Reported 6 months ago
Workday's stock saw a significant drop in value following a reduction in its full-year subscription revenue forecast for the cloud-based corporate management platform. The stock fell by over $40 in Friday's trading session. Analysts noted a challenging environment for non-AI enterprise tech companies, attributing the weaker outlook to industry-wide trends rather than company-specific issues. Despite mixed results, Workday's operating margins were noted to be above consensus. The company's CEO is seen as capable of leading a successful turnaround in the long term, but short-term challenges are expected due to macroeconomic conditions. Workday's lowered subscription revenue outlook, although described as modest, caught investors' attention and contributed to the stock's decline.
Source: YAHOO