William Blair analyst Jake Roberge has maintained their bullish stance on WDAY stock, giving a Buy rating today.
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Jake Roberge’s rating is based on Workday’s impressive performance in the first quarter, which exceeded consensus expectations across key metrics. Despite some concerns about the company’s cRPO performance, which was slightly inflated due to contracts related to implementation and testing environments, the overall results were solid given the uncertain macroeconomic conditions. The company’s strong operating margins, which surpassed market expectations, and the growing demand for its AI solutions, with a significant portion of customer expansions including AI products, were notable highlights.
Furthermore, Workday’s continued success in full-suite adoption, with a substantial percentage of new customers opting for the complete suite, particularly in the SLED and healthcare sectors, underscores its robust market position. The company also benefited from strong partner activity, contributing significantly to its net-new ACV. Despite the variable macro environment, Workday has not experienced significant impacts on sales cycles or buying decisions, and it reported strength in the EMEA and APAC regions, indicating resilience and potential for continued growth.
According to TipRanks, Roberge is an analyst with an average return of -4.8% and a 40.43% success rate. Roberge covers the Technology sector, focusing on stocks such as Workiva, DocuSign, and Vertex.
In another report released today, Jefferies also maintained a Buy rating on the stock with a $325.00 price target.