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Here's How Much a $1000 Investment in Workday Made 10 Years Ago Would Be Worth Today

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How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.

Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.

What if you'd invested in Workday (WDAY - Free Report) ten years ago? It may not have been easy to hold on to WDAY for all that time, but if you did, how much would your investment be worth today?

Workday's Business In-Depth

With that in mind, let's take a look at Workday's main business drivers.

Founded in 2005 and headquartered in Pleasanton, CA, Workday Inc. (WDAY - Free Report) is a provider of enterprise-level software solutions for financial management and human resource domains. The company’s cloud-based platform combines finance and HR in a single system that makes it easier for organizations to provide analytical insights and decision support.

Notably, organizations ranging from medium-sized businesses to Fortune 50 enterprises have opted for Workday solutions. The company also offers open, standards-based web-services application programming interfaces and pre-built packaged integrations and connectors.

In the third quarter of fiscal 2025, the company reported revenues of $2.16 billion. Subscription revenues accounted for 90.7% of total revenues, while professional revenues comprised the rest.

Apart from Financial Management and Human Capital Management (HCM) solutions, the company offers applications related to Payroll, Time Tracking, Recruiting, Learning, Planning, Professional Services Automation and Student.

The company offers Adaptive Insights Business Planning Cloud solutions, Workday Prism Analytics, Workday Data-as-a-Service (DaaS) and Workday Marketplace.  Workday Prism Analytics helps in business planning and collaborative approach.

Workday Prism Analytics helps customers to bring Workday data and data from any outside source together in order to make better business decisions. Workday DaaS is a cloud service that provides important data to customers which in turn help in decision-making.

The company serves technology, financial services, business services, healthcare and life sciences, manufacturing, and consumer and retail industries, as well as education and government industries.

Workday ended fiscal 2023 with more than 50% of the Fortune 500 customers. Its peers in HCM market include SAP SE, Oracle Corporation, Automated Data Processing, and Ceridian, among others.

Bottom Line

Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Workday, if you bought shares a decade ago, you're likely feeling really good about your investment today.

A $1000 investment made in December 2014 would be worth $3,192.22, or a gain of 219.22%, as of December 26, 2024, according to our calculations. This return excludes dividends but includes price appreciation.

The S&P 500 rose 190.12% and the price of gold increased 110.26% over the same time frame in comparison.

Going forward, analysts are expecting more upside for WDAY.

Workday reported strong third-quarter fiscal 2025 results, with both the bottom and top lines surpassing the respective Zacks Consensus Estimate. Solid customer wins across various industries, including education, financials, and healthcare, are driving the top line. A robust cash balance and strong cash flows are tailwinds. Workday is set to be included in the S&P 500 index, a positive development for WDAY as it indicates overall stability and growth for the company. This inclusion will boost its market visibility and attract greater investment. However, growing competition in the human capital and financial management software market could lead to pricing pressure and impede profits. Continuous investments to achieve long-term growth are hurting its margins in the short term. The lack of geographical diversity remains a concern.

The stock has jumped 6.17% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 12 higher, for fiscal 2025; the consensus estimate has moved up as well.

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