Workday to Lay Off 1,750 Employees as Part of Restructuring Plan
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 05 2025
0mins
Source: investopedia.com
Workday Layoffs Announcement: Workday plans to lay off approximately 1,750 employees, or 8.5% of its workforce, as part of a restructuring plan aimed at focusing on durable growth and investments in artificial intelligence.
Financial Impact and Stock Performance: The company expects to incur charges between $230 million to $270 million due to the layoffs, with a significant drop in GAAP operating margins anticipated; however, Workday shares rose over 4% in recent trading despite being down about 7% over the past year.
Analyst Views on WDAY
Wall Street analysts forecast WDAY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for WDAY is 275.19 USD with a low forecast of 235.00 USD and a high forecast of 325.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
31 Analyst Rating
22 Buy
9 Hold
0 Sell
Moderate Buy
Current: 188.180
Low
235.00
Averages
275.19
High
325.00
Current: 188.180
Low
235.00
Averages
275.19
High
325.00
About WDAY
Workday, Inc. is a provider of an artificial intelligence (AI) platform to help organizations manage their people, money, and agents. The Company provides over 11,000 organizations with cloud solutions powered by AI to help solve business challenges, including supporting and empowering their workforce, managing their finances and spending in an ever-changing environment, and planning for the unexpected. It offers Financial Management, Spend Management, Human Capital Management (HCM), Planning, and Analytics applications. The Company sells its solutions worldwide primarily through direct sales. It also offers professional services, both directly and through its Workday Services Partners, to help customers deploy its solutions. It offers businesses flexible solutions to help them adapt to their industry-specific needs and respond to change. It serves various industries, including professional and business services, financial services, healthcare, education, government, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
