Dayforce (DAY) | News Based Sentiment Analysis

• On September 12, 2025, Dayforce reported a strong Q2 2025, exceeding expectations with $0.61 earnings per share – a 27.1% year-over-year increase – and revenues of $464.7 million, up 9.8% year-over-year. This positive performance was driven by a 13.6% rise in recurring revenues to $315.5 million, indicating continued demand for their HCM solutions.
• Following the strong Q2 results, analysts maintained an average "Hold" rating with a consensus price target of $71.43 as of September 18, 2025, though Citigroup downgraded the stock to "Hold" with a $70.00 price target, suggesting a modest 1.36% potential upside.
• The company is navigating a $70.00 per share all-cash buyout offer from Thoma Bravo, as highlighted by a Stifel downgrade to "Hold" on September 19, 2025, from a previous "Buy" rating, and initial offers ranged from $65-$68 before settling on $70.00.
• Insider selling continued throughout September, with COO Stephen H. Holdridge selling 2,000 shares on September 15, 2025, at $68.95 for a total of $137,900.00, representing a 1.06% decrease in his position, and adding to a net insider selling of 33,656 shares over the past three months as of September 7, 2025.
• Shareholder investigations were launched on September 15 & 20, 2025, by Halper Sadeh LLC and The Ademi Firm to determine if the $70.00 per share buyout offer is fair to shareholders.
• Sumitomo Mitsui DS Asset Management reduced its Dayforce stake by 1.95%, selling 15,843 shares on September 23, 2025, indicating some institutional investor caution.
• Dayforce is preparing to host its Dayforce Discover 2025 conference from October 6-9, 2025, at Wynn Las Vegas, focusing on AI innovations and its Partner Network of over 70 organizations.
• Analysts forecast Dayforce to report $0.34 Earnings Per Share (EPS) for Q3 2025, compared to $0.22 in the same quarter last year, with an earnings release expected around October 29, 2025, and a consensus revenue forecast of $481.271 million.

The Investment Story: September was a month of navigating the Thoma Bravo acquisition process alongside solid Q2 performance and continued insider selling, creating a complex picture for investors. The company is also preparing for its Dayforce Discover conference, highlighting its focus on AI and partnerships.

What It Means for Investors: The acquisition offer provides a clear potential exit, but the insider selling and shareholder investigations introduce caution. The mixed analyst sentiment and institutional selling suggest some reservations, while the upcoming Q3 earnings report and Dayforce Discover conference could provide further clarity.

Looking Ahead: Investors should closely monitor the progress of the Thoma Bravo acquisition, the outcome of the shareholder investigations, and the results reported during the Q3 earnings release around October 29, 2025. The Dayforce Discover conference (October 6-9, 2025) will also be a key event to watch.

The Bottom Line: Dayforce presents a compelling, yet uncertain, investment opportunity. The acquisition provides a defined upside, but ongoing scrutiny and insider activity warrant careful consideration. Investors should remain vigilant and track key developments in the coming weeks.