Workday shares tick up as FY27 sales guidance cut after Q2
Workday reported Q2 EPS of $2.75 (vs $2.61 consensus) and sales of $2.649B (vs $2.636B). The company cut FY27 sales guidance to $9.940B–$9.950B. Pre-market shares rose 0.1% to $193.75.
Workday Inc (NASDAQ: WDAY ) on Thursday reported upbeat financial results for the second quarter, but lowered its FY27 sales guidance.
Workday reported quarterly earnings of $2.75 per share which beat the analyst consensus estimate of $2.61 per share.
The company reported quarterly sales of $2.649 billion which beat the analyst consensus estimate of $2.636 billion.
Workday cut its FY2027 sales guidance from $10.635 billion-$10.660 billion to $9.940 billion-$9.950 billion. “We had a strong Q2, with AI driving more than 25% of our new ACV and more than 5,500 customers now using at least one of our organic agents,” said Aneel Bhusri, co-founder, CEO, and chair, Workday. “Because of Workday’s deterministic rails, customers can trust our agents with the work that matters, and you’re seeing that in the numbers.” Workday shares rose 0.1% to $193.75 in pre-market trading These analysts made changes to their price targets on Workday following earnings announcement.
Piper Sandler analyst Billy Fitzsimmons maintained the stock with a Neutral and raised the price target from $145 to $190.
Needham analyst Scott Berg maintained the stock with a Buy and raised the price target from $180 to $230.
Morgan Stanley analyst Keith Weiss maintained the stock with an Underweight rating and raised the price target from $145 to $180.
Cantor Fitzgerald analyst Matthew Vanvliet maintained the stock with an Overweight rating and lowered the price target from $220 to $205.
Considering buying WDAY stock? Here’s what analysts think: Photo via Shutterstock