Mizuho Securities analyst Siti Panigrahi has reiterated their bullish stance on WDAY stock, giving a Buy rating yesterday.
Siti Panigrahi has given his Buy rating due to a combination of factors that highlight Workday’s strong business momentum and promising growth prospects. The company exceeded expectations in its recent quarterly results, surpassing both subscription revenue and backlog estimates. This performance, coupled with management’s reiterated guidance for future growth, suggests a conservative outlook that could see acceleration, driven by factors such as international expansion, AI product adoption, and increased traction in financial management solutions.
Furthermore, Workday’s strategic initiatives, including its focus on AI capabilities and efficient growth, are positioning it as a leading vendor in the back-office sector. The company’s commitment to maintaining a 30% operating margin by fiscal year 2027, alongside its robust partner network and successful product expansions, reinforces its potential for long-term success. These elements collectively underpin Panigrahi’s confidence in Workday’s ability to deliver sustained growth and justify the Buy rating.
In another report released yesterday, Canaccord Genuity also maintained a Buy rating on the stock with a $330.00 price target.