Selected stock price target news of the day - May 24th, 2024

By Matthew Otto

Workday’s Q1 Results Marred by Cautious Guidance and Investor Skepticism

Workday reported its first-quarter earnings, managing to surpass analyst expectations with an adjusted EPS of $1.74, which was $0.15 higher than the consensus estimate of $1.59. Revenue also slightly exceeded forecasts, coming in at $1.99 billion against the anticipated $1.97 billion. These figures represent an 18.1% increase in total revenues from the first quarter of fiscal 2024, and an 18.8% rise in subscription revenues.

Operating income improved to $64 million, or 3.2% of revenues, a contrast to the previous year’s operating loss of $20 million. Adjusted operating income also rose to $515 million, or 25.9% of revenues, up from $396 million a year ago.

For fiscal 2025, Workday projects subscription revenue between $7.700 billion and $7.725 billion, reflecting approximately 17% growth, with an adjusted operating margin of 25.0%. For the fiscal 2025 second quarter, subscription revenue is expected to mirror this growth rate, with an adjusted operating margin of 24.5%.

Analysts Adjust Price Targets Amid Mixed Sentiments

TD Cowen Analyst Derrick Wood maintained a Buy rating but lowered the price target from $330 to $290.
DA Davidson Analyst Gil Luria maintained a Neutral rating and lowered the price target from $300 to $255.
Canaccord Genuity Analyst David Hynes reiterated a Buy rating but reduced the price target from $305 to $270.
Stifel Analyst Brad Reback maintained a Hold rating and cut the price target from $290 to $250.
Morgan Stanley Analyst Keith Weiss reiterated an Overweight rating and lowered the price target from $330 to $325.
Goldman Sachs Analyst Kash Rangan maintained a Buy rating but adjusted the price target from $310 to $300.
Baird Analyst Mark Marcon kept an Outperform rating but decreased the price target from $316 to $265.
Oppenheimer Analyst Brian Schwartz kept an Outperform rating and reduced the price target from $320 to $300.
Mizuho Analyst Siti Panigrahi kept a Buy rating but lowered the price target from $325 to $280.
Keybanc Analyst Jason Celino maintained an Overweight rating and lowered the price target from $330 to $275.
Needham Analyst Scott Berg reiterated a Buy rating and a $350 price target.
Piper Sandler Analyst Brent Bracelin maintained an Overweight rating and reduced the price target from $330 to $280.

Which Analyst has the best track record to show on WDAY?

Analyst Steve Enders (CITI) currently has the highest performing score on WDAY with 7/7 (100%) price target fulfillment ratio. His price targets carry an average of $-2.05 (-0.69%) potential downside. Workday stock price reaches these price targets on average within 39 days.

V.F. Corporation’s Q4 2024 Earnings Call: Missed Expectations Amidst Strategic Progress

V.F. Corp. unveiled its Fourth Quarter 2024 Earnings Call, revealing a Q4 EPS of ($0.32), falling short of the analyst estimate by $0.34, which was projected at $0.02. Also reported a quarterly revenue of $2.37 billion, slightly below the consensus estimate of $2.42 billion. The quarterly loss amounted to 32 cents per share, contrasting with analysts’ projections of a 1 cent profit.

VF met its $300 million cost savings target by mid-fiscal year, while witnessing a reduction in inventories by 23%, equivalent to over $500 million in decreased net debt. Additionally, VF generated over $1 billion in operating cash flow and achieved $800 million in free cash flow.

Analysts Lower Price Targets for VF Corporation Amid Market Concerns

Citigroup analyst Paul Lejuez maintained a Neutral rating and lowered the price target from $13 to $11.
BofA Securities analyst Lorraine Hutchinson maintained an Underperform rating and lowered the price target from $13 to $11.
Wedbush analyst Tom Nikic reiterated a Neutral rating and downgraded the price target from $13 to $10.
TD Cowen analyst John Kernan kept a Hold rating and decreased the price target from $14 to $9.
Wells Fargo analyst Ike Boruchow maintained an Equal-Weight rating and lowered the price target from $14 to $11.
BMO Capital analyst Simeon Siegel maintained a Market Perform rating and lowered the price target from $18 to $13.
Goldman Sachs analyst Brooke Roach reiterated a Neutral rating and decreased the price target from $12.5 to $11.

Which Analyst has the best track record to show on VFC?

Analyst Matthew Boss (JPMORGAN) currently has the highest performing score on VFC with 3/5 (60%) price target fulfillment ratio. His price targets carry an average of $-1.52 (-11.24%) potential downside. V.F. Corp. stock price reaches these price targets on average within 18 days.

Deckers Brands Surpasses Expectations with Q4 Earnings and Provides Upbeat FY2025 Guidance

Deckers Brands showcased its fourth quarter earnings report with a Q4 EPS of $4.95, outperforming the analyst estimate of $2.90 by $2.05. Additionally, revenue for the quarter came in at $959.8 million, exceeding the consensus estimate of $885.04 million. HOKA charged with 34% growth, while UGG also saw gains of 15%. Gross margin for the quarter reached 56.2%, showing an improvement of 620 basis points year-over-year.

For the full fiscal year 2024, Deckers Brands reported revenue of $4.288 billion, representing an 18% increase over the previous year. HOKA continued with a 40% growth in its direct-to-consumer channel, while UGG achieved a 16% increase in revenue, primarily driven by international expansion and strategic management of the US marketplace. Operating margin for the year stood at 21.6%, reflecting an improvement of 360 basis points year-over-year.

Looking ahead, Deckers Brands has provided guidance for fiscal year 2025 expecting revenue to reach $4.7 billion, slightly surpassing the consensus estimate of $4.69 billion. Net sales are anticipated to increase by approximately 10%, reaching the $4.7 billion mark. Gross margin is projected to be approximately 53.5%, while SG&A expenses as a percentage of net sales are expected to hover around 34%. Operating margin is anticipated to be approximately 19.5%, with an effective tax rate falling within the range of 22% to 23%. Diluted earnings per share are forecasted to range between $29.50 and $30.00, slightly below the consensus estimate of $30.11.

Price Target Upgrades from Analysts Following Positive Performance

UBS analyst Jay Sole maintained a Buy rating and raised the price target from $1150 to $1265.
Truist Securities analyst Joseph Civello maintained a Hold rating and increased the price target from $864 to $1011.
Evercore ISI Group analyst Jesalyn Wong maintained an Outperform rating and upgraded the price target from $960 to $1110.
TD Cowen analyst John Kernan reiterated a Buy rating and raised the price target from $1005 to $1039.
Baird analyst Jonathan Komp kept an Outperform rating and raised the price target from $975 to $1050.
Stifel analyst Jim Duffy reiterated a Hold rating and increased the price target from $775 to $825.
Telsey Advisory Group analyst Dana Telsey maintained an Outperform rating and raised the price target from $985 to $1100.
Keybanc analyst Ashley Owens reiterated an Overweight rating and increased the price target from $960 to $1015.
B of A Securities analyst Christopher Nardone kept a Neutral rating and raised the price target from $860 to $1020.

Which Analyst has the best track record to show on DECK?

Analyst Janine Stichter (BTIG) currently has the highest performing score on DECK with 19/19 (100%) price target fulfillment ratio. Her price targets carry an average of $118.99 (15.64%) potential upside. Deckers Brands stock price reaches these price targets on average within 161 days.