Workday (NASDAQ:WDAY) Shares Gap Up – Time to Buy?

Workday, Inc. (NASDAQ:WDAY)’s share price gapped up prior to trading on Wednesday . The stock had previously closed at $122.42, but opened at $128.76. Workday shares last traded at $127.7870, with a volume of 528,361 shares traded.

Analyst Ratings Changes

Several equities analysts have recently weighed in on WDAY shares. Oppenheimer reaffirmed an “outperform” rating on shares of Workday in a report on Thursday, June 11th. Loop Capital set a $210.00 price target on shares of Workday in a report on Thursday, March 12th. DA Davidson set a $135.00 price target on shares of Workday in a research report on Tuesday, May 26th. Bank of America assumed coverage on shares of Workday in a research report on Wednesday, May 27th. They set a “neutral” rating and a $140.00 price target on the stock. Finally, TD Cowen reaffirmed a “hold” rating on shares of Workday in a report on Friday, May 22nd. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Workday has an average rating of “Moderate Buy” and an average price target of $184.00.

Workday Trading Up 6.2%

The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.01 and a current ratio of 1.01. The firm has a market capitalization of $32.13 billion, a price-to-earnings ratio of 40.58, a P/E/G ratio of 1.32 and a beta of 1.09. The company has a 50 day moving average price of $127.41 and a two-hundred day moving average price of $151.23.

Workday (NASDAQ:WDAY) last announced its earnings results on Thursday, May 21st. The software maker reported $2.66 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.51 by $0.15. Workday had a return on equity of 14.75% and a net margin of 8.60%.The firm had revenue of $2.54 billion for the quarter, compared to analyst estimates of $2.52 billion. During the same quarter last year, the firm posted $2.23 EPS. The business’s revenue was up 13.5% on a year-over-year basis. On average, research analysts forecast that Workday, Inc. will post 5.34 EPS for the current year.

Insider Activity at Workday

In other Workday news, insider Robert Enslin sold 5,373 shares of the stock in a transaction on Monday, April 6th. The shares were sold at an average price of $129.41, for a total transaction of $695,319.93. Following the transaction, the insider directly owned 165,414 shares of the company’s stock, valued at $21,406,225.74. This trade represents a 3.15% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Gerrit S. Kazmaier sold 9,356 shares of Workday stock in a transaction dated Tuesday, April 7th. The shares were sold at an average price of $128.39, for a total transaction of $1,201,216.84. Following the completion of the sale, the insider owned 165,074 shares in the company, valued at approximately $21,193,850.86. This trade represents a 5.36% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 774,814 shares of company stock valued at $98,324,391. Insiders own 18.64% of the company’s stock.

Institutional Investors Weigh In On Workday

Several large investors have recently bought and sold shares of the company. Rakuten Securities Inc. purchased a new position in shares of Workday in the second quarter valued at approximately $25,000. Measured Wealth Private Client Group LLC purchased a new stake in shares of Workday during the third quarter worth approximately $26,000. JPL Wealth Management LLC purchased a new stake in shares of Workday during the third quarter worth approximately $30,000. DT Investment Partners LLC acquired a new position in Workday in the 4th quarter valued at $27,000. Finally, LRI Investments LLC acquired a new position in Workday in the 4th quarter valued at $29,000. 89.81% of the stock is currently owned by hedge funds and other institutional investors.

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.