Workday price target lowered to $260 from $275 at BofA

BofA lowered the firm’s price target on Workday to $260 from $275 and keeps a Buy rating on the shares after having attended Workday’s analyst meeting. The long-term growth target of 17%-19% subscription growth, below the company’s prior 20%-plus long-term target, is “disappointing,” but the firm believes that “a healthy degree of conservatism is built into the expectation,” the analyst tells investors. Feedback from partners suggests steady demand and an uptick in customer conversations regarding AI, the analyst added.