Workday, Inc. (NASDAQ:WDAY) is one of the stocks Jim Cramer put under the microscope. Cramer discussed the effect of AI on the stock, as he said:

Second telltale sign that it was all just an artificial program and not the reality of business: The absurd, relentless buying of the enterprise software companies that had been written off for dead. Consider Workday. How many times did I hear in the last six months that Workday was going to be crushed by Anthropic, an AI company that can, let’s say, mimic pretty much every software company out there? I never fully believed that story, but it’s partially true, and it killed the entire cohort. The pessimism was so thick around Workday, the stock was practically untouchable. Sure enough, after it reported Tuesday night, its stock dropped 12 points like that, 130 down to 117 and change ultimately as the stock caught two downgrades and a ton of price target cuts.

Stock market reports printed on a sheet of paper. Photo by RDNE Stock Project on Pexels

Workday, Inc. (NASDAQ:WDAY) provides cloud-based applications designed to help organizations manage financial processes, human resources, and business planning.

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.

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