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Buy Rating for Workiva: Growth Opportunities in ESG Reporting Amidst CSRD Uncertainties

Buy Rating for Workiva: Growth Opportunities in ESG Reporting Amidst CSRD Uncertainties

Workiva (WKResearch Report), the Technology sector company, was revisited by a Wall Street analyst today. Analyst Daniel Jester from BMO Capital maintained a Buy rating on the stock and has a $120.00 price target.

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Daniel Jester has given his Buy rating due to a combination of factors influencing Workiva’s performance and outlook. One key reason is the anticipated growth tailwind from ESG reporting, which is expected to benefit Workiva despite some regulatory uncertainties surrounding the EU’s Corporate Sustainability Reporting Directive (CSRD). Although there are potential risks related to incremental bookings due to the guidance to pause CSRD planning for those reporting in 2026 and beyond, the near-term churn is unlikely, and the company’s channel checks have been supportive of upcoming results.
Moreover, a significant percentage of companies required to report under CSRD this year have already integrated software tools, such as Workiva, into their reporting workflows. This positions Workiva competitively, particularly when reporting is managed within the finance organization. While potential changes to the CSRD’s scope might limit some of Workiva’s market, the company’s focus on up-market clients and its ability to leverage complexity supports its medium-term growth outlook. Additionally, investments in international growth are expected to further enhance Workiva’s position in the market over the coming years.

In another report released on January 27, Citi also maintained a Buy rating on the stock with a $128.00 price target.

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