Workday Inc (NASDAQ:WDAY) stock is up 0.4% to trade at $226.12 at last glance, brushing off broad market weakness. The equity recently was turned away at its 100-day moving average -- a trendline that rejected an early July rally. While it still carries 12.5% year-to-date deficit, Workday stock could be on the upswing soon, as seasonality seems to be on its side.
The software giant is among the best S&P 500 Index (SPX) stocks to own in August, per Schaeffer's Senior Quantitative Analyst Rocky White. The equity averaged a monthly gain of 8% and ended the month higher 80% over the past 10 years. A comparable move from its current perch would place shares above $244.
An unwinding of pessimism among short-term options traders could create additional tailwinds for Workday stock. This is per the security's Schaeffer's put/call open interest ratio (SOIR) of 1.75 that sits in the 97th percentile of readings from the past 12 months.
It's also worth noting that premiums are affordably priced at the moment. This is per Workday stock's Schaeffer's Volatility Index (SVI) of 29%, which sits in the low 12th percentile of its annual range.
