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Workday, Inc. WDAY Return on invested capital

Return on invested capital at other companies

Automatic Data Processing, Inc. logo
Automatic Data Processing, Inc.ADP
66.7%-10.3pp
Paychex logo
PaychexPAYX
34.6%-19.8pp
Microsoft logo
MicrosoftMSFT
26.7%-1.2pp
Tyler Technologies logo
Tyler TechnologiesTYL
7.9%+0.5pp
Salesforce logo
SalesforceCRM
10.5%+0.8pp
Oracle logo
OracleORCL
30.6%+13.6pp

Other financials

Income statement

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Revenue$2.5B+13.5%
Operating income$338.0M+767%
Net income$222.0M+226%
EPS (diluted)$0.87+248%

Balance sheet

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Cash & equivalents$568.0M-42.5%
Total debt$3.8B+12.1%
Total equity$6.7B-25.1%
Total assets$16.1B-6.5%

Cash flow

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Operating cash flow$696.0M+52.3%
CapEx$80.0M+122%
Free cash flow$616.0M+46.3%

Valuation

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Market cap$28.88B-50.3%
Enterprise value$32.12B-47.2%
P/E34.1×-85.3×
P/S2.9×-3.8×

Profitability

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Operating margin10.3%+5.9pp
Net margin8.6%+3.0pp
FCF margin30.2%+3.5pp

Returns & leverage

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Return on equity10.9%+5.2pp
Debt / equity0.6×+0.2×
Current ratio-1.1×

Where this comes from

Calculated from Workday, Inc.’s reported figures.

Based on trailing twelve months.

The official record: Workday, Inc.’s 10-Q, filed May 22, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Workday, Inc.'s return on invested capital?
Workday, Inc. (WDAY) reported return on invested capital of 8% in Q1 2026.
How has Workday, Inc.'s return on invested capital changed year-over-year?
Workday, Inc.'s return on invested capital increased by 72.4% year-over-year, from 4.6% to 8%.
What is the long-term trend for Workday, Inc.'s return on invested capital?
Over 4 years (2020 to 2025), Workday, Inc.'s return on invested capital has grown at a -1.9% compound annual growth rate (CAGR), from -7.2% to 6.6%.
What does return on invested capital mean?
The after-tax return the business earns on all the capital — debt and equity — invested in it.
How do you interpret return on invested capital?
The cleanest measure of business quality: ROIC sustained above the cost of capital creates value, below it destroys value. Compare against WACC, not against zero.
How does return on invested capital compare across companies?
Highly comparable across companies as a quality screen. Sector-sensitive definitions of invested capital mean banks/insurers are best excluded.