Workday (NASDAQ: WDAY) is one of the stocks in the spotlight today. The company will be announcing its Q3 results and the consensus estimates are optimistic. The consensus estimates for the company’s revenues stand at $920.7 million, or an increase of 23.9% compared to a similar quarter in the last financial year. The consensus EPS stands at $0.38 or an increase of 22.6% compared to a similar quarter in the last financial year.
Back in Q2, the company beat analyst expectations on several key metrics. Analysts were expecting an EPS of $0.35 but the company surpassed that to record an EPS of $0.44. Revenues also beat expectations by 1.7% to stand at $887.8 million in the quarter.
In Q3, one of the key factors that analysts are keeping an eye on is demand for the company’s HCM and financial management solutions. Demand for these services has increased, as more organizations move to push their services to the cloud.
Analysts will also be looking into how the company’s improved customer satisfaction metrics will play into the results. The company’s products have been gaining in popularity in the global market especially in Europe and Asia. Growing customer numbers are expected to drive up the company’s top line in the quarter.
When announcing Q3 results, the company’s management also offered guidance for Q3 numbers. Investors will be looking to see how the company has performed in the quarter vis-à-vis those guidelines. From the guidelines, the company expects revenues to range between $783 million and $785 million. This represents a significant increase when compared to the revenues of $624.4 million that the company reported in the same quarter a year ago.
In Monday’s session, the stock was trading between a high of $178.65 and a low of $169.50 before closing the day at $171.93. Volumes in the day stood at 2.17 million.
About Workday, Inc
Workday Inc is an enterprise cloud solutions company. The company has its headquarters in Pleasanton, California.