Dayforce vs Workday

Dayforce and Workday are two leading software companies that provide human resources and financial management solutions to businesses. Both companies have experienced significant growth in the past few years, with their stocks performing well in the market. Dayforce, owned by Ceridian, focuses on providing cloud-based services for HR, payroll, benefits, and workforce management, while Workday offers similar services but with a focus on financial management as well. Investors often compare the two companies when considering their stock performance and growth potential.

Dayforce or Workday?

When comparing Dayforce and Workday, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Dayforce and Workday.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Dayforce has a dividend yield of -%, while Workday has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Dayforce reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Workday reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Dayforce P/E ratio at 214.42 and Workday's P/E ratio at 42.15. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Dayforce P/B ratio is 4.08 while Workday's P/B ratio is 7.78.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Dayforce has seen a 5-year revenue growth of 0.50%, while Workday's is 1.37%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Dayforce's ROE at 1.97% and Workday's ROE at 19.75%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $63.37 for Dayforce and $242.06 for Workday. Over the past year, Dayforce's prices ranged from $47.08 to $75.10, with a yearly change of 59.52%. Workday's prices fluctuated between $199.81 and $311.28, with a yearly change of 55.79%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.