Deutsche Bank Lowers Workday Price Target Following Earnings

Following third-quarter financial results, analysts at Deutsche Bank lowered the price target on shares of Workday Inc WDAY from $100 to $90 and reaffirmed the Hold rating.

The company reported EPS of $(0.03) on revenue of $215.10 million.

Karl Keirstead stated, “Given 5 consecutive qtrs of 15%+ billings beats and the big Unilever win during 3Q, the beat was more modest than investors are used to. We believe WDAY saw fewer mega-deal closings compared to prior qtrs. Likewise, the preliminary guidance for 40% total revenue growth in FY16, below our 47% estimate, was at the low end of expectations.”

Shares of Workday recently traded at $87.60, down 5.2 percent.