Rosenblatt Securities Issues Pessimistic Forecast for Workday (NASDAQ:WDAY) Stock Price

Workday (NASDAQ:WDAY) had its target price lowered by equities research analysts at Rosenblatt Securities from $180.00 to $150.00 in a research report issued on Wednesday,Benzinga reports. The firm currently has a “buy” rating on the software maker’s stock. Rosenblatt Securities’ price objective suggests a potential upside of 15.18% from the company’s previous close.

Several other brokerages also recently weighed in on WDAY. Zacks Research downgraded Workday from a “strong-buy” rating to a “hold” rating in a research note on Thursday, October 30th. Citigroup cut their price target on Workday from $261.00 to $247.00 and set a “neutral” rating for the company in a research note on Wednesday, November 26th. Jefferies Financial Group cut shares of Workday from a “buy” rating to a “hold” rating and dropped their price objective for the company from $325.00 to $150.00 in a research note on Monday. Oppenheimer dropped their price target on shares of Workday from $270.00 to $200.00 and set an “outperform” rating on the stock in a research note on Tuesday, February 17th. Finally, Barclays lowered their price objective on Workday from $280.00 to $275.00 and set an “overweight” rating on the stock in a report on Monday, January 12th. One investment analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating and sixteen have issued a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $232.22.

Workday Stock Up 0.8%

WDAY stock opened at $130.23 on Wednesday. The company has a debt-to-equity ratio of 0.34, a current ratio of 1.83 and a quick ratio of 1.83. The company has a market cap of $34.25 billion, a price-to-earnings ratio of 54.72, a price-to-earnings-growth ratio of 1.11 and a beta of 1.13. Workday has a 12 month low of $125.83 and a 12 month high of $281.00. The company has a fifty day moving average price of $184.46 and a 200 day moving average price of $213.51.

Workday (NASDAQ:WDAY) last announced its earnings results on Tuesday, February 24th. The software maker reported $2.47 earnings per share for the quarter, topping the consensus estimate of $2.32 by $0.15. Workday had a net margin of 6.95% and a return on equity of 10.50%. The business had revenue of $2.53 billion during the quarter, compared to the consensus estimate of $2.52 billion. During the same quarter in the prior year, the firm earned $1.92 earnings per share. The business’s quarterly revenue was up 14.5% compared to the same quarter last year. Sell-side analysts expect that Workday will post 2.63 earnings per share for the current year.

Insider Activity at Workday

In other news, insider Gerrit S. Kazmaier sold 3,759 shares of the firm’s stock in a transaction on 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 transaction, the insider owned 105,167 shares in the company, valued at $21,951,507.91. This trade represents a 3.45% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, major shareholder David A. Duffield sold 82,884 shares of the company’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 sale, the insider directly owned 105,049 shares in the company, valued at $22,034,027.75. This trade represents a 44.10% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 370,321 shares of company stock valued at $78,866,401 in the last 90 days. 20.00% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. lifted its stake in shares of Workday by 14.7% during the fourth quarter. Vanguard Group Inc. now owns 25,009,288 shares of the software maker’s stock valued at $5,371,495,000 after buying an additional 3,210,232 shares during the period. State Street Corp lifted its stake in shares of Workday by 1.0% during the 4th quarter. State Street Corp now owns 9,770,707 shares of the software maker’s stock worth $2,098,552,000 after purchasing an additional 96,139 shares during the period. Hotchkis & Wiley Capital Management LLC boosted its holdings in shares of Workday by 47.5% during the third quarter. Hotchkis & Wiley Capital Management LLC now owns 5,842,491 shares of the software maker’s stock worth $1,406,463,000 after purchasing an additional 1,882,391 shares during the last quarter. Geode Capital Management LLC grew its position in shares of Workday by 1.5% in the fourth quarter. Geode Capital Management LLC now owns 5,091,926 shares of the software maker’s stock valued at $1,089,970,000 after purchasing an additional 75,922 shares during the period. Finally, Janus Henderson Group PLC grew its position in shares of Workday by 101.4% in the fourth quarter. Janus Henderson Group PLC now owns 5,017,905 shares of the software maker’s stock valued at $1,077,537,000 after purchasing an additional 2,525,821 shares during the period. 89.81% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting Workday

Here are the key news stories impacting Workday this week:

• Positive Sentiment: Q4 beats — Workday reported better‑than‑expected fiscal Q4 results: revenue and EPS topped consensus and subscription revenue grew year‑over‑year, underpinned by strong cash flow. Workday Q4 results press release
• Positive Sentiment: Analyst buy thesis remains for some — Needham reaffirmed a Buy and kept a $300 price target, arguing AI investments offer long‑term upside despite near‑term headwinds. Needham buy rating
• Neutral Sentiment: Leadership/AI strategy — Workday has emphasized agentic AI as a growth driver and recently brought back a founder CEO, a strategic pivot that could help execution but adds uncertainty about near‑term priorities. CEO return and AI focus
• Neutral Sentiment: Broader software sell‑off — The pullback in software names and macro uncertainty amplified the reaction to Workday’s guidance, meaning market moves reflect sector trends as well as company specifics. Software sector pressure
• Negative Sentiment: Guidance miss — Management forecast FY‑2027 subscription revenue below Street estimates (and guided for slower subscription growth), signaling weaker new‑client wins as corporate tech spend moderates. Revenue guidance below estimates
• Negative Sentiment: Margins and AI investment cost — Workday warned of margin pressure as it accelerates AI investments and guidance for adjusted operating income was cautious, pressuring investor sentiment about near‑term profitability. Margin outlook and AI costs
• Negative Sentiment: Analyst reactions — Several brokers pared targets or downgraded WDAY (Jefferies, Mizuho among them); JPMorgan lowered its target too, increasing near‑term selling pressure. Jefferies cut Mizuho downgrade (summary) JPM price‑target move (summary)

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.