Workiva (WK) AI Stock Analysis

• Market Cap: $4.91B
• Dividend Yield: N/A
• Average Volume (3M): 573.01K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.75
• Revenue Growth: 19.86%
• EPS Growth: 8.58%
• Country: US
• Employees: 2,873
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.55
• Shares Outstanding: 52,432,465
• 10 Day Avg. Volume: 595,104
• 30 Day Avg. Volume: 573,015
• PEG Ratio: 1.90
• Price to Book (P/B): -145.41
• Price to Sales (P/S): 8.21
• P/FCF Ratio: 70.20
• Enterprise Value/Market Cap: 1.01
• Enterprise Value/Revenue: 5.85
• Enterprise Value/Gross Profit: 7.54
• Enterprise Value/Ebitda: -173.30
• 1Y Price Target: $106.75
• Price Target Upside: 22.07% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): 1.64
• Revenue Forecast (FY): $880.91M

• Rating: 52 Neutral
• Price Target: $89.00 ▲(1.77% Upside)

Workiva's overall stock score is driven by strong revenue growth and improved margins, as highlighted in the earnings call. However, significant financial risks due to high leverage and negative equity, along with valuation concerns, weigh heavily on the score. The technical indicators suggest a neutral market sentiment, while the absence of a dividend yield further impacts the valuation negatively.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust demand for Workiva's solutions, enhancing its market position and supporting long-term financial stability.

Product Innovation

Continuous product innovation, especially with AI integration, strengthens Workiva's competitive advantage and market differentiation.

Leadership Strength

New leadership with extensive financial experience is expected to enhance operational rigor and drive strategic growth initiatives.

Negative Factors

High Leverage

High leverage can strain financial flexibility, increasing vulnerability to economic downturns and impacting long-term sustainability.

Profitability Challenges

Persistent profitability issues may hinder investment in growth opportunities and affect shareholder value over time.

Macroeconomic Uncertainty

Economic uncertainties can affect customer spending and delay investment decisions, impacting Workiva's growth prospects.

Workiva Business Overview & Revenue Model

Company Description

Workiva Inc., together with its subsidiaries, provides cloud-based compliance and regulatory reporting solutions worldwide. The company offers Workiva platform that offers controlled collaboration, data linking, data integrations, granular permissions, process management, and full audit trail services; and provides tools that enables customers to connect data from enterprise resource planning, governance risk and compliance, human capital management, and customer relationship management systems, as well as from other third-party cloud and on-premise applications. It serves public and private companies, government agencies, and higher-education institutions. The company was founded in 2008 and is headquartered in Ames, Iowa.

How the Company Makes Money

Workiva generates revenue primarily through subscription-based services, charging customers for access to its cloud platform on a recurring basis. The company offers various pricing tiers based on the size of the organization and the features required, allowing it to cater to a diverse client base that includes public and private companies, as well as government entities. Additionally, Workiva may earn revenue from professional services, such as implementation support, training, and consulting, which help clients maximize the value of their software solutions. Key revenue streams are bolstered by a growing customer base and long-term contracts, providing predictable income. Partnerships with other technology providers and integrations with popular financial and enterprise resource planning systems enhance its market presence and contribute to customer retention, further supporting its revenue model.

Workiva Financial Statement Overview

Summary

Workiva shows strong revenue growth and efficient cost management, evidenced by a high gross profit margin. However, persistent net losses and negative equity present significant financial risks. The company must improve profitability and strengthen its balance sheet to enhance financial stability. Positive cash flows provide some comfort, but maintaining liquidity amidst declining operating cash flow is essential.

Income Statement

Workiva has shown consistent revenue growth over the years, with a notable increase from $351.6M in 2020 to $769.3M in TTM 2025. However, profitability remains a challenge as indicated by negative EBIT and net income margins. The gross profit margin is strong at 76.7% for TTM, reflecting efficient cost management. Despite revenue growth, the company needs to address its negative net profit margin of -8.4% to improve overall financial health.

Balance Sheet

The balance sheet reveals a concerning negative stockholders' equity of -$75.7M in TTM, indicating potential financial instability. The debt-to-equity ratio is not meaningful due to negative equity, but the high total debt of $794.2M suggests significant leverage. The equity ratio is negative, reflecting the company's reliance on debt financing. Addressing these issues is crucial for long-term sustainability.

Cash Flow

Workiva's cash flow situation is relatively stable, with a positive operating cash flow of $55.5M in TTM and a free cash flow of $53.4M. The free cash flow to net income ratio is strong, indicating effective cash management despite net losses. However, the decline in operating cash flow from $87.7M in 2024 to $55.5M in TTM warrants attention to ensure continued liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	845.52M	738.68M	630.04M	537.88M	443.29M	351.59M
Gross Profit	655.57M	566.63M	475.82M	407.99M	339.45M	261.42M
EBITDA	-28.53M	-25.57M	-59.32M	-72.75M	-19.84M	-30.43M
Net Income	-46.80M	-55.04M	-127.53M	-90.95M	-37.73M	-48.40M
Balance Sheet
Total Assets	1.41B	1.37B	1.22B	819.62M	786.76M	707.01M
Cash, Cash Equivalents and Short-Term Investments	856.79M	816.42M	813.72M	430.79M	530.45M	530.04M
Total Debt	792.95M	793.28M	793.18M	373.17M	337.74M	329.61M
Total Liabilities	1.45B	1.41B	1.31B	813.64M	713.78M	642.73M
Stockholders Equity	-36.93M	-41.68M	-89.39M	5.98M	72.98M	64.28M
Cash Flow
Free Cash Flow	130.28M	86.15M	68.52M	7.72M	46.09M	31.07M
Operating Cash Flow	133.08M	87.71M	70.88M	11.33M	49.84M	33.24M
Investing Cash Flow	-10.28M	-45.25M	-357.25M	-68.01M	-68.63M	-103.75M
Financing Cash Flow	-56.61M	6.74M	301.26M	-1.59M	-3.39M	11.12M

Workiva Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 87.45
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WK, the sentiment is Negative. The current price of 87.45 is below the 20-day moving average (MA) of 89.18, below the 50-day MA of 88.97, and above the 200-day MA of 77.93, indicating a neutral trend. The MACD of -0.52 indicates Positive momentum. The RSI at 44.69 is Neutral, neither overbought nor oversold. The STOCH value of 49.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WK.

Workiva Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
YOU	77 Outperform	$4.77B	18.80	130.93%	2.11%	17.83%	118.70%
FRSH	72 Outperform	$3.50B	-125.63	-2.98%	―	18.18%	70.94%
BL	71 Outperform	$3.44B	52.74	21.85%	―	7.36%	-40.62%
GTM	71 Outperform	$3.15B	31.94	6.51%	―	1.47%	1077.70%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
COMP	61 Neutral	$5.95B	―	-9.39%	―	24.27%	73.11%
WK	52 Neutral	$4.91B	-104.51	―	―	19.86%	8.58%

Workiva Corporate Events

Workiva Appoints Barbara Larson as New CFO

On December 3, 2025, Workiva Inc. announced the appointment of Barbara Larson as Executive Vice President, Chief Financial Officer, and Treasurer, effective January 20, 2026. Larson, who has extensive experience in financial leadership roles at companies like SentinelOne and Workday, will oversee Workiva’s financial strategy and operations, focusing on accelerating global growth and expanding the adoption of its AI-powered platform. This strategic move is expected to enhance Workiva’s operational rigor and help the company leverage AI for financial transformation, thereby building trust and transparency with stakeholders. Additionally, Julie Iskow was appointed as Interim CFO to bridge the transition period following the departure of Jill Klindt, ensuring continuity in leadership until Larson’s official start date.