Workday, Inc. (WDAY) Earns Buy Rating: AI Integration Drives Growth and Optimism - InvestingChannel

Workday, Inc. (WDAY) Earns Buy Rating: AI Integration Drives Growth and Optimism

We recently published a list of 15 AI News Stories Shaking Up Wall Street. In this article, we are going to take a look at where Workday, Inc. (NASDAQ:WDAY) stands against other AI news stories shaking up Wall Street.

U.S. President Joe Biden met with China’s President Xi Jinping at the APEC Summit in Lima, Peru, on November 16. According to the White House, the two reached an agreement affirming that human beings, not artificial intelligence, should make decisions about the use of nuclear weapons.

“The two leaders affirmed the need to maintain human control over the decision to use nuclear weapons. The two leaders also stressed the need to consider carefully the potential risks and develop AI technology in the military field in a prudent and responsible manner”.

-The White House said in a statement.

READ ALSO: 15 AI News You Must Read Today and 15 AI News That Broke The Internet

This agreement marks a groundbreaking step in addressing two complex and challenging topics: nuclear weapons and artificial intelligence. However, it remains unclear whether the two nations will conduct additional discussions or actions on the matter.

At the same time, Xi vowed on Saturday to work with the incoming U.S. administration of Donald Trump as he held his final talks with outgoing President Joe Biden on various topics. Xi acknowledged the “ups and downs” between the countries after Trump’s election.

“China’s goal of a stable, healthy and sustainable China-U.S. relationship remains unchanged. China is ready to work with the new U.S. administration to maintain communication, expand cooperation and manage differences.”

In other trailblazing news, there is a new artificial intelligence program developed by Washington State University. Reportedly, it can spot signs of serious diseases more accurately, and faster, than trained human researchers.

According to scientists, patients can receive the results of their mammogram or MRI within an hour. Washington State Professor Michael Skinner further reveals that the process can be done in minutes, and patients don’t have to wait hours or days for their image analysis on the MRI by their physician.

“You can take that image, run it through this type of program, and it can tell you exactly where the abnormalities are. But it (the A.I. model) would still need to be trained each time.”

– Dr. Skinner.

For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

Workday, Inc. (WDAY) Earns Buy Rating: AI Integration Drives Growth and Optimism A group of finance professionals analyzing market trends on their computer screens.

Workday, Inc. (NASDAQ:WDAY)

Market Capitalization: $68.74 billion

Workday, Inc. (NASDAQ:WDAY) provides enterprise cloud applications. The company is a strong AI play, having integrated artificial intelligence in its platform to automate, analyze and personalize tasks and workflows.

On November 13, Bank of America Securities analyst Bradley Sills reiterated a “Buy” rating on Workday, Inc. (NASDAQ:WDAY) and set a price target of $310.00. The company’s growth potential and consistent performance in key areas have led to the buy rating. Moreover, the company has had stable deal activity in the US, with its Human Capital Management (HCM) offering demonstrating steady growth. Its financial segment has also shown mid-market strength, and its Illuminate AI platform is viewed as a distinguishing factor against competitors such as SAP and Oracle. Sills notes a potential for Q3 results improvement and a strong Q4 pipeline despite some weakness in Europe. The optimism mainly comes from Workday’s leading position in cloud and AI, justifying the Buy rating.

Overall, WDAY ranks 6th on our list of AI news stories shaking up Wall Street. While we acknowledge the potential of WDAY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than WDAY but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock

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

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