Workday’s second quarter earnings edged past analysts’ expectations, while the company boosted its FY 2020 subscription revenue outlook.
The cloud-based financial management and human capital management software vendor reported a non-GAAP net earnings per diluted share of 44 cents, which is higher than the Street estimates of 35 cents. The EPS is also higher than the year-ago quarter’s 31 cents.
Revenue surged +32% from the prior year’s quarter to $887.8 million, also surpassing analysts’ expectation of $872.31 million.
The company’s subscription revenue for the quarter was $757.2 million, marking a +33.9% increase from the same period last year.
Some of the new customers that Workday added In the second quarter, included The Gap, Stanley Black & Decker, and Rockwell Automation in North America, and Stores Limited in Europe, and Buntings Group Limited in the Asia Pacific-Japan region.
Looking ahead, Workday projects fiscal full-year 2020 subscription revenue to range between $3.06 billion and $3.07 billion. For the third quarter, the company’s forecast for subscription revenue is between $783 million and $785 million.
Moving lower for three straight days is viewed as a bearish sign. Keep an eye on this stock for future declines. Considering data from situations where WDAY declined for three days, in of 268 cases, the price declined further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on June 13, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on WDAY as a result. In of 89 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 May 23, 2025. 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 54 similar instances when the indicator turned negative. In of the 54 cases the stock turned lower in the days that followed. This puts the odds of success at .
WDAY moved below its 50-day moving average on June 17, 2025 date and that indicates a change from an upward trend to a downward trend.
The RSI Indicator entered the oversold zone -- be on the watch for WDAY's price rising or consolidating in the future. That's also the time to consider buying the stock or exploring call options.
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 2 days, which means it's wise to expect a price bounce in the near future.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where WDAY advanced for three days, in of 319 cases, the price rose further within the following month. The odds of a continued upward trend are .
WDAY may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 178 cases where WDAY Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding 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.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. WDAY’s price grows at a lower 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 that the returns do not compensate for the risks. WDAY’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 88, placing this stock 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 (31.737). P/E Ratio (52.292) is within average values for comparable stocks, (163.841). Projected Growth (PEG Ratio) (2.403) is also within normal values, averaging (2.724). Dividend Yield (0.000) settles around the average of (0.029) among similar stocks. P/S Ratio (9.960) is also within normal values, averaging (61.651).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable 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 average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a provider of software based enterprise business solutions
Industry PackagedSoftware