Last Updated: 09 Nov 2024
Executive Summary
Workday Inc. (WDAY) is a leading provider of cloud-based business applications. The company has a strong financial position with a market capitalization of $66.73 billion, EBITDA of $636 million, and EPS of $5.93. Workday's stock price is currently trading at $256.54, which is below its 52-week high of $311.28. Analysts are bullish on Workday's stock, with a consensus target price of $289.58.
Company Overview
Workday was founded in 2005 and is headquartered in Pleasanton, California. The company provides a suite of cloud-based business applications, including human capital management, financial management, and analytics. Workday's customers include some of the world's largest companies, such as Amazon, Google, and Walmart.
Fundamental Analysis
Workday's financial performance has been strong in recent years. The company's revenue has grown at a compound annual growth rate (CAGR) of 25% over the past five years. Workday is also profitable, with a net income margin of 19.6%. The company's strong financial performance is supported by its high customer retention rate and its growing market share.
Technical Analysis
Workday's stock price has been in a downtrend since early 2022. The stock is currently trading below its 50-day and 200-day moving averages. The relative strength index (RSI) is also below 50, indicating that the stock is oversold.
Short Term Outlook
In the short term, Workday's stock price is likely to continue to trade in a range. The stock is facing resistance at its 50-day moving average and support at its 200-day moving average. A break above the 50-day moving average would be a bullish sign, while a break below the 200-day moving average would be a bearish sign.
Long Term Outlook
In the long term, Workday's stock has the potential to perform well. The company is a leader in the cloud-based business applications market, and its financial performance is strong. Workday is also benefiting from the increasing adoption of cloud-based applications by businesses.
Analyst Recommendations
Analysts are bullish on Workday's stock. The consensus target price is $289.58, which represents a potential upside of 12.9% from the current price. Seven analysts have a Strong Buy rating on the stock, 20 have a Buy rating, 9 have a Hold rating, and 1 has a Sell rating.
