Workday Inc (WDAY) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target
Workday Inc stock (WDAY) is currently trading at $127.07. Workday Inc PE ratio is 50.03. Workday Inc PS ratio (Price-to-Sales) is 3.50. Analyst consensus price target for WDAY is $181.31. WallStSmart rates WDAY as Hold.
- WDAY PE ratio analysis and historical PE chart
- WDAY PS ratio (Price-to-Sales) history and trend
- WDAY intrinsic value — DCF, Graham Number, EPV models
- WDAY stock price prediction 2025 2026 2027 2028 2029 2030
- WDAY fair value vs current price
- WDAY insider transactions and insider buying
- Is WDAY undervalued or overvalued?
- Workday Inc financial analysis — revenue, earnings, cash flow
- WDAY Piotroski F-Score and Altman Z-Score
- WDAY analyst price target and Smart Rating
Workday Inc
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WDAY Intrinsic Value Analysis for Value Investors
Benjamin Graham Formula · Workday Inc (WDAY)
WDAY trades 22% above its Graham fair value of $118.87, indicating the stock may be overvalued at current levels.
Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.
Smart Analysis
Workday Inc (WDAY) · 10 metrics scored
Smart Score
Category Performance
WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.
Investment Thesis
Strong fundamentals in market cap, peg ratio, eps growth. Concerns around return on equity. Fundamentals are solid but monitor weak areas for improvement.
Workday Inc (WDAY) Key Strengths (4)
Growing significantly faster than its price suggests
Earnings per share surging 62.90% year-over-year
97.80% of shares held by major funds and institutions
Large-cap company with substantial market presence
Supporting Valuation Data
Workday Inc (WDAY) Areas to Watch (6)
Low profitability relative to shareholder equity
Thin operating margins with cost pressures present
Premium pricing at 4.3x book value
Thin profit margins with limited profitability
Revenue is fairly priced at 3.50x sales
Solid revenue growth at 14.50% per year
Supporting Valuation Data
Workday Inc (WDAY) Detailed Analysis Report
Overall Assessment
This company scores 64/100 in our Smart Analysis, earning a C+ grade. Out of 10 metrics analyzed, 4 register as strengths (avg 9.8/10) while 6 fall into concern territory (avg 4.5/10). The category breakdown reveals uneven performance, with some areas requiring attention.
The Bull Case
The strongest argument centers on PEG Ratio, EPS Growth, Institutional Own.. Valuation metrics including PEG Ratio (0.50) suggest the stock is attractively priced. Growth metrics are encouraging with EPS Growth at 62.90%.
The Bear Case
The primary concerns are Return on Equity, Operating Margin, Price/Book. Some valuation metrics including Price/Sales (3.50), Price/Book (4.26) suggest expensive pricing. Growth concerns include Revenue Growth at 14.50%, which may limit upside. Profitability pressure is visible in Return on Equity at 8.23%, Operating Margin at 12.00%, Profit Margin at 7.26%.
Key Dynamics to Monitor
Three factors to monitor going forward. First, whether Return on Equity improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 8.23% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at 14.50% needing to reaccelerate.
Risk Considerations
Based on the metric profile, this is a moderate-to-high risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.
Bottom Line
Mixed fundamentals with both positives (PEG Ratio, EPS Growth) and negatives (Return on Equity, Operating Margin). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.
Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.
WDAY Price-to-Sales(PS) Ratio Chart
Historical valuation based on market cap ÷ trailing 12-month revenue
WDAY's Price-to-Sales ratio of 3.50x trades at a deep discount to its historical average of 15.35x (1th percentile). The current valuation is 93% below its historical high of 53.48x set in Oct 2012, and 17% above its historical low of 2.98x in Feb 2026. Over the past 12 months, the PS ratio has compressed from ~6.0x as trailing revenue scaled faster than the stock price.
Compare WDAY with Competitors
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Data-driven financial summary for Workday Inc (WDAY) · TECHNOLOGY › SOFTWARE - APPLICATION
The Big Picture
Workday Inc operates as a stable business with moderate growth and solid fundamentals. Revenue reached 9.6B with 14% growth year-over-year. Profit margins are thin at 7.3%, typical for companies in this phase that are reinvesting heavily in growth.
Key Findings
ROE of 823.0% means the company generates strong returns on shareholder equity. Above 20% is considered top-tier.
Generating 1.2B in free cash flow and 1.3B in operating cash flow. Earnings are translating into actual cash generation.
What to Watch Next
Margin expansion: can Workday Inc push profit margins above 15% as the business scales?
Valuation compression risk at a P/E of 50.0x. Any growth miss could trigger a sharp correction.
Sector dynamics: monitor SOFTWARE - APPLICATION industry trends, competitive moves, and regulatory changes that could impact Workday Inc.
Bottom Line
Workday Inc offers stability with moderate growth and solid fundamentals. The valuation may present an opportunity for patient investors, though limited growth means returns will likely come from dividends and modest capital appreciation rather than explosive gains.
This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.
Insider Transactions
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About Workday Inc(WDAY)
NASDAQ
TECHNOLOGY
SOFTWARE - APPLICATION
USA
Workday, Inc. provides business applications in the cloud worldwide. The company is headquartered in Pleasanton, California.