:max_bytes(150000):strip_icc()/GettyImages-2198026836-971691f5f2554d3385958e43c5816430.jpg "Workday Stock Jumps as Activist Investor Elliott Takes B Stake, Praises Management Plan")
:max_bytes(150000):strip_icc():format(jpeg)/GettyImages-2198026836-971691f5f2554d3385958e43c5816430.jpg)
Key Takeaways
- Activist investor Elliott Investment Management said it has taken a stake worth more than $2 billion in Workday.
- Elliott praised the management team of the human resources software provider and the strategy the company spelled out during its recent analyst day.
- Workday shares were up more than 8% in early trading.
Workday (WDAY) shares jumped in early trading Wednesday after activist investor Elliott Investment Management reported it had taken a more than $2 billion stake in the human resources software provider.
Unlike most examples of activist investors calling for major changes in companies they invest in, Elliott has instead praised the leadership of Workday. It said in a statement that CEO Carl Eschenbach, CFO Zane Rowe and the entire Workday team “have made substantial progress in recent years, positioning Workday as a unique software franchise with industry-leading growth potential, best-in-class customer retention and a proven management team.”
Elliott added that it was “pleased with our dialogue with the team,” and the strategy spelled out by the company at yesterday’s Financial Analyst Day. It noted that the plan will provide a “significant enhancement of Workday’s operating model and capital allocation framework.” In that presentation, Workday explained how it would be boosting the use of artificial intelligence to help customers become more efficient.
Workday shares were up 8% in the opening minutes of Wednesday’s session. Entering the day, the stock had lost 15% so far in 2025.
