Why Workday Inc. (WDAY) Crashed On Friday

We recently published a list of 10 Firms That Led Bloodbath Today. In this article, we are going to take a look at where Workday Inc. (NASDAQ:WDAY) stands against other Friday’s worst-performing stocks.

Workday dropped its share prices by 12.52 percent on Friday to finish at $238.01 each as investors soured on its mixed earnings performance in the first quarter of fiscal year 2026.

In its financial statement, Workday Inc. (NASDAQ:WDAY) said net income during the period declined by 36 percent to $68 million from the $107 million registered in the same period last year, despite revenues growing by 12.56 percent to $2.24 billion from $1.99 billion year-on-year.

Looking ahead, the company reiterated its fiscal 2026 subscription revenue growth outlook of 14 percent to $8.8 billion and increased its fiscal 2026 non-GAAP operating margin guidance to approximately 28.5 percent.

A group of finance professionals analyzing market trends on their computer screens.

For the second quarter alone, subscription revenues are expected to grow by 13.5 percent to $2.16 billion, while non-GAAP operating margin is projected to increase by 28 percent year-on-year.

“Workday delivered another solid quarter, a testament to the durability of our business and the relevance of our platform as CEOs increasingly turn to us to drive efficiency, agility, and growth,” said Workday Inc. (NASDAQ:WDAY) CEO Carl Eschenbach.

”We are delivering real ROI for our customers by helping them effectively manage their most critical assets—people and money—on one unified platform with AI at the core,” he added.

Overall, WDAY ranks 5th on our list of Friday’s worst-performing stocks. While we acknowledge the potential of WDAY, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk.  If you are looking for an AI stock that is more promising than WDAY and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.