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Workday (WDAY) Q1 Earnings on the Horizon: Analysts' Insights on Key Performance Measures

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Wall Street analysts forecast that Workday (WDAY - Free Report) will report quarterly earnings of $1.57 per share in its upcoming release, pointing to a year-over-year increase of 19.9%. It is anticipated that revenues will amount to $1.97 billion, exhibiting an increase of 17.2% compared to the year-ago quarter.

The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.

Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.

While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.

Given this perspective, it's time to examine the average forecasts of specific Workday metrics that are routinely monitored and predicted by Wall Street analysts.

According to the collective judgment of analysts, 'Revenues- Subscription services' should come in at $1.81 billion. The estimate indicates a change of +18.4% from the prior-year quarter.

Analysts forecast 'Revenues- Professional services' to reach $163.05 million. The estimate indicates a year-over-year change of +4.3%.

Analysts expect 'Subscription Revenue Backlog' to come in at $20.31 billion. Compared to the present estimate, the company reported $16.65 billion in the same quarter last year.

View all Key Company Metrics for Workday here>>>

Over the past month, shares of Workday have returned +2.3% versus the Zacks S&P 500 composite's +5.8% change. Currently, WDAY carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


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