Workday Inc (NYSE:WDAY) stock is packed into a crowded corner of the technology sector, yet it still manages to outperform expectations. Among other reasons, the firm’s willingness to throw a couple of elbows turned me bullish on Workday stock.
The business software company is going head-to-head with some of the biggest names in the tech sector. I’m talking about giants like Salesforce.com, Inc. (NYSE:CRM), Oracle Corporation(NYSE:ORCL), and even the titan of cloud services: Amazon.com, Inc. (NASDAQ:AMZN)
That said, even the most promising of startups have to turn the corner at some point. Investors were starting to lose patience with Workday stock as the industry slowed.
To make matters worse, fewer analysts were bullish on WDAY stock. (Source: “Workday’s Price for Getting the Job Done,” The Wall Street Journal, August 25, 2016.)
“Buy” ratings dropped to 38% from 56% a year ago, suggesting that the company’s goodwill was running dry. Meanwhile, short sellers ramped up their bets against Workday stock in the hopes that its share price would come crashing down.
Workday’s management noticed the landscape shifting under their feet, so they hired a new chief financial officer three months ago. Her name is Robynne Sisco, and she’s held high-ranking positions at VMWare, Inc. (NYSE:VMW), Verisign Inc. (NASDAQ:VRSN), and Oracle Corporation(NYSE:ORCL).
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