On Tuesday, financial management and human capital management software company Workday announced that it closed the acquisition of Peakon. Analysts at J.P. Morgan added the company to the investment firm's analyst focus list.
J.P. Morgan analyst Mark Murphy affirmed his overweight rating on Workday shares and $260 price target. Murphy added Workday to the US Equity Analyst Focus List in the Growth category. According to Murphy, the acquisition of employee success platform company Peakon, can be expected to put Workday in competition with current market giants SAP and Oracle.
Following meetings with Workday management last week and this week, Murphy thinks the company can deliver accelerating net new ACV growth in 2021, which will boost subscription revenue growth through FY23 or calendar year 2022.