Jim Cramer Notes Worday Stock Has Fallen Significantly From Its Highs

Workday, Inc. (NASDAQ:WDAY) is one of the software stocks that Jim Cramer named as potential undervalued buys. Cramer highlighted the company’s valuation and its expected growth rate, as he commented:

Then there’s Workday, you’ve seen them on our show a lot. It makes software for human capital management and corporate finance. It’s a name-brand company. The stock’s fallen 43% from its highs to the point where it now trades at less than 15 times this year’s earnings estimates, despite the analysts expecting them to have an 18% growth rate.

Workday, Inc. (NASDAQ:WDAY) provides cloud-based applications designed to help organizations manage financial processes, human resources, and business planning. Polen Capital Management Llc stated the following regarding Workday, Inc. (NASDAQ:WDAY) in its Polen Focus Growth Strategy’s Q4 2025 investor letter:

In Q4 2025, we initiated a new position in Intuitive Surgical and sold our positions in Netflix and Workday, Inc. (NASDAQ:WDAY). We exited our position in Workday as the company’s revenue growth continues to decelerate. The core human capital management business is fairly mature and now facing cyclical headwinds while the newer financials suite is growing slower than expected.

While we acknowledge the potential of WDAY as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

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