From Yahoo Finance: 2025-05-24 04:31:00

JMP analysts reaffirmed Workday Inc. as Market Outperform with a $315 price target after their Q1 earnings beat estimates. Workday’s revenue grew 13% year-over-year to $2.24 billion, slightly exceeding projections. However, slower growth in subscription revenue and billings led to a 7% drop in stock price on May 23.

Despite a positive earnings report, Workday’s year-over-year revenue growth slowed from 15% to 13%, with subscription revenue growth also decreasing from 16% to 13%. Quarterly billings of $1.57 billion were up 6% from the previous year but below estimates, causing concern among investors. Stock fell 7% in aftermarket trading.

JMP analysts see potential in Workday but suggest other AI stocks may offer higher returns with less risk. For those seeking a promising AI stock with significant upside potential, they recommend exploring a report on the “cheapest AI stock.” Stock market analysis and recommendations are available for further reading.

Read more: JMP Reaffirms Market Outperform Rating on Workday After Mixed Q1 Report