Workday Financials

WDAY Stock  USD 272.75  0.87  0.32%   
Based on the key measurements obtained from Workday's financial statements, Workday may be sliding down financialy. It has an above-average chance of going through some form of financial crunch next quarter. At this time, Workday's Accumulated Other Comprehensive Income is fairly stable compared to the past year. Short and Long Term Debt Total is likely to rise to about 3.5 B in 2024, whereas Common Stock Shares Outstanding is likely to drop slightly above 231.6 M in 2024. Key indicators impacting Workday's financial strength include:
Current ValueLast YearChange From Last Year 10 Year Trend
Current Ratio0.941.9203
Way Down
Slightly volatile
The financial analysis of Workday is a critical element in measuring its lifeblood. The essential information of the day-to-day investment outlook for Workday includes many different criteria found on its balance sheet. For example, investors should never minimize Workday's ability to pay suppliers or employees on time, making sure interest payments are not accumulating or correctly timing where and how to re-invest extra cash. Any individual investor needs to monitor Workday's cash flow, debt, and profitability to effectively and accurately make more informed decisions on whether to invest in Workday.

Net Income

1.45 Billion

With this module, you can analyze Workday financials for your investing period. You should be able to track the changes in Workday individual financial statements over time to develop the understanding of its risk, liquidity, profitability, or other critical and vital indicators.
  
Understanding current and past Workday Financials, including the trends in assets, liabilities, equity and income are directly related to making proper and timely investing decisions. All of Workday's financial statements are interrelated, with each one affecting the others. For example, an increase in Workday's assets may result in an increase in income on the income statement.
Evaluating Workday's financials involves analyzing a range of financial metrics and ratios to gain insights into the company's financial health and performance. However, considering all of Workday's profitability, liquidity ratios, and efficiency indicators at the same time could be an enormous task, and our Financial Distress score can provide you with a snapshot of the Workday's relative financial performance

Chance Of Distress

Less than 9

 
100  
 
Zero
Low
Workday has less than 9 (%) percent chance of experiencing financial distress in the next two years of operations. The calculation of odds of distress for Workday stock is tightly coupled with the Probability of Bankruptcy. It complements the equity performance score by supplying investors with insight into company financials without requiring them to know too much about all of the complex accounting and financial indicators surrounding the entity.
Please note, Workday's odds of distress score SHOULD NOT be confused with the real chance of Workday filing for bankruptcy protection for chapters 7, 11, 12, or 13. We define Financial Distress as an operational condition where an entity such as Workday is having difficulty meeting its current financial obligations towards its creditors or delivering on the expectations of its investors. Macroaxis derives these conditions daily from public financial statements and analysis of stock prices reacting to market conditions or economic downturns, including short-term and long-term historical volatility. Other factors considered include Workday's liquidity analysis, revenue patterns, R&D expenses, and commitments, as well as public headlines and social sentiment.
More Info
The data published in Workday's official financial statements usually reflect Workday's business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Workday. For example, before you start analyzing numbers published by Workday accountants, it's critical to develop an understanding of what Workday's liquidity, profitability, and earnings quality are in the context of the Software space in which it operates.
Please note, the presentation of Workday's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Workday's management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Workday's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Workday. Please utilize our Beneish M Score to check the likelihood of Workday's management manipulating its earnings.

Workday Company Summary

Workday competes with Genworth Financial, Home Depot, Ufp Industries, and HP. Workday, Inc. provides enterprise cloud applications in the United States and internationally. Workday, Inc. was incorporated in 2005 and is headquartered in Pleasanton, California. Workday operates under SoftwareApplication classification in the United States and is traded on NASDAQ Exchange. It employs 16918 people.
Specialization
Information Technology, Software - Application
InstrumentUSA Stock View All
ExchangeNASDAQ Exchange
CIK Number0001327811
ISINUS98138H1014
CUSIP98138H101
RegionNorth America
LocationCalifornia; U.S.A
Business Address6110 Stoneridge Mall
SectorSoftware
IndustryInformation Technology
BenchmarkNYSE Composite
Websitewww.workday.com
Phone925 951 9000
CurrencyUSD - US Dollar
You should never invest in Workday without having analyzed its financial statements. Do not rely on someone else's analysis or guesses about the future performance of Workday Stock, because this is throwing your money away. Analyzing the key information contained in Workday's financial statements can give you an edge over other investors and help to ensure that your investments perform well for you.

Workday Key Financial Ratios

Generally speaking, Workday's financial ratios allow both analysts and investors to convert raw data from Workday's financial statements into concise, actionable information that can be used to evaluate the performance of Workday over time and compare it to other companies across industries. There are many critical financial ratios that investors are exposed to on a daily basis, but they are usually grouped into few meaningful categories from each financial statement that Workday reports annually and quarterly.

Workday Key Balance Sheet Accounts

201920202021202220232024 (projected)
Total Assets6.8B8.7B10.5B13.5B16.5B17.3B
Net Debt838.7M853.9M568.5M1.4B1.3B1.3B
Cash731.1M1.4B1.5B1.9B2.0B2.1B
Other Assets274.1M461.6M682.5M498.0M572.6M601.3M
Total Liab4.3B5.4B6.0B7.9B8.4B8.8B
Other Current Liab378.2M454.3M598.5M823.7M831M872.6M
Other Liab101.0M116.0M95.8M114.8M132.0M127.6M
Retained Earnings(2.6B)(2.9B)(2.7B)(3.1B)(1.7B)(1.8B)
Accounts Payable57.6M75.6M55.5M153.8M78M42.5M
Long Term Debt1.0B691.9M617.4M3.0B3.0B3.1B
Net Receivables877.6M1.0B1.2B1.6B1.6B1.7B
Good Will1.4B1.8B1.8B2.8B2.8B3.0B
Other Current Assets272.5M233.9M327.4M225.7M255M162.7M
Total Current Assets3.1B4.8B5.2B8.1B9.7B10.2B
Short Term Debt310.5M1.2B1.3B91.3M89M84.6M
Intangible Assets308.4M248.6M391.0M305.5M233M151.0M
Common Stock231K242K251K259K297.9K202.9K
Net Tangible Assets358.9M1.5B1.3B2.4B2.8B2.9B
Capital Surpluse4.1B5.1B6.3B7.3B8.4B8.8B

Workday Key Income Statement Accounts

An income statement is very similar to a cash flow statement, but instead of showing net revenue minus expenses, it only includes earnings before interest and taxes (EBIT). This number does not have all of the same line items that are on a cash flow statement, but it leaves out non-cash expenses like depreciation and amortization. For example, if you bought $100 worth of goods from Walmart (WMT) using your debit card that has an interest rate of 20%, then paid off the balance at the end of the month with a credit card that charges 30% interest, you would have an income statement showing EBIT of $80 because your expenses are lower than the amount that went into your pocket. The other reason investors look at the income statement is to determine what Workday's earnings per share (EPS) will be in order to see if they want to buy more shares or not. For example, if a company earned $20 million in the last quarter and has 100,000 shares outstanding, its EPS is 20 cents. If you find that this number beats analysts' forecasts or is higher than it was from the same period last year, then you might want to buy more of this stock even though its price per share may not have changed.
201920202021202220232024 (projected)
Interest Expense58.7M68.8M16.6M102.4M114M119.7M
Total Revenue3.6B4.3B5.1B6.2B7.3B7.6B
Gross Profit2.6B3.1B3.7B4.5B5.5B5.8B
Operating Income(502.2M)(248.6M)(116.5M)(222.2M)183M192.2M
Ebit(502.2M)(248.6M)(116.5M)(222.2M)183M192.2M
Research Development1.5B1.7B1.9B2.3B2.5B2.6B
Ebitda(226.0M)45.1M227.3M142.2M465M488.3M
Cost Of Revenue1.1B1.2B1.4B1.7B1.8B1.9B
Income Before Tax(482.4M)(275.1M)16.2M(260.0M)356M373.8M
Net Income(480.7M)(282.4M)29.4M(366.7M)1.4B1.5B
Income Tax Expense(1.8M)7.3M(13.2M)106.8M(1.0B)(973.8M)
Tax Provision(1.8M)7.3M(13.2M)106.8M(1.0B)(973.8M)
Interest Income41.3M18.8M5.6M97.7M301M316.1M
Net Interest Income(17.4M)(50.0M)(11.0M)(4.6M)187M196.4M

Workday Key Cash Accounts

Cash flow analysis captures how much money flows into and out of Workday. It measures of how well Workday is doing because it can show the actual money that comes into and out of the Company from sales instead of measuring expenses against revenue to determine earnings. You have to read the cash flow statement in three sections. The first section shows how much money Workday brought in, usually known as net revenue or sales. This is different from earnings because it does not include expenses when determining net revenue for use on this part of the cash flow statement. Next, are operating activities, which show how much money Workday had leftover after paying for its expenses. This number can be calculated in two ways: by subtracting the total of all operating expenses from net revenue or by adding up changes to cash and other assets or liabilities on this part of the statement. The third section is about investing activities, which shows what Workday has done with the money that it received from the sale of assets or what it spent to acquire new ones. This section can be broken down into two parts: investing in existing businesses (in other words, buying more stock) and investing in non-business activities like paying off debt or making acquisitions.
201920202021202220232024 (projected)
Change To Inventory176.1M159.2M207.9M318.6M366.4M384.7M
Change In Cash92.5M653.2M152.8M354.5M116.8M147.3M
Free Cash Flow620.1M1.0B1.4B1.3B1.9B2.0B
Depreciation276.3M293.7M343.7M364.4M282M163.3M
Other Non Cash Items176.9M238.4M69.0M316.7M162M98.7M
Capital Expenditures244.5M256.3M272.3M360.3M238M161.3M
Net Income(480.7M)(282.4M)29.4M(366.7M)1.4B1.5B
End Period Cash Flow734.7M1.4B1.5B1.9B2.0B2.1B
Investments(136.2M)(997.0M)26.5M(2.5B)(1.8B)(1.7B)
Change Receivables(160.5M)(176.1M)(159.2M)(207.9M)(187.1M)(177.8M)
Net Borrowings(30K)479.0M(37.6M)1.1B1.3B1.4B
Change To Netincome824.5M992.5M1.0B1.4B1.6B1.7B

Workday Financial Ratios Relationships

Comparative valuation techniques use various fundamental indicators to help in determining Workday's current stock value. Our valuation model uses many indicators to compare Workday value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Workday competition to find correlations between indicators driving Workday's intrinsic value. More Info.
Workday is rated second in short ratio category among related companies. It is rated first in target price category among related companies fabricating about  240.70  of Target Price per Short Ratio. . Comparative valuation analysis is a catch-all model that can be used if you cannot value Workday by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Workday's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Workday's earnings, one of the primary drivers of an investment's value.

Workday Systematic Risk

Workday's systematic risk plays a vital role in portfolio allocation when considering its stock to be added to a well-diversified portfolio. Workday volatility which cannot be eliminated through diversification, requires returns over the risk-free rate. Over the long run, a well-diversified portfolio provides returns that match its exposure to systematic risk. In this case, investors face a trade-off between expected returns and systematic risk and, therefore, can only reduce a portfolio's exposure to systematic risk by sacrificing expected returns on the portfolio.
Incorrect Input. Please change your parameters or increase the time horizon required for running this function. The output start index for this execution was zero with a total number of output elements of zero. The Beta measures systematic risk based on how returns on Workday correlated with the market. If Beta is less than 0 Workday generally moves in the opposite direction as compared to the market. If Workday Beta is about zero movement of price series is uncorrelated with the movement of the benchmark. if Beta is between zero and one Workday is generally moves in the same direction as, but less than the movement of the market. For Beta = 1 movement of Workday is generally in the same direction as the market. If Beta > 1 Workday moves generally in the same direction as, but more than the movement of the benchmark.

About Workday Financials

What exactly are Workday Financials? Typically, a company's financial statements are the reports that show the financial position of the company. Three primary documents fall into the category of financial statements. These documents include Workday's income statement, its balance sheet, and the statement of cash flows. Potential Workday investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Workday investors may use each financial statement separately, they are all related. The changes in Workday's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Workday's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.

Steps to analyze Workday Financials for Investing

There are several different ways that investors can use financial statements to try and predict whether a stock price will go up or down. Unfortunately, there is no surefire formula, but there are some general guidelines you should consider when looking at the numbers. First, realize what kind of company it is so you know if its revenues are more likely to grow or shrink over time. For example, a software company's revenue is expected to increase yearly due to new products and services that its customers will want to buy. At the same time, a car manufacturer might not be able to sell as many cars when the economy slows down, so it would have less net income during those times. Second, pay attention to its debt-to-equity ratio because this number will tell you how much risk it has. If a company such as Workday is not taking on any additional risks, its debt-to-equity should be less than one. As a general rule of thumb, if the market value or book value (which can be found in the footnotes) of assets exceeds the company's liabilities, then it is probably in good shape. Finally, use other financial statements to determine if a stock price will go up or down because investors are always looking for growth opportunities when they buy new stocks. For example, if you see that the net revenue of Workday has grown by more than 25% over the last five years, then there is a good chance that it will continue growing by at least 20% or more each year. On the other hand, if you see that net revenue has only increased by about 15%, which is barely above inflation levels, then chances are it will not grow much faster than this over time, and investors may shy away from buying it.
In summary, you can determine if Workday's financials are consistent with your investment objective using the following steps:
  • Review Workday's balance sheet accounts, such as liabilities and equity, to understand its overall financial position.
  • Analyze the income statement and examine the company's revenue, expenses, and profits over time to determine its financial performance.
  • Study the cash flow inflows and outflows to understand Workday's liquidity and solvency.
  • Look at the growth rates in revenue, earnings, and cash flow over time to determine its potential for future growth.
  • Compare Workday's financials to those of its peers to see how it stacks up and identify any potential red flags.
  • Use valuation ratios to evaluate the company's financials using commonly used ratios such as the price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and enterprise value-to-earnings before interest, taxes, depreciation, and amortization (EV/EBITDA) ratio to determine if Workday's stock is overvalued or undervalued.
Remember, these are just guidelines and should not be the only basis for investment decisions. It is always important to analyze the leading stock market indicators., conduct additional research and seek professional advice if needed.

Workday Thematic Clasifications

Workday is part of several thematic ideas from Disruptive Technologies to SRI Sustainable Growth. If you are a theme-oriented, socially responsible, and at the same time, a result-driven investor, you can align your investing habits with your values without jeopardizing your expectations about returns. You can easily create an optimal portfolio of stocks, ETFs, funds, or cryptocurrencies based on a specific theme of your liking. Get More Thematic Ideas
Today, most investors in Workday Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Workday's growth ratios. Consistent increases or decreases in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's growth growth rates may not be enough to decide which company is a better investment. That's why investors frequently use static breakdown of Workday growth as a starting point in their analysis.

Price Earnings To Growth Ratio

(15.19)

At this time, Workday's Price Earnings To Growth Ratio is fairly stable compared to the past year.

Workday March 29, 2024 Opportunity Range

Along with financial statement analysis, the daily predictive indicators of Workday help investors to analyze its daily demand and supply, volume, patterns, and price swings to determine the real value of Workday. We use our internally-developed statistical techniques to arrive at the intrinsic value of Workday based on widely used predictive technical indicators. In general, we focus on analyzing Workday Stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Workday's daily price indicators and compare them against related drivers.
When determining whether Workday offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Workday's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Workday Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Workday Stock:
Check out Your Current Watchlist to better understand how to build diversified portfolios, which includes a position in Workday. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in nation.
For more information on how to buy Workday Stock please use our How to Invest in Workday guide.
Note that the Workday information on this page should be used as a complementary analysis to other Workday's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Content Syndication module to quickly integrate customizable finance content to your own investment portal.

Complementary Tools for Workday Stock analysis

When running Workday's price analysis, check to measure Workday's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Workday is operating at the current time. Most of Workday's value examination focuses on studying past and present price action to predict the probability of Workday's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Workday's price. Additionally, you may evaluate how the addition of Workday to your portfolios can decrease your overall portfolio volatility.
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Is Workday's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Workday. If investors know Workday will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Workday listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
5.2
Revenue Per Share
27.776
Quarterly Revenue Growth
0.168
Return On Assets
0.0076
Return On Equity
0.2021
The market value of Workday is measured differently than its book value, which is the value of Workday that is recorded on the company's balance sheet. Investors also form their own opinion of Workday's value that differs from its market value or its book value, called intrinsic value, which is Workday's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Workday's market value can be influenced by many factors that don't directly affect Workday's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Workday's value and its price as these two are different measures arrived at by different means. Investors typically determine if Workday is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Workday's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.