Workday price target raised to $330 from $315 at Morgan Stanley

Morgan Stanley raised the firm’s price target on Workday (WDAY) to $330 from $315 and keeps an Overweight rating on the shares. After “yet again lowering their medium term outlook, albeit modestly” from the 15% for FY26/FY27 talked about at its analyst day in September to a 14% subscription revenue growth view for FY26, Workday management “likely loses a good deal of investor confidence, and adds credence to the bear case,” the analyst says. However, the durability of the base and upsell potential of a broadening solution set is “underpriced” at current levels, the analyst argues.