Workday Stock Analysis Ahead of Earnings Report

Workday (NASDAQ: WDAY) is set to release its earnings report this Thursday, and investors are watching closely to see whether the stock can regain momentum after months of lacklustre performance.

Workday Share Price Performance

As of yesterday’s close, Workday shares ended at $231.87, showing little movement over the past 12 months. The stock is down 8% year-to-date and 11% over the past six months. Despite this decline, earnings expectations remain strong.

According to the Nasdaq earnings calendar, Workday’s EPS for the reporting quarter is forecast to rise by 116% year-on-year. With a forward P/E ratio of just under 23, Workday’s valuation could be considered slightly undervalued in the near term.

Workday Earnings Outlook

While the share price has been stagnant, earnings growth expectations are robust. This disconnect could present an opportunity for investors if the company delivers results that support its current valuation.

Technical Analysis of Workday Stock

From a technical perspective, Workday stock has strong support in the $200–$207 range, an area tested six times recently, each time bouncing higher. Resistance remains around the $230 level, which aligns with a descending trendline.

• The stock struggled to push higher in July but is now forming an equal bottom pattern.

• The MACD indicator is hinting at a possible bullish divergence.

• If momentum builds ahead of earnings, buyers may force a breakout above $230.

Workday Stock Forecast: Bullish Bias Ahead of Earnings

The real test for Workday’s share price will come with Thursday’s earnings announcement. If results align with or exceed market expectations, analysis suggests the bias leans to the upside. Strong earnings could justify the current valuation and potentially spark a breakout rally.