Working days CEO Carl Eschenbach told CNBC’s Jim Cramer on Wednesday that the rise of artificial intelligence was positive for his company, rebutting what he called “the story of AI eating the world of software.”
“For some people, AI can be a headwind. For work days, it’s a tailwind,” Eschenbach said. “Our platform has 75 million users. We have one of the most highly turning datasets in the industry.
Workday is an enterprise software outfit that offers many services, including helping businesses manage their finances, pay and human resources.
Eschenbach said Workday has a total customer retention rate of over 97% and has a “sticky platform that contains all data.” He also said the company can “train our data and drive real business outcomes through AI solutions,” adding that he believes Workday is “undervalued” and “undervalued.”
The stock has discovered losses over the past few months and is currently down 8.97% since the start of the year. But Workday was boosted after activist investor Elliott revealed he had more than $2 billion in stake in the company. Stocks jumped into the news and rose 7% by the end of Wednesday. Elliott expressed support for the company’s management and business plan laid out earlier this week for Investor’s Day.
“We believe that CEO Carl Eschenbach, CFO Zane Rowe and the entire Workday team have made significant progress in recent years, positioning Workday as a unique software franchise with industry-leading growth potential, best-in-class customer retention and proven management team,” Elliott said in a press release Tuesday.
Eschenbach told Kramer that Workday is leaning towards its relationship with Elliott and treating it as a “true partnership.”
“I think they’ll agree with our story, our financial framework for the next few years,” Eschenbach said of Elliott. “And we look forward to partnering with them and all of our investors.”
