Management Co Ltd. increased its stake in Workday by 26.5% in the 4th quarter. Meiji Yasuda Asset Management Co Ltd. now owns 2,225 shares of the software maker’s stock worth $478,000 after purchasing an additional 466 shares in the last quarter. Finally, Prescott Group Capital Management L.L.C. acquired a new stake in Workday during the 4th quarter worth about $2,970,000. Institutional investors and hedge funds own 89.81% of the company’s stock.

Workday Company Profile

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.