Workday (WDAY, $168.96) fiscal Q1 earnings miss analysts' expectations
Workday reported its quarterly earnings that missed analysts’ expectations.
The software company’s earnings for the quarter came in at $0.83 per share, falling short of analysts’ consensus estimates of $0.85.
Revenue rose +22.1% from the year-ago quarter to $1.43 billion during the quarter, vs. consensus estimate of $1.43 billion.
Looking ahead, Workday projected an adjusted operating margin of 17.5% on revenue of $1.517 billion to $1.519 billion for its fiscal second quarter of 2023. For the full fiscal year 2023, the company is expecting revenue of $6.187 billion to $6.2 billion.
Workday’s outlook for subscription revenue is $1.353 billion to $1.355 billion in its second quarter and $4.537 billion to $5.557 billion for the full year, thereby implying + 22% year-over-year growth for both.
WDAY sees its 50-day moving average cross bullishly above its 200-day moving average
The 50-day moving average for WDAY moved above the 200-day moving average on November 25, 2024. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 3 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where WDAY advanced for three days, in of 328 cases, the price rose further within the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on December 23, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on WDAY as a result. In of 91 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for WDAY turned negative on December 19, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 53 similar instances when the indicator turned negative. In of the 53 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WDAY declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
WDAY broke above its upper Bollinger Band on December 09, 2024. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. WDAY’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 87, placing this stock slightly better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (8.905) is normal, around the industry mean (31.078). P/E Ratio (52.292) is within average values for comparable stocks, (160.694). Projected Growth (PEG Ratio) (2.403) is also within normal values, averaging (2.755). Dividend Yield (0.000) settles around the average of (0.084) among similar stocks. P/S Ratio (9.960) is also within normal values, averaging (58.228).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
a provider of software based enterprise business solutions
Industry PackagedSoftware