Workday Shares Pop On Bullish Analyst Rating

DA Davidson analyst Robert Simmons initiated coverage of Workday Inc WDAY with a Buy rating and $300 price target, implying a 13% upside.
Simmons said that the company is a dominant Cloud HCM provider in the U.S. with a financial management suite that has matured to take the baton on driving growth.
Simmons adds that Workday's ramping international investments should allow the company to sustain its 20% subscription growth as it tracks toward its $10 billion revenue target.
Workday provides enterprise cloud applications worldwide.
Workday reported Q2 EPS of $1.23 per share, beating the consensus of $0.78. The sales of $1.26 billion exceeded the consensus of $1.24 billion.
Workday raised its FY22 subscription sales guidance to $4.5 billion - $4.51 billion. Workday issued Q3 subscription sales guidance of $1.156 billion - $1.158 billion.
Price Action: WDAY shares traded higher by 2.94% at $264.75 on the last check Wednesday.

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