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Workday price target lowered to $265 from $275 at BofA

BofA lowered the firm’s price target on Workday to $265 from $275 and keeps a Buy rating on the shares after speaking to nearly a dozen partners to gauge Q2 activity and trends. Most partners cited in line or better results and suggested stable deal activity from Q1, the analyst tells investors in a research note. Workday continues to outpace ERP industry growth, driven by steady low/mid teens HCM growth and mid 20s financials growth, and Workday is well positioned to generate solid, durable low 20s free cash flow growth, the analyst tells investors in a research note.

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