Workday (WDAY) closed the most recent trading day at $232.21, moving -3.54% from the previous trading session. This move lagged the S&P 500's daily gain of 0.34%. Elsewhere, the Dow gained 0.09%, while the tech-heavy Nasdaq added 0.42%. Coming into today, shares of the maker of human resources software had gained 5.17% in the past month. In that same time, the Computer and Technology sector gained 8.07%, while the S&P 500 gained 3.54%. Analysts and investors alike will be keeping a close eye on the performa ...

Market Overview - U.S. stock index futures showed little change as investors awaited the Federal Reserve's monetary policy announcement after a two-day meeting [1] - The Fed is expected to reduce borrowing costs by at least 25 basis points, influenced by indicators of a weakening jobs market [1] Interest Rate Expectations - Market participants anticipate a total interest rate reduction of approximately 68 basis points by the end of the year, based on data from LSEG [2] - Investors are particularly focused on Chair Jerome Powell's speech and the "dot plot" projections to assess future rate cuts [2] Market Sentiment and Volatility - Any hawkish signals from the Fed could disrupt positive investor sentiment and lead to market volatility [3] - The recent rally in Wall Street, with the S&P 500 and Nasdaq reaching record highs, is being tested by the upcoming Fed meeting [4] Company-Specific Developments - New Fortress Energy's stock surged by 48% after securing a liquefied natural gas supply agreement with the Puerto Rican government [5] - Workday's shares increased by 5.6% following news that activist investor Elliott Management acquired a stake exceeding $2 billion in the company [5]

Company Performance - Lifeward reported a quarterly loss of $0.58 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.25, and compared to a loss of $0.50 per share a year ago [1][2] - The company's revenues for the quarter ended June 2025 were $5.72 million, missing the Zacks Consensus Estimate by 11.53%, and down from $6.71 million in the same quarter last year [3] - Lifeward has not surpassed consensus EPS estimates in the last four quarters and has only topped revenue estimates once during that period [2][3] Stock Performance - Lifeward shares have declined approximately 58.6% since the beginning of the year, contrasting with a 10% gain in the S&P 500 [4] - The current Zacks Rank for Lifeward is 3 (Hold), indicating that the stock is expected to perform in line with the market in the near future [7] Earnings Outlook - The consensus EPS estimate for the upcoming quarter is -$0.14 on revenues of $7.77 million, and for the current fiscal year, it is -$0.77 on revenues of $29.02 million [8] - The trend of estimate revisions for Lifeward was mixed ahead of the earnings release, which could change following the recent report [7] Industry Context - Lifeward operates within the Zacks Internet - Software industry, which is currently ranked in the top 30% of over 250 Zacks industries, suggesting a favorable industry outlook [9] - The performance of Lifeward's stock may be influenced by the overall outlook for the industry [9]

Company Performance - Workday's stock closed at $222.22, reflecting a -3.12% change from the previous day's closing price, underperforming the S&P 500, which lost 1.6% [1] - Over the past month, Workday shares declined by 5.12%, while the Computer and Technology sector gained 4.45% and the S&P 500 increased by 2.25% [1] Upcoming Financial Results - Workday is expected to report an EPS of $2.09, representing a 19.43% increase compared to the same quarter last year [2] - The consensus estimate for revenue is projected at $2.34 billion, indicating a 12.22% rise from the equivalent quarter last year [2] Annual Forecast - Zacks Consensus Estimates predict earnings of $8.7 per share and revenue of $9.5 billion for the year, reflecting increases of +19.18% and +12.45% respectively compared to the previous year [3] Analyst Estimates and Stock Price Correlation - Changes in analyst estimates for Workday are correlated with near-term stock prices, with positive revisions indicating optimism about the business outlook [4][3] Zacks Rank and Valuation - Workday currently holds a Zacks Rank of 3 (Hold), with a recent consensus EPS projection moving 0.05% lower [5] - The company is trading at a Forward P/E ratio of 26.35, which is a discount compared to its industry's Forward P/E of 28.71 [6] Industry Overview - The Internet - Software industry, part of the Computer and Technology sector, has a Zacks Industry Rank of 75, placing it in the top 31% of over 250 industries [7] - The top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]

Company Performance - Workday (WDAY) closed at $229.30, reflecting a -4.53% change from the previous day, underperforming the S&P 500 which gained 0.28% [1] - Prior to the latest trading session, Workday shares had decreased by 4.45%, lagging behind the Computer and Technology sector's gain of 6.2% and the S&P 500's gain of 4.37% [1] Upcoming Financial Results - Workday's upcoming EPS is projected at $2.09, indicating a 19.43% increase compared to the same quarter last year [2] - Revenue is expected to reach $2.34 billion, representing a 12.22% increase from the year-ago quarter [2] Annual Estimates - For the annual period, earnings are anticipated at $8.71 per share and revenue at $9.5 billion, reflecting increases of +19.32% and +12.46% respectively from the previous year [3] - Recent adjustments to analyst estimates for Workday may indicate positive near-term business trends, with positive revisions suggesting analyst optimism [3] Valuation Metrics - Workday currently has a Forward P/E ratio of 27.59, which is a discount compared to the industry average Forward P/E of 29.03 [5] - The PEG ratio for Workday is 1.46, compared to the average PEG ratio of 2.24 for the Internet - Software industry [6] Industry Context - The Internet - Software industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 62, placing it in the top 26% of over 250 industries [6] - The Zacks Rank system, which includes estimate changes, has historically outperformed, with 1 stocks returning an average annual gain of +25% since 1988 [5]

Core Viewpoint - The market anticipates Workday (WDAY) to report a year-over-year increase in earnings driven by higher revenues, with a focus on how actual results compare to estimates [1][2]. Earnings Expectations - Workday is expected to post quarterly earnings of $1.99 per share, reflecting a year-over-year increase of +14.4% [3]. - Revenues are projected to reach $2.22 billion, which is an 11.3% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised down by 0.39% over the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Workday is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +2.24% [10][11]. Earnings Surprise Prediction - A positive Earnings ESP is a strong indicator of a potential earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [8]. - Workday currently holds a Zacks Rank of 3, suggesting a likelihood of beating the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, Workday exceeded the expected earnings of $1.75 per share by delivering $1.92, resulting in a surprise of +9.71% [12]. - Over the past four quarters, Workday has consistently beaten consensus EPS estimates [13]. Industry Comparison - Zoom Communications (ZM), another player in the Zacks Internet - Software industry, is expected to report earnings of $1.30 per share, indicating a year-over-year decline of -3.7% [17]. - Zoom's consensus EPS estimate has been revised down by 0.4% over the last 30 days, with a negative Earnings ESP of -1.68%, making it challenging to predict an earnings beat [18].

Core Insights - Wireless Ronin Technologies Inc. reported quarterly earnings of $0.32 per share, significantly beating the Zacks Consensus Estimate of a loss of $0.12 per share, representing an earnings surprise of 366.67% [1] - The company posted revenues of $9.73 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 10.70%, and down from $12.29 million year-over-year [2] - The stock has underperformed, losing about 27.4% since the beginning of the year, while the S&P 500 gained 0.1% [3] Earnings Outlook - The current consensus EPS estimate for the coming quarter is -$0.07 on revenues of $12.7 million, and $0.16 on revenues of $55.95 million for the current fiscal year [7] - The estimate revisions trend for Wireless Ronin Technologies is currently unfavorable, resulting in a Zacks Rank 5 (Strong Sell) for the stock, indicating expected underperformance in the near future [6] Industry Context - The Internet - Software industry, to which Wireless Ronin Technologies belongs, is currently in the top 35% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8]

Company Performance - Verb Technology Company, Inc. reported a quarterly loss of $2.51 per share, which was better than the Zacks Consensus Estimate of a loss of $3.14, and a significant improvement from a loss of $22 per share a year ago, indicating an earnings surprise of 20.06% [1] - The company posted revenues of $1.31 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 63.13%, compared to revenues of $0.01 million in the same quarter last year [2] - Over the last four quarters, Verb Technology has surpassed consensus EPS estimates three times and topped consensus revenue estimates two times [2] Stock Outlook - Verb Technology shares have declined approximately 11.2% since the beginning of the year, while the S&P 500 has only declined by 0.6% [3] - The current consensus EPS estimate for the upcoming quarter is -$2.97 on revenues of $0.9 million, and for the current fiscal year, it is -$11.25 on revenues of $3.4 million [7] - The estimate revisions trend for Verb Technology is currently unfavorable, resulting in a Zacks Rank 5 (Strong Sell), indicating expected underperformance in the near future [6] Industry Context - The Internet - Software industry, to which Verb Technology belongs, is currently ranked in the top 36% of over 250 Zacks industries, suggesting that companies in the top 50% outperform those in the bottom 50% by more than 2 to 1 [8]

Core Viewpoint - Workday is positioned to potentially continue its earnings-beat streak in the upcoming report, having surpassed earnings estimates consistently in recent quarters [1][5]. Earnings Performance - In the last reported quarter, Workday achieved earnings of $1.92 per share, exceeding the Zacks Consensus Estimate of $1.75 per share, resulting in a surprise of 9.71% [2]. - In the previous quarter, the company was expected to report earnings of $1.72 per share but delivered $1.89 per share, leading to a surprise of 9.88% [2]. Earnings Estimates and Predictions - There has been a favorable change in earnings estimates for Workday, with a positive Earnings ESP of +2.24%, indicating increased analyst optimism regarding its near-term earnings potential [5][8]. - The combination of a positive Earnings ESP and a Zacks Rank of 3 (Hold) suggests a high likelihood of another earnings beat, with historical data showing that such combinations lead to positive surprises nearly 70% of the time [6][8]. Earnings ESP Explanation - The Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions, which may be more accurate than earlier predictions [7]. - A negative Earnings ESP can reduce predictive power but does not necessarily indicate an earnings miss [9]. Importance of Earnings ESP - Monitoring the Earnings ESP is crucial for assessing the likelihood of a stock beating consensus estimates, as many companies may beat estimates without significant stock movement [10].

Company Performance - Confluent reported quarterly earnings of $0.08 per share, exceeding the Zacks Consensus Estimate of $0.07 per share, and up from $0.05 per share a year ago, representing an earnings surprise of 14.29% [1] - The company achieved revenues of $271.12 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 2.86%, and an increase from $217.24 million year-over-year [2] - Over the last four quarters, Confluent has consistently surpassed consensus EPS and revenue estimates [2] Stock Outlook - Confluent shares have declined approximately 14% since the beginning of the year, compared to a 5.5% decline in the S&P 500 [3] - The company's current Zacks Rank is 3 (Hold), indicating expected performance in line with the market in the near future [6] - The consensus EPS estimate for the upcoming quarter is $0.08 on revenues of $277.28 million, and for the current fiscal year, it is $0.35 on revenues of $1.16 billion [7] Industry Context - The Internet - Software industry, to which Confluent belongs, is currently ranked in the bottom 44% of over 250 Zacks industries, suggesting potential challenges for stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact investor sentiment [5]