Workday
Market Cap
US$39.6b
Last Updated
2019/12/09 00:37 UTC
Data Sources
Company Financials +
Executive Summary
Workday, Inc. provides enterprise cloud applications worldwide.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -9.7% per year for the next 3 years
Currently unprofitable and not forecast to become profitable over the next 3 years
Snowflake Analysis
Adequate balance sheet with limited growth.
Similar Companies
Share Price & News
How has Workday's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WDAY has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-3.3%
WDAY
-0.9%
US Software
0.3%
US Market
1 Year Return
4.1%
WDAY
32.9%
US Software
18.5%
US Market
Return vs Industry: WDAY underperformed the US Software industry which returned 32.9% over the past year.
Return vs Market: WDAY underperformed the US Market which returned 18.5% over the past year.
Shareholder returns
| WDAY | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.3% | -0.9% | 0.3% |
| 30 Day | 2.3% | 1.9% | 1.5% |
| 90 Day | -4.4% | 6.6% | 5.7% |
| 1 Year | 4.1%4.1% | 34.9%32.9% | 21.1%18.5% |
| 3 Year | 137.4%137.4% | 127.5%118.4% | 45.9%36.4% |
| 5 Year | 105.5%105.5% | 182.5%162.4% | 71.4%52.5% |
Price Volatility Vs. Market
How volatile is Workday's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Introducing Workday (NASDAQ:WDAY), The Stock That Zoomed 111% In The Last Five Years1 month ago | Simply Wall St
Is Workday (NASDAQ:WDAY) Using Debt Sensibly?2 months ago | Simply Wall St
Should You Worry About Workday, Inc.'s (NASDAQ:WDAY) CEO Pay Cheque?Valuation
Is Workday undervalued compared to its fair value and its price relative to the market?
16.37x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: WDAY ($166.22) is trading above our estimate of fair value ($97.29)
Significantly Below Fair Value: WDAY is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: WDAY is unprofitable, so we can't compare its PE Ratio to the Software industry average.
PE vs Market: WDAY is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate WDAY's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: WDAY is overvalued based on its PB Ratio (16.4x) compared to the US Software industry average (5.6x).
Next Steps
Future Growth
How is Workday forecast to perform in the next 1 to 3 years based on estimates from 33 analysts?
-9.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WDAY is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: WDAY is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: WDAY is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: WDAY's revenue (19.2% per year) is forecast to grow faster than the US market (7.4% per year).
High Growth Revenue: WDAY's revenue (19.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WDAY's Return on Equity is forecast to be high in 3 years time (22.5%)
Next Steps
Past Performance
How has Workday performed over the past 5 years?
-12.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WDAY is currently unprofitable.
Growing Profit Margin: WDAY is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: WDAY is unprofitable, and losses have increased over the past 5 years at a rate of -12.4% per year.
Accelerating Growth: Unable to compare WDAY's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: WDAY is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (20.8%).
Return on Equity
High ROE: WDAY has a negative Return on Equity (-19.71%), as it is currently unprofitable.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Workday's financial position?
Financial Position Analysis
Short Term Liabilities: WDAY's short term assets ($3.0B) exceed its short term liabilities ($2.5B).
Long Term Liabilities: WDAY's short term assets ($3.0B) exceed its long term liabilities ($1.3B).
Debt to Equity History and Analysis
Debt Level: WDAY's debt to equity ratio (53.8%) is considered high.
Reducing Debt: WDAY's debt to equity ratio has increased from 41.7% to 53.8% over the past 5 years.
Balance Sheet
Inventory Level: WDAY has a low level of unsold assets or inventory.
Debt Coverage by Assets: WDAY's debt is covered by short term assets (assets are 2.4x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable WDAY has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: WDAY is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 27.6% per year.
Next Steps
Dividend
What is Workday's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate WDAY's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate WDAY's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if WDAY's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if WDAY's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of WDAY's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of Workday's salary, the management and board of directors tenure and is there insider trading?
1.8yrs
Average management tenure
CEO
Aneel Bhusri (53yo)
10.3yrs
Tenure
US$9,827,005
Compensation
Mr. Aneel Bhusri Co-founded Workday, Inc. in March 2005 and has been its Chief Executive Officer since May 13, 2014. Mr. Bhusri is an Advisory Partner at Greylock Partners, where he was previously a Partne ...
CEO Compensation Analysis
Compensation vs Market: Aneel's total compensation ($USD9.83M) is about average for companies of similar size in the US market ($USD11.01M).
Compensation vs Earnings: Aneel's compensation has increased whilst the company is unprofitable.
Management Age and Tenure
1.8yrs
Average Tenure
53yo
Average Age
Experienced Management: WDAY's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.
Board Age and Tenure
5.6yrs
Average Tenure
55.5yo
Average Age
Experienced Board: WDAY's board of directors are considered experienced (5.6 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chairman of the Board Co-Founder & Chairman |
| Shares | 1,054 |
| Max Price | US$205.21 |
| Entity | Individual |
| Role | Chairman of the Board Co-Founder & Chairman |
| Shares | 1,124 |
| Max Price | US$194.21 |
| Entity | Individual |
| Role | Senior Key Executive Chief Products Officer |
| Shares | 2,257 |
| Max Price | US$186.86 |
| Entity | Individual |
| Shares | 10,000 |
| Max Price | US$155.69 |
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.8%.
Management Team
Aneel Bhusri (53yo)
Co-Founder
- Tenure: 10.3yrs
- Compensation: US$9.83m
Dave Duffield (78yo)
Co-Founder & Chairman
- Tenure: 5.6yrs
- Compensation: US$370.24k
David Clarke (48yo)
Chief Technology Officer
- Tenure: 0.9yrs
Jim Bozzini (53yo)
COO & Executive VP of Customer Operations
- Tenure: 0yrs
- Compensation: US$6.83m
Robynne Sisco (54yo)
Co-President & CFO
- Tenure: 1.8yrs
- Compensation: US$8.87m
Petros Dermetzis (57yo)
Chief Products Officer
- Tenure: 0yrs
- Compensation: US$8.78m
Luciano Fernandez (49yo)
Co-President
- Tenure: 1.8yrs
- Compensation: US$10.38m
Sheri Rhodes (50yo)
Chief Information Officer
- Tenure: 0yrs
Michael Magaro
Vice President of Investor Relations
- Tenure: 0yrs
Rich Sauer
Executive VP
- Tenure: 0.9yrs
Board Members
Aneel Bhusri (53yo)
Co-Founder
- Tenure: 10.3yrs
- Compensation: US$9.83m
Jerry Yang (50yo)
Independent Director
- Tenure: 6.1yrs
- Compensation: US$374.67k
Dave Duffield (78yo)
Co-Founder & Chairman
- Tenure: 5.6yrs
- Compensation: US$370.24k
Mike McNamara (62yo)
Independent Director
- Tenure: 8yrs
- Compensation: US$387.10k
George Still (61yo)
Vice Chairman & Lead Independent Director
- Tenure: 5.6yrs
- Compensation: US$449.53k
Lee Styslinger (58yo)
Independent Director
- Tenure: 3.3yrs
- Compensation: US$337.11k
Mike Stankey (60yo)
Vice Chairman of the Board
- Tenure: 4.5yrs
- Compensation: US$8.61m
Carl Eschenbach (52yo)
Independent Director
- Tenure: 1.8yrs
- Compensation: US$324.68k
Christa Davies (47yo)
Independent Director
- Tenure: 7.3yrs
- Compensation: US$399.54k
Ann-Marie Campbell (53yo)
Independent Director
- Tenure: 0.7yrs
Company Information
Workday, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Workday, Inc.
- Ticker: WDAY
- Exchange: NasdaqGS
- Founded: 2005
- Industry: Application Software
- Sector: Software
- Market Cap: US$39.558b
- Shares outstanding: 228.00m
- Website: https://www.workday.com
Number of Employees
Location
- Workday, Inc.
- 6110 Stoneridge Mall Road
- Pleasanton
- California
- 94588
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| WDAY | NasdaqGS (Nasdaq Global Select) | Yes | Class A Common Stock | US | USD | Oct 2012 |
| W7D | DB (Deutsche Boerse AG) | Yes | Class A Common Stock | DE | EUR | Oct 2012 |
| 0M18 | LSE (London Stock Exchange) | Yes | Class A Common Stock | GB | USD | Oct 2012 |
| WDAY * | BMV (Bolsa Mexicana de Valores) | Yes | Class A Common Stock | MX | MXN | Oct 2012 |
| W7D | ETLX (Eurotlx) | Yes | Class A Common Stock | IT | EUR | Oct 2012 |
Biography
Workday, Inc. provides enterprise cloud applications worldwide. Its applications help its customers to manage critical business functions and optimize their financial and human capital resources. The compa ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/12/09 00:37 |
| End of Day Share Price | 2019/12/06 00:00 |
| Earnings | 2019/10/31 |
| Annual Earnings | 2019/01/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.