As competition intensifies among artificial intelligence (AI) agents in human resources and finance, enterprise software firms are striving to integrate generative AI into daily operations. In this context, Workday (WDAY) collaboration with Anthropic stands out for merging sophisticated reasoning capabilities with the safeguards needed to protect sensitive enterprise data.
On Tuesday, Oct. 13, at the annual Workday Rising 2026 event in Las Vegas, Workday and Anthropic announced a partnership to integrate their platforms. The agreement enables Workday’s AI agent, Sana, to be accessed directly via Anthropic’s conversational AI platform, Claude, allowing users to obtain HR and finance data, perform tasks, and handle approvals seamlessly within the interface.
The integration aims to streamline routine business tasks. Using Sana, Claude users can access HR and finance data in Workday and perform daily activities within one conversation. For example, a finance manager can compare invoice exceptions with purchase orders and approve them directly in Claude, switching to Sana for more complex processing.
The partnership also introduced Workday Agent-Ready Tools, which will allow customers to build their own agents on Claude. The convenience is central to the deal’s appeal. Companies can use Claude’s reasoning capabilities without replacing their established Workday systems or rebuilding their existing access controls.
And the real test lies ahead, as general availability begins in late 2026.
About Workday Stock
Based in Pleasanton, California, Workday develops cloud-based enterprise applications for financial management, human resources, planning, spend management, and supply chain operations. Its offerings also cover student lifecycle management and custom application development.
Workday commands a market cap of about $45.4 billion, yet its stock has struggled. Concerns that the technology could disrupt its HR software business, coupled with questions about slower growth and the high cost of keeping pace with AI innovation, have weighed on market sentiment.
These concerns took a toll on the stock’s longer-term performance. Workday’s shares fell 22% over the past 52 weeks and declined 14% in 2026. More recently, however, momentum has shifted, with the stock gaining 57% over the past six months and climbing 32% in the last three months alone.
On the valuation front, WDAY stock is currently trading at 17 times forward-adjusted earnings. The figure sits at a discount to the industry average and its own five-year average multiple, offering a wise entry point in the stock for long-term investors.
Workday Surpasses Q2 Earnings
On Aug. 27, shares rose 1.5% following the earnings release and gained another 5.8% in the next trading session. Revenue increased 12.8% year-over-year (YoY) to $2.65 billion, beating analyst estimates of $2.64 billion. Meanwhile, subscription revenue climbed 13.9% YoY to $2.47 billion, exceeding previous guidance of $2.455 billion.
AI contributed meaningfully to the quarter, with AI products generating more than $100 million in new annual contract value (ACV), representing more than 25% of all new ACV closed during the period. Adoption is also expanding, with more than 5,500 customers deploying at least one organic AI agent.
Workday’s profitability figures offered further insight. Non-GAAP operating income rose 21.2% from the year-ago value to $824 million, while non-GAAP net income increased 13.2% from the year-ago value to $677 million. Non-GAAP EPS rose 24.4% from the year-ago value to $2.75, surpassing analysts’ estimates of $2.61.
For Q3 FY2027, management expects subscription revenue of $2.515 billion, representing growth of 12%, alongside a non-GAAP operating margin of 30%. For full-year FY2027, the company projects subscription revenue between $9.940 billion and $9.950 billion, reflecting growth of 13%, with a non-GAAP operating margin of 31%.
Analysts anticipate further earnings growth, forecasting Q3 FY2027 EPS of $1.27, up 16.5% YoY. Full-year FY2027 EPS is projected to reach $5.33, an increase of 15.6% YoY. Expectations strengthen in FY2028, when earnings are forecasted to climb 32.7% from the previous year to $7.07.
What Do Analysts Expect for WDAY Stock?
Wall Street maintains a broadly positive view of Workday, with its stock carrying a consensus “Moderate Buy” rating. Of the 42 analysts covering WDAY stock, 19 recommend a “Strong Buy,” two favor a “Moderate Buy,” 19 have assigned “Hold” ratings, and two have issued a “Moderate Sell.”
Against that backdrop, the average price target of $210.97 represents a potential upside of 13%. Meanwhile, the Street-high target of $328 points to a gain of 75% from current levels.
On the date of publication, Aanchal Sugandh did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.