(WDAY) Workday - Overview
Stock: Financial, Human Capital, Spend Management, Planning, Analytics
EPS (Earnings per Share)
Revenue
| Risk 5d forecast | |
|---|---|
| Volatility | 34.7% |
| Relative Tail Risk | -11.1% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -1.03 |
| Alpha | -49.73 |
| Character TTM | |
|---|---|
| Beta | 0.965 |
| Beta Downside | 0.845 |
| Drawdowns 3y | |
|---|---|
| Max DD | 43.15% |
| CAGR/Max DD | -0.04 |
Description: WDAY Workday January 29, 2026
Workday, Inc. (NASDAQ: WDAY) delivers a suite of enterprise-cloud SaaS applications-including financial management, spend and expense management, human capital management, planning, analytics, supply-chain, and industry-specific solutions-through a direct-sales model to a broad set of verticals such as professional services, financial services, healthcare, education, and government.
In FY 2025 (ended 30 Sept 2025), Workday reported total revenue of **$6.1 billion**, a **13 % year-over-year increase**, with subscription revenue representing **~99 %** of the mix. Annual recurring revenue (ARR) grew **14 % YoY to $12.5 billion**, and the company generated **positive free cash flow of $580 million**, underscoring the cash-generating nature of its subscription base.
Key macro-drivers remain robust: Gartner projects the global cloud ERP market to expand at a **CAGR of ~11 % through 2029**, while corporate IT spend on SaaS is expected to rise **~9 % annually** as firms accelerate digital transformation and seek integrated finance-HR platforms. Workday’s focus on “extendability” (Workday Extend) and AI-augmented analytics (Workday Illuminate) positions it to capture a larger share of this expanding spend.
Nevertheless, valuation remains a point of contention; the stock trades at a forward-EV/EBITDA multiple of **~28×**, well above the historical SaaS median of ~20×, implying that investors are pricing in continued high-growth and margin expansion. A material slowdown in enterprise IT budgets or a failure to improve operating leverage could pressure that premium.
For a deeper quantitative comparison of Workday’s valuation metrics, you might explore the ValueRay platform.
Piotroski VR‑10 (Strict, 0-10) 8.0
| Net Income: 642.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.15 > 0.02 and ΔFCF/TA 1.70 > 1.0 |
| NWC/Revenue: 45.04% < 20% (prev 54.09%; Δ -9.04% < -1%) |
| CFO/TA 0.16 > 3% & CFO 2.77b > Net Income 642.0m |
| Net Debt (1.18b) to EBITDA (1.32b): 0.90 < 3 |
| Current Ratio: 1.83 > 1.5 & < 3 |
| Outstanding Shares: last quarter (269.7m) vs 12m ago 0.43% < -2% |
| Gross Margin: 75.64% > 18% (prev 0.76%; Δ 7488 % > 0.5%) |
| Asset Turnover: 54.02% > 50% (prev 49.67%; Δ 4.36% > 0%) |
| Interest Coverage Ratio: 8.52 > 6 (EBITDA TTM 1.32b / Interest Expense TTM 115.0m) |
Altman Z'' 1.72
| A: 0.23 (Total Current Assets 9.18b - Total Current Liabilities 5.02b) / Total Assets 17.75b |
| B: -0.04 (Retained Earnings -657.0m / Total Assets 17.75b) |
| C: 0.06 (EBIT TTM 980.0m / Avg Total Assets 17.09b) |
| D: -0.08 (Book Value of Equity -726.0m / Total Liabilities 8.87b) |
| Altman-Z'' Score: 1.72 = BBB |
Beneish M -2.98
| DSRI: 1.07 (Receivables 1.75b/1.45b, Revenue 9.23b/8.16b) |
| GMI: 1.00 (GM 75.64% / 75.60%) |
| AQI: 1.04 (AQ_t 0.38 / AQ_t-1 0.36) |
| SGI: 1.13 (Revenue 9.23b / 8.16b) |
| TATA: -0.12 (NI 642.0m - CFO 2.77b) / TA 17.75b) |
| Beneish M-Score: -2.98 (Cap -4..+1) = A |
What is the price of WDAY shares?
Over the past week, the price has changed by -7.20%, over one month by -19.04%, over three months by -24.58% and over the past year by -32.47%.
Is WDAY a buy, sell or hold?
- StrongBuy: 20
- Buy: 12
- Hold: 11
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the WDAY price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 272.1 | 54.9% |
| Analysts Target Price | 272.1 | 54.9% |
| ValueRay Target Price | 167.1 | -4.9% |
WDAY Fundamental Data Overview January 28, 2026
P/E Forward = 17.3611
P/S = 5.5202
P/B = 5.606
P/EG = 0.5808
Revenue TTM = 9.23b USD
EBIT TTM = 980.0m USD
EBITDA TTM = 1.32b USD
Long Term Debt = 2.99b USD (from longTermDebt, last quarter)
Short Term Debt = 117.0m USD (from shortTermDebt, last quarter)
Debt = 3.79b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.18b USD (from netDebt column, last quarter)
Enterprise Value = 47.91b USD (50.96b + Debt 3.79b - CCE 6.84b)
Interest Coverage Ratio = 8.52 (Ebit TTM 980.0m / Interest Expense TTM 115.0m)
EV/FCF = 18.53x (Enterprise Value 47.91b / FCF TTM 2.58b)
FCF Yield = 5.40% (FCF TTM 2.58b / Enterprise Value 47.91b)
FCF Margin = 28.00% (FCF TTM 2.58b / Revenue TTM 9.23b)
Net Margin = 6.95% (Net Income TTM 642.0m / Revenue TTM 9.23b)
Gross Margin = 75.64% ((Revenue TTM 9.23b - Cost of Revenue TTM 2.25b) / Revenue TTM)
Gross Margin QoQ = 75.70% (prev 75.21%)
Tobins Q-Ratio = 2.70 (Enterprise Value 47.91b / Total Assets 17.75b)
Interest Expense / Debt = 0.76% (Interest Expense 29.0m / Debt 3.79b)
Taxrate = 25.44% (86.0m / 338.0m)
NOPAT = 730.7m (EBIT 980.0m * (1 - 25.44%))
Current Ratio = 1.83 (Total Current Assets 9.18b / Total Current Liabilities 5.02b)
Debt / Equity = 0.43 (Debt 3.79b / totalStockholderEquity, last quarter 8.88b)
Debt / EBITDA = 0.90 (Net Debt 1.18b / EBITDA 1.32b)
Debt / FCF = 0.46 (Net Debt 1.18b / FCF TTM 2.58b)
Total Stockholder Equity = 9.00b (last 4 quarters mean from totalStockholderEquity)
RoA = 3.76% (Net Income 642.0m / Total Assets 17.75b)
RoE = 7.13% (Net Income TTM 642.0m / Total Stockholder Equity 9.00b)
RoCE = 8.18% (EBIT 980.0m / Capital Employed (Equity 9.00b + L.T.Debt 2.99b))
RoIC = 6.10% (NOPAT 730.7m / Invested Capital 11.99b)
WACC = 8.85% (E(50.96b)/V(54.75b) * Re(9.47%) + D(3.79b)/V(54.75b) * Rd(0.76%) * (1-Tc(0.25)))
Discount Rate = 9.47% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 0.62%
[DCF Debug] Terminal Value 78.51% ; FCFF base≈2.40b ; Y1≈2.95b ; Y5≈5.00b
Fair Price DCF = 332.7 (EV 72.06b - Net Debt 1.18b = Equity 70.88b / Shares 213.0m; r=8.85% [WACC]; 5y FCF grow 24.74% → 2.90% )
EPS Correlation: 97.88 | EPS CAGR: 33.73% | SUE: 3.54 | # QB: 11
Revenue Correlation: 99.52 | Revenue CAGR: 16.40% | SUE: 1.59 | # QB: 1
EPS next Quarter (2026-04-30): EPS=2.53 | Chg30d=-0.000 | Revisions Net=-2 | Analysts=36
EPS next Year (2027-01-31): EPS=10.73 | Chg30d=+0.004 | Revisions Net=+0 | Growth EPS=+17.8% | Growth Revenue=+12.3%