Why Is Workday's Stock Trading Higher Today?

Workday, Inc. WDAY shares are trading higher after the company reported better-than-expected second-quarter financial results and raised its full year 2022 guidance.

Workday reported quarterly earnings of $1.23 per share which beat the analyst estimate of $0.78 and sales of $1.26 billion which beat the analyst estimate of $1.24 billion.

Workday raised its full year 2022 subscription sales guidance to the range of $4.5 billion to $4.51 billion. The company also raised its adjusted operating margin guidance to 21%.

Workday issued third-quarter subscription sales guidance in the range of $1.156 billion to $1.158 billion.

"Our business continues to accelerate, fueled by growing demand from large enterprise customers for our industry leading HR, finance, and planning solutions to drive transformation at scale," said Chano Fernandez, co-CEO, Workday.

Workday, Inc. provides enterprise cloud applications worldwide. Its applications help its customers to manage critical business functions and optimize their financial and human resources.

Workday's stock was trading about 10.6% higher at $273 per share on Friday at the time of publication. The stock has a 52-week high of $282.77 and a 52-week low of $195.81.