Do Wall Street Analysts Like Dayforce Stock?

Core Viewpoint - Dayforce Inc. (DAY) has underperformed the market significantly over the past year, with a decline of 12.6% compared to the S&P 500's increase of 14.5% [2]. Company Overview - Dayforce Inc. is a human capital management (HCM) software company based in Minneapolis, Minnesota, with a market capitalization of $11 billion. The company offers cloud-based solutions that integrate various HR functions, covering the entire employee lifecycle from recruitment to payroll processing [1]. Stock Performance - DAY shares have seen a decline of 5% year-to-date in 2025, while the S&P 500 has risen by 16.5% during the same period [2]. - Compared to the Industrial Select Sector SPDR Fund (XLI), which gained about 8.8% over the past year, DAY's performance has been notably weaker [3]. Financial Results - In Q3, DAY reported an adjusted EPS of $0.37, which fell short of Wall Street expectations of $0.56. The company's revenue for the quarter was $481.6 million, aligning with Wall Street forecasts [4]. Earnings Expectations - For the current fiscal year ending in December, analysts project DAY's EPS to grow by 47.5% to $1.46 on a diluted basis. However, the company's earnings surprise history has been disappointing, missing consensus estimates in three of the last four quarters [5]. Analyst Ratings - Among the 16 analysts covering DAY stock, the consensus rating is a "Hold," consisting of two "Strong Buy" ratings, 13 "Holds," and one "Strong Sell" [5]. - The overall rating has shifted to "Moderate Buy" from two months ago, with four analysts suggesting a "Strong Buy" [6]. - On November 4, Michael Turrin from Wells Fargo maintained a "Hold" rating on DAY with a price target of $70, indicating a potential upside of 1.5% from current levels [6].