NASDAQ:WDAY—A High-Growth Stock Gearing Up for Its Next Upward Move.

In this article, we'll take a closer look at WORKDAY INC-CLASS A (NASDAQ:WDAY) as a potential candidate for growth investing. While it's important for investors to conduct their own research, WORKDAY INC-CLASS A has piqued our interest by appearing on our strong growth and breakout radar. Let's explore further.

Growth Analysis for NASDAQ:WDAY

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NASDAQ:WDAY has received a 8 out of 10:

• The Earnings Per Share has grown by an impressive 32.13% over the past year.
• Measured over the past years, WDAY shows a very strong growth in Earnings Per Share. The EPS has been growing by 33.84% on average per year.
• The Revenue has grown by 16.81% in the past year. This is quite good.
• The Revenue has been growing by 20.80% on average over the past years. This is a very strong growth!
• Based on estimates for the next years, WDAY will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.65% on average per year.
• WDAY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.41% yearly.

A Closer Look at Health for NASDAQ:WDAY

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NASDAQ:WDAY scores a 7 out of 10:

• An Altman-Z score of 6.32 indicates that WDAY is not in any danger for bankruptcy at the moment.
• WDAY's Altman-Z score of 6.32 is fine compared to the rest of the industry. WDAY outperforms 68.46% of its industry peers.
• WDAY has a debt to FCF ratio of 1.41. This is a very positive value and a sign of high solvency as it would only need 1.41 years to pay back of all of its debts.
• With a decent Debt to FCF ratio value of 1.41, WDAY is doing good in the industry, outperforming 69.89% of the companies in the same industry.
• WDAY has a Debt/Equity ratio of 0.35. This is a healthy value indicating a solid balance between debt and equity.
• Although WDAY does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
• A Current Ratio of 2.05 indicates that WDAY has no problem at all paying its short term obligations.
• WDAY's Current ratio of 2.05 is fine compared to the rest of the industry. WDAY outperforms 60.93% of its industry peers.
• WDAY has a Quick Ratio of 2.05. This indicates that WDAY is financially healthy and has no problem in meeting its short term obligations.
• The Quick ratio of WDAY (2.05) is better than 62.01% of its industry peers.

Exploring NASDAQ:WDAY's Profitability

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NASDAQ:WDAY, the assigned 6 is a significant indicator of profitability:

• The Return On Assets of WDAY (9.87%) is better than 86.38% of its industry peers.
• The Return On Equity of WDAY (18.79%) is better than 87.10% of its industry peers.
• WDAY has a Return On Invested Capital of 2.76%. This is in the better half of the industry: WDAY outperforms 70.25% of its industry peers.
• WDAY's Profit Margin of 19.87% is amongst the best of the industry. WDAY outperforms 87.46% of its industry peers.
• WDAY's Operating Margin of 5.13% is fine compared to the rest of the industry. WDAY outperforms 71.68% of its industry peers.
• WDAY has a Gross Margin of 75.60%. This is in the better half of the industry: WDAY outperforms 68.10% of its industry peers.

How does the Setup look for NASDAQ:WDAY

In addition to the Technical Rating, ChartMill provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the level of consolidation in the stock based on multiple short-term technical indicators. Currently, NASDAQ:WDAY has a 7 as its setup rating, indicating its current consolidation status.

Besides having an excellent technical rating, WDAY also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. A pullback is taking place, which may present a nice opportunity for an entry. There is a resistance zone just above the current price starting at 277.50. Right above this resistance zone may be a good entry point.

Our Strong Growth screener lists more Strong Growth stocks and is updated daily.

Our latest full fundamental report of WDAY contains the most current fundamental analsysis.

Our latest full technical report of WDAY contains the most current technical analsysis.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.