| Snowflake Score | |
|---|---|
| Valuation | 1/6 |
| Future Growth | 5/6 |
| Past Performance | 0/6 |
| Financial Health | 4/6 |
| Dividends | 0/6 |
WDAY Overview
Workday, Inc. provides enterprise cloud applications worldwide.
Workday Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$270.07 |
| 52 Week High | US$201.62 |
| 52 Week Low | US$282.77 |
| Beta | 1.28 |
| 1 Month Change | 9.87% |
| 3 Month Change | 11.14% |
| 1 Year Change | 29.41% |
| 3 Year Change | 85.02% |
| 5 Year Change | 198.88% |
| Change since IPO | 454.67% |
Recent News & Updates
At US$273, Is It Time To Put Workday, Inc. (NASDAQ:WDAY) On Your Watch List?
Let's talk about the popular Workday, Inc. ( NASDAQ:WDAY ). The company's shares saw a significant share price rise of...
Shareholder Returns
| WDAY | US Software | US Market | |
|---|---|---|---|
| 7D | -0.4% | -0.7% | -0.5% |
| 1Y | 29.4% | 42.4% | 37.5% |
Return vs Industry: WDAY underperformed the US Software industry which returned 40.9% over the past year.
Return vs Market: WDAY underperformed the US Market which returned 36.2% over the past year.
Price Volatility
| WDAY volatility | |
|---|---|
| WDAY Beta | 1.28 |
| Industry Beta | 0.95 |
| Market Beta | 1 |
Stable Share Price: WDAY is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: WDAY's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2005 | 12,500 | Aneel Bhusri | https://www.workday.com |
Workday, Inc. provides enterprise cloud applications worldwide. Its applications help its customers to manage critical business functions and optimize their financial and human resources. The company offers a suite of financial management applications, which enable chief financial officers to maintain accounting information in the general ledger; manage financial processes; identify real-time financial, operational, and management insights; enhance financial consolidation; reduce time-to-close; promote internal control and auditability; and achieve consistency across finance operations.
Workday Fundamentals Summary
| WDAY fundamental statistics | |
|---|---|
| Market Cap | US$67.14b |
| Earnings (TTM) | -US$36.83m |
| Revenue (TTM) | US$4.67b |
14.3x
P/S Ratio-1.8kx
P/E RatioIs WDAY overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| WDAY income statement (TTM) | |
|---|---|
| Revenue | US$4.67b |
| Cost of Revenue | US$1.29b |
| Gross Profit | US$3.39b |
| Expenses | US$3.42b |
| Earnings | -US$36.83m |
Last Reported Earnings
Jul 31, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | -0.15 |
| Gross Margin | 72.46% |
| Net Profit Margin | -0.79% |
| Debt/Equity Ratio | 48.0% |
How did WDAY perform over the long term?
See historical performance and comparisonValuation
Is Workday undervalued compared to its fair value and its price relative to the market?
16.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: WDAY ($270.07) is trading below our estimate of fair value ($324.56)
Significantly Below Fair Value: WDAY is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: WDAY is unprofitable, so we can't compare its PE Ratio to the US 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 (17.3x) compared to the US Software industry average (7.7x).
Future Growth
How is Workday forecast to perform in the next 1 to 3 years based on estimates from 29 analysts?
26.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WDAY is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: WDAY is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: WDAY's is expected to become profitable in the next 3 years.
Revenue vs Market: WDAY's revenue (17.1% per year) is forecast to grow faster than the US market (9.8% per year).
High Growth Revenue: WDAY's revenue (17.1% 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 (21.5%)
Past Performance
How has Workday performed over the past 5 years?
4.4%
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, but has reduced losses over the past 5 years at a rate of 4.4% 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 (22.1%).
Return on Equity
High ROE: WDAY has a negative Return on Equity (-0.95%), as it is currently unprofitable.
Financial Health
How is Workday's financial position?
Financial Position Analysis
Short Term Liabilities: WDAY's short term assets ($4.5B) exceed its short term liabilities ($4.3B).
Long Term Liabilities: WDAY's short term assets ($4.5B) exceed its long term liabilities ($971.8M).
Debt to Equity History and Analysis
Debt Level: WDAY's debt to equity ratio (48%) is considered high.
Reducing Debt: WDAY's debt to equity ratio has increased from 44.4% to 48% over the past 5 years.
Balance Sheet
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 36.5% per year.
Dividend
What is Workday current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate WDAY's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate WDAY's dividend yield against the top 25% of dividend payers, as the company has not reported any recent 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
How experienced are the management team and are they aligned to shareholders interests?
1.2yrs
Average management tenure
CEO
Aneel Bhusri (55 yo)
1.08yrs
Tenure
US$2,693,925
Compensation
Mr. Aneel Bhusri Co-founded Workday, Inc. in March 2005 and serves as its Chairman of the Board since April 1, 2021 and serves as its Co-Chief Executive Officer of Workday, Inc. since August 27, 2020 and h...
CEO Compensation Analysis
Compensation vs Market: Aneel's total compensation ($USD2.69M) is below average for companies of similar size in the US market ($USD11.36M).
Compensation vs Earnings: Aneel's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: WDAY's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.
Board Members
Experienced Board: WDAY's board of directors are considered experienced (3.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: WDAY insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.6%.
Top Shareholders
Company Information
Workday, Inc.'s 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$67.136b
- Shares outstanding: 248.00m
- Website: https://www.workday.com
Number of Employees
Location
- Workday, Inc.
- 6110 Stoneridge Mall Road
- Pleasanton
- California
- 94588
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/23 23:03 |
| End of Day Share Price | 2021/09/23 00:00 |
| Earnings | 2021/07/31 |
| Annual Earnings | 2021/01/31 |
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.