Workday Inc. (NASDAQ:WDAY) finished Wednesday with a subtraction of -$1.98 to close at $225.56, a downside of -0.87 percent. An average of 1,326,360 shares of common stock have been traded in the last five days. There was a fall of -$3.66 in the past week, and it reached a new high 21 times over the past 12 months. The last 20 days have seen an average of 1,779,475 shares traded, while the 50-day average volume stands at 1,996,670.
WDAY stock has increased by 1.74% in the last month. The company shares reached their 1-month lowest point of $217.91 on 07/10/23. With the stock rallying to its 52-week high on 08/01/23, shares of the company touched a low of $128.72 and a high of $240.18 in 52 weeks. It has reached a new high 24 times so far this year and achieved 34.80% or $58.23 in price. In spite of this, the price is down -6.09% from the 52-week high.
Insider Transactions
WDAY stock investors should be aware that Workday Inc. (WDAY) stock had its last reported insider trading activity 35 days ago on Jul 06. In this transaction, the insider spent $1,075,886. COO, Bozzini James, disposed of 4,941 shares at a price of $221.43 on Jul 05. The insider now owns more than $1,094,104 worth of shares. Prior to that, Chief Legal Officer & Secty Sauer Richard Harry went on to Sale 4,223 shares at $221.43 each on Jul 05. An amount of $935,114 was transacted.
Valuation Metrics
Workday Inc. (WDAY) stock’s beta is 1.24. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 9.05, the price-to-book (PB) ratio at 9.82, and the price-to-cash flow ratio at 52.24.
Financial Health
The quick ratio of Workday Inc. for the three months ended April 29 was 1.90, and the current ratio was 1.90, indicating that the company is able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 0.50 and a total debt to equity ratio of 0.00 for the quarter ending April 29. Workday Inc.’s EBITDA margin for the year ending April 29 is 3.49%, while its operating margin for the same period stands at -2.60%. Its gross profit as reported stood at $4.5 billion compared to revenue of $6.22 billion.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, Workday Inc.’s return on assets was -2.00%.
Earnings Surprise
For the three-month period that ended April 29, Workday Inc. had $4.89 billion in cash and short-term investments compared to $2.98 billion in total debt. In the quarter under review, the net income was up than the previous quarter. The company posted a net income of $0.14 million in the quarter, while revenues were grew 73078.57%. The analyst consensus anticipated Workday Inc.’s latest quarter earnings to come in at $1.12 per share, but it turned out to be $1.31, a 17.00% surprise. For the quarter, EBITDA amounted to $99.53 million. Shareholders own equity worth $261.0 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Workday Inc. (WDAY) price momentum. RSI 9-day as of the close on 09 August was 43.69%, suggesting the stock is Neutral, with historical volatility in this time frame at 32.11%.
As of today, WDAY’s price is $229.22 -1.60% or -$3.66 from its 5-day moving average. WDAY is currently trading +2.96% higher than its 20-day SMA and +17.65% higher than its 100-day SMA. However, the stock’s current price level is +4.39% above the SMA50 and +55.11% above the SMA200.
The stochastic %K and %D were 40.48% and 46.87%, respectively, and the average true range (ATR) was 6.20. With the 14-day stochastic at 22.97% and the average true range at 6.10, the RSI (14) stands at 48.59%. The stock has reached -3.03 on the 9-day MACD Oscillator while the 14-day reading was at -1.31.
Analyst Ratings
RBC Capital Mkts launched coverage on Workday Inc. (NASDAQ: WDAY) in its analyst report released on June 28, 2023. The firm assigned the stock an Outperform rating. The consensus rating for Workday Inc. (WDAY) among analysts is Overweight. According to current brokerage recommendations, 1 brokerage firm advise that investors sell WDAY, while 10 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 5 analysts, while 22 others rate it as a “buy”.
What is WDAY’s price target for the next 12 months?
Analysts predict a range of price targets between $142.00 and $290.00, with a median target of $243.00. Taking a look at these predictions, the average price target given by analysts for Workday Inc. (WDAY) stock is $240.38.
