Workday CEO Carl Eschenbach Claims AI Concerns Are Overblown, Highlights Company Strengths
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6d ago
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Source: Newsfilter
- AI Impact Assessment: Workday CEO Carl Eschenbach stated during a CNBC interview in Davos that concerns about AI destroying the software industry are an 'overblown narrative,' emphasizing that AI serves as a tailwind for the company, aiming to alleviate investor fears.
- Market Performance Review: Despite software stocks facing sell-offs due to the rise of AI tools, Workday's shares fell 17% last year and another 15% since the start of 2026; however, Eschenbach believes the company's investments in AI will help maintain its competitive edge.
- Strategic Investment and Layoffs: To enhance its AI capabilities, Workday cut approximately 1,750 jobs last year, reflecting the company's commitment to technological upgrades and its anticipation of future market demands.
- Customer Trust and Market Positioning: Eschenbach highlighted that Workday's incumbency in the enterprise software market and the trust it garners from customers uniquely position it to be one of the AI winners, with expectations of continued demand for its AI tools from businesses.
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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: 188.580
Low
235.00
Averages
275.19
High
325.00
Current: 188.580
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.
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