1244 ET - Workday risks losing business as its customers ramp up their artificial intelligence use and trim employee headcounts, Piper Sandler analysts say in a note. Recent survey data shows more than half of CIOs now expect AI to drag on worker numbers, the analysts say. Given its per-employee pricing model, Workday could face slower sales growth as a result, they say. CIOs are also increasingly less keen to invest in applications, adding further pressure to Workday's growth prospects, they say. The analysts downgrade the stock to underweight from neutral and lower the price target to $235 from $255. Workday falls 4.8%. (kelly.cloonan@wsj.com)

(END) Dow Jones Newswires

July 10, 2025 12:44 ET (16:44 GMT)

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