Equity Profile

WDAY

Workday, Inc.

Information TechnologyApplication Software$35.6B

Aug20Thu

Pre-Earnings Brief

UpcomingQ2-2027After Close5:00 PM EDT

Company Snapshot

Workday, Inc. is a leading provider of cloud-based software for finance and human resources....

Key Metrics to Watch

Earnings Per Share (EPS)

EPS is a crucial indicator of the company's profitability and financial health, and investors will be keen to see if Workday continues its trend of beating estimates.

N/A

Revenue Growth

Revenue growth reflects the company's ability to expand its customer base and increase sales, which is vital for sustaining long-term growth.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

WDAY Q2-2027 Earnings Preview

Context

Company Snapshot

Workday, Inc. is a leading provider of cloud-based software for finance and human resources. As a key player in the Information Technology sector, it helps organizations manage their financial and workforce operations, which is increasingly important as businesses adapt to digital transformation and remote work trends.

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

100%

Avg EPS Surprise

+198.49%

Avg Stock Reaction

-0.14%

Last Quarter Recap

In the last quarter, Workday reported an impressive EPS of $2.66, significantly surpassing estimates. However, the stock reacted negatively the following day, indicating mixed investor sentiment despite the strong earnings.

Management Promises & Guidance

Continued focus on enhancing product offerings.
Commitment to expanding customer base in key markets.
Investment in AI and machine learning capabilities.

Expectations

Wall Street Expectations

Overall, expectations are high for Workday, especially given its track record of beating earnings estimates. Investors are looking for continued strong performance, particularly in EPS and revenue growth.

Bull Case

If Workday delivers another earnings surprise, it could reinforce investor confidence and drive the stock higher, especially given its recent strong performance.

Bear Case

Conversely, if the company fails to meet expectations or provides cautious guidance, it could lead to a significant drop in stock price, especially after the recent selling by insiders.

Expectations

Two Questions That Matter

The print will turn on these two things.

Will Workday's EPS exceed $2.66 again this quarter?

Given the company's history of beating EPS estimates, a repeat performance could significantly boost investor confidence.

What is the current customer retention rate?

A strong retention rate is essential for sustained revenue growth and could indicate the effectiveness of Workday's services.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may be underestimating the impact of Workday's recent investments in AI, which could drive higher-than-expected revenue growth this quarter.

Supporting Evidence

Workday has consistently beaten EPS estimates, indicating strong operational performance.

The options market is pricing a larger move than historical averages, suggesting heightened expectations.

Insider selling may not reflect the company's fundamentals but rather personal financial decisions.

Key Risk

If customer retention rates show significant improvement, it could challenge the cautious outlook many analysts have.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

The market is debating whether Workday can maintain its impressive earnings growth amidst increasing competition and economic pressures.

Bull Confirmed If

An EPS of $2.75 or higher would confirm the bull case, indicating continued strong profitability.

Bear Confirmed If

An EPS below $2.50 would confirm the bear case, raising concerns about profitability and growth.

Pre-Earnings Positioning

Options Market

Implied Move

±8.89%

Historical Avg

±1.7%

Pricing rich

The options market is pricing in a significant move, suggesting that traders expect volatility around the earnings announcement.

Options are pricing ±8.9% while WDAY has averaged ±1.7% over the last 8 prints — setup is pricing rich.

Detail

ATM IV

0.6%

30d HV

66.6%

Calls (368K)P/C Ratio: 0.50Puts (241K)

Edge

Insider Activity

Open-market trades by officers, directors, and 10%+ holders over the trailing 90 days.

Bought

$0.00

0 sh

0 insiders

Sold

$12.3M

109,085 sh

2 insiders

Net

$12.3M

Net selling

Most Active Insiders· 7 open-market trades

Insider

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If Workday beats expectations and raises guidance, history suggests the stock could rise by about 1.69% on the following day.

In-Line / Cautious

If results are in line with expectations but management provides cautious commentary, the stock may experience a muted reaction.

Miss

If the company misses earnings expectations, history indicates a potential decline of around 0.14% on the next trading day.

Preparation

Congressional Activity

House & Senate STOCK Act disclosures over the trailing 6 months.

Trades

2 buys·0 sells

Members

House only

Est. Notional

$2,002.00–$30,000.00

disclosed dollar ranges

Most Active Members

D-CAGilbert CisnerosRep.
2

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Updates on customer retention rates and any changes in client demand.
2Details on new product features and enhancements, particularly in AI.
3Any commentary on competitive pressures in the application software market.
4Insights into geographic expansion and new market opportunities.
5Management's outlook on economic conditions and their impact on business.

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AI-powered briefs, options data, and 20 quarters of history — everything you need before earnings.

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Company Snapshot

Workday, Inc. is a leading provider of cloud-based software for finance and human resources....

Key Metrics to Watch

Earnings Per Share (EPS)

EPS is a crucial indicator of the company's profitability and financial health, and investors will be keen to see if Workday continues its trend of beating estimates.

N/A

Revenue Growth

Revenue growth reflects the company's ability to expand its customer base and increase sales, which is vital for sustaining long-term growth.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

WDAY Q2-2027 Earnings Preview

Context

Company Snapshot

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

100%

Avg EPS Surprise

+198.49%

Avg Stock Reaction

-0.14%

Last Quarter Recap

Management Promises & Guidance

Continued focus on enhancing product offerings.
Commitment to expanding customer base in key markets.
Investment in AI and machine learning capabilities.

Expectations

Wall Street Expectations

Bull Case

If Workday delivers another earnings surprise, it could reinforce investor confidence and drive the stock higher, especially given its recent strong performance.

Bear Case

Conversely, if the company fails to meet expectations or provides cautious guidance, it could lead to a significant drop in stock price, especially after the recent selling by insiders.

Expectations

Two Questions That Matter

The print will turn on these two things.

Will Workday's EPS exceed $2.66 again this quarter?

Given the company's history of beating EPS estimates, a repeat performance could significantly boost investor confidence.

What is the current customer retention rate?

A strong retention rate is essential for sustained revenue growth and could indicate the effectiveness of Workday's services.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may be underestimating the impact of Workday's recent investments in AI, which could drive higher-than-expected revenue growth this quarter.

Supporting Evidence

Workday has consistently beaten EPS estimates, indicating strong operational performance.

The options market is pricing a larger move than historical averages, suggesting heightened expectations.

Insider selling may not reflect the company's fundamentals but rather personal financial decisions.

Key Risk

If customer retention rates show significant improvement, it could challenge the cautious outlook many analysts have.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

The market is debating whether Workday can maintain its impressive earnings growth amidst increasing competition and economic pressures.

Bull Confirmed If

An EPS of $2.75 or higher would confirm the bull case, indicating continued strong profitability.

Bear Confirmed If

An EPS below $2.50 would confirm the bear case, raising concerns about profitability and growth.

Pre-Earnings Positioning

Options Market

Implied Move

±8.89%

Historical Avg

±1.7%

Pricing rich

The options market is pricing in a significant move, suggesting that traders expect volatility around the earnings announcement.

Options are pricing ±8.9% while WDAY has averaged ±1.7% over the last 8 prints — setup is pricing rich.

Detail

ATM IV

0.6%

30d HV

66.6%

Calls (368K)P/C Ratio: 0.50Puts (241K)

Edge

Insider Activity

Open-market trades by officers, directors, and 10%+ holders over the trailing 90 days.

Bought

$0.00

0 sh

0 insiders

Sold

$12.3M

109,085 sh

2 insiders

Net

$12.3M

Net selling

Most Active Insiders· 7 open-market trades

Insider

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If Workday beats expectations and raises guidance, history suggests the stock could rise by about 1.69% on the following day.

In-Line / Cautious

If results are in line with expectations but management provides cautious commentary, the stock may experience a muted reaction.

Miss

If the company misses earnings expectations, history indicates a potential decline of around 0.14% on the next trading day.

Preparation

Congressional Activity

House & Senate STOCK Act disclosures over the trailing 6 months.

Trades

2 buys·0 sells

Members

House only

Est. Notional

$2,002.00–$30,000.00

disclosed dollar ranges

Most Active Members

D-CAGilbert CisnerosRep.
2

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Updates on customer retention rates and any changes in client demand.
2Details on new product features and enhancements, particularly in AI.
3Any commentary on competitive pressures in the application software market.
4Insights into geographic expansion and new market opportunities.
5Management's outlook on economic conditions and their impact on business.