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Exploring Analyst Estimates for Workday (WDAY) Q2 Earnings, Beyond Revenue and EPS

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In its upcoming report, Workday (WDAY - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $2.09 per share, reflecting an increase of 19.4% compared to the same period last year. Revenues are forecasted to be $2.34 billion, representing a year-over-year increase of 12.2%.

The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.

Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.

While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.

With that in mind, let's delve into the average projections of some Workday metrics that are commonly tracked and projected by analysts on Wall Street.

The consensus estimate for 'Revenues- Subscription services' stands at $2.16 billion. The estimate suggests a change of +13.5% year over year.

The average prediction of analysts places 'Revenues- Professional services' at $180.17 million. The estimate indicates a change of -1% from the prior-year quarter.

The combined assessment of analysts suggests that 'Subscription Revenue Backlog' will likely reach $26.48 billion. Compared to the present estimate, the company reported $21.58 billion in the same quarter last year.

View all Key Company Metrics for Workday here>>>

Shares of Workday have experienced a change of -3% in the past month compared to the +3.5% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), WDAY is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .


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