Here are three stocks with buy ranks and strong growth characteristics for investors to consider today September 9th:
Valero Energy (VLO - Free Report) : This company, which is a multinational manufacturer and marketer of petroleum-based and low-carbon liquid transportation fuels and petrochemical products, carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 32.6% over the last 60 days.
Valero Energy has a PEG ratio of 0.43 compared with 0.45 for the industry. The company possesses a Growth Score of A.
monday.com (MNDY - Free Report) : This company, which provides an open platform which democratizes the power of software so organizations can easily build software applications and work management tools to fit their every need, carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 22.3% over the last 60 days.
monday.com has a PEG ratio of 0.80 compared with 2.98 for the industry. The company possesses a Growth Score of B.
BP (BP - Free Report) : This integrated energy company, which is engaged in the oil and gas business worldwide, carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 29.8% over the last 60 days.
BP has a PEG ratio of 0.57 compared with 0.73 for the industry. The company possesses a Growth Score of B.
See the full list of top ranked stocks here.
Learn more about the Growth score and how it is calculated here.
Monday.com (MNDY -6.43%), a workplace production software developer that has pushed into the customer relationship management (CRM) space, saw its stock rise an impressive 16% last month. Investors didn't react well to the company's second-quarter results, but the solid performance of a notable peer known for its CRM offerings ultimately helped turn the tide.
A tough crowd of investors Monday.com's quarterly results hit the headlines just before market open on Aug. 10. These revealed that the company's revenue for the period was 22% higher year over year at nearly $365 million. Net income not under generally accepted accounting principles (non-GAAP, or adjusted) also headed north, rising nearly 13% to $65.6 million, or $1.48 per diluted share.
Image source: Getty Images.
That meant a double beat for Monday.com, as the consensus analyst estimate for revenue was just under $356 million, and that for adjusted profitability stood at $1.11 per share.
Monday.com's growth numbers were enviable, and the company fully expects more. It proffered guidance for both its current (third) quarter and the entirety of 2026 that anticipates notable improvements.
For the latter period, it's modeling revenue ranging from almost $1.47 billion to slightly over that number, which would shake out into year-over-year growth of at least 19%. It also forecast adjusted operating income of $230 million to $234 million.
Yet the top end of that revenue range basically meets, and doesn't exceed, the average analyst estimate. Investors also pored over mildly concerning developments in the earnings report, such as the net revenue retention growth rate. These factors, plus lingering negative sentiment toward legacy software companies in our age of artificial intelligence (AI), led to a sell-off in Monday.com's stock.
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The end of the software slump? The major development that reversed this was another second-quarter earnings report -- this one for fiscal 2027 -- published late in the month. It was from CRM king Salesforce, which delivered an earnings report that featured a more than doubling of adjusted net income.
That figure crushed the average analyst projection, and the company also notched a convincing beat on full-year, bottom-line guidance.
At a stroke, Salesforce's powerful performance made the investing community notably more bullish on legacy software stocks generally, and CRM companies specifically. Monday.com got a late-in-the-month lift on both dynamics.
The question now is whether it has the momentum to continue. Its stock still looks cheap to me, both on a per-share basis and relative to its valuations. The current forward P/E (on adjusted earnings) of under 14 feels quite low given the company's recent improvements in fundamentals, and the fact that it runs a reliably high-margin business. I would consider loading up on its stock at its still-bargain level.
Monday.com (MNDY - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Over the past month, shares of this project management software developer have returned -2.2%, compared to the Zacks S&P 500 composite's -0.1% change. During this period, the Zacks Internet - Software industry, which Monday.com falls in, has gained 4.2%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Monday.com is expected to post earnings of $1.42 per share, indicating a change of +22.4% from the year-ago quarter. The Zacks Consensus Estimate has changed +67.5% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $5.55 points to a change of +26.1% from the prior year. Over the last 30 days, this estimate has changed +41.8%.
For the next fiscal year, the consensus earnings estimate of $6.68 indicates a change of +20.4% from what Monday.com is expected to report a year ago. Over the past month, the estimate has changed +19.7%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Monday.com is rated Zacks Rank #1 (Strong Buy).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Monday.com, the consensus sales estimate of $368.58 million for the current quarter points to a year-over-year change of +16.3%. The $1.47 billion and $1.7 billion estimates for the current and next fiscal years indicate changes of +19.3% and +15.4%, respectively.
Last Reported Results and Surprise HistoryMonday.com reported revenues of $364.62 million in the last reported quarter, representing a year-over-year change of +21.9%. EPS of $1.48 for the same period compares with $1.09 a year ago.
Compared to the Zacks Consensus Estimate of $354.95 million, the reported revenues represent a surprise of +2.72%. The EPS surprise was +29.82%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Monday.com is graded D on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Monday.com. However, its Zacks Rank #1 does suggest that it may outperform the broader market in the near term.
A SPECIAL WELCOME GIFT FROM ZACKS.COM Zacks' 7 Strongest Buys for September, 2026 See our "best of the best" short-term stocks. Hand-picked from 220 new Strong Buys, they could be the most profitable stocks you own over the next 90 days. Recent picks have climbed as much as +97.3% within 30 days. Our new recommendations may soar just as high.
A SPECIAL WELCOME GIFT FROM ZACKS.COM Zacks' 7 Strongest Buys for September, 2026 See our "best of the best" short-term stocks. Hand-picked from 220 new Strong Buys, they could be the most profitable stocks you own over the next 90 days. Recent picks have climbed as much as +97.3% within 30 days. Our new recommendations may soar just as high. Today's market dip makes now an ideal time to get in.
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Primed to grow right now with long-term potential gains of 2X and more.
Primed to grow right now with long-term potential gains of 2X and more.
SPCX briefly reclaimed a $2 trillion market cap as Starlink growth, launch dominance and AI ambitions fueled investor optimism despite execution risks.
SPCX briefly reclaimed a $2 trillion market cap as Starlink growth, launch dominance and AI ambitions fueled investor optimism despite execution risks.
The consensus for today is expected to show August jobs up 55,000 (up 53K in the private sector and 2K in the public sector), while the unemployment rate is forecast at 4.2%.
The consensus for today is expected to show August jobs up 55,000 (up 53K in the private sector and 2K in the public sector), while the unemployment rate is forecast at 4.2%.
Stocks priced under $10 can present appealing entry points for investors seeking outsized returns. Here's our list of the best cheap stocks right now.
Stocks priced under $10 can present appealing entry points for investors seeking outsized returns. Here's our list of the best cheap stocks right now.
Gold stocks, or shares of companies involved in mining or streaming the precious metal, offer investors a way to participate indirectly in gold price booms.
Gold stocks, or shares of companies involved in mining or streaming the precious metal, offer investors a way to participate indirectly in gold price booms.
Biotech stocks are one of the most dynamic sectors in the market, combining scientific innovation with substantial financial opportunity. Here are some top current buys.
Biotech stocks are one of the most dynamic sectors in the market, combining scientific innovation with substantial financial opportunity. Here are some top current buys.
Amazon, AbbVie and Alibaba face contrasting growth drivers and challenges, from AI investment and drug launches to costly spending cycles.
Amazon, AbbVie and Alibaba face contrasting growth drivers and challenges, from AI investment and drug launches to costly spending cycles.
Space ETFs offer exposure to a booming space economy, helping investors capture long-term growth while mitigating risks tied to individual companies.
Space ETFs offer exposure to a booming space economy, helping investors capture long-term growth while mitigating risks tied to individual companies.
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Symbol Time Expected Reported %Surprise CURV 16:06 -0.03 -0.04 -33.33 VBNK 07:04 0.34 0.27 -20.59 LE 06:46 0.10 0.09 -10.00 CPB 07:15 0.40 0.39 -2.50 EPS Negative Surprises for Sep 04, 2026
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Valuation Assessment of Monday.Com Ltd MNDYOn September 03, 2026, Monday.Com Ltd (MNDY) shares rose by 3.1% to a current price of $97.34, amidst a 52-week trading range of $57.50 to $220.80. This performance signals a potential rebound from the significant downturn the stock has faced in recent months.
GF Value™ verdict: The current price is $97.34, with GF Value™ estimating fair value at $384.12, indicating a 74.7% undervaluation. GF Score™: MNDY holds a score of 74/100, representing an above-average performance. Notable signal: Insider activity shows that insiders sold $0.4M over the past 12 months, with no buying reported.Is MNDY Overvalued or Undervalued?MNDY's current trading price of $97.34 is significantly below the GF Value™ estimate of $384.12, suggesting a substantial undervaluation of approximately 74.7%. GF Value™ reflects GuruFocus' proprietary estimate of intrinsic value, informed by historical trading multiples, past business growth, and projections of future performance. This large margin of safety indicates that the stock might present a compelling opportunity for long-term investors, provided they are cautious of the potential risks highlighted by the GF Valuation label, which classifies MNDY as a "Possible Value Trap, Think Twice."
This label suggests that while the stock appears undervalued based on traditional metrics, there may be underlying issues that could impede its recovery. Investors should carefully analyze MNDY's growth prospects and market conditions to gauge whether the current valuation is indeed reflective of its true potential or if it carries hidden risks.
How Does MNDY's Valuation Compare to Its History?Metric Current Historical P/E (TTM) 41.4x 285.7x Forward P/E 14.5x N/AMNDY's current P/E ratio of 41.4x is 86% below its 5-year median of 285.7x, indicating that the stock is trading at a much lower valuation relative to its historical average. The forward P/E of 14.5x further reinforces this perspective, suggesting that analysts expect improved earnings in the near future. This P/E analysis aligns with the GF Value™ verdict, supporting the notion that MNDY is currently undervalued. However, the stark contrast with historical valuations raises questions about market sentiment and the company's future growth potential.
What Does MNDY's GF Score™ Tell Us?The GF Score™ is a comprehensive measure that evaluates a company's financial strength, profitability, growth prospects, valuation, and momentum. MNDY's score of 74/100 indicates an above-average performance, though it reveals both strengths and weaknesses across the different sub-ranks.
Metric Rating GF Score™ 74 Financial Strength 8/10 Profitability 4/10 Growth 9/10 Valuation 2/10 Momentum 7/10MNDY exhibits strong financial strength (8/10) and growth potential (9/10), which are positive indicators for long-term viability. However, its profitability rank of 4/10 and low valuation rank of 2/10 suggest that the company is currently facing challenges in generating consistent profits and is perceived as overvalued based on historical standards. Overall, the combination of these scores provides a nuanced view of MNDY, highlighting areas of strength alongside concerns that potential investors should consider.
What Are Gurus and Insiders Doing with MNDY?Currently, 5 gurus hold positions in MNDY, with 4 increasing their stakes and 2 trimming their holdings in recent quarters. This indicates a generally positive sentiment among professional investors, as they are choosing to add to their positions. However, insider activity reveals a different narrative, as insiders sold $0.4M worth of shares over the past 12 months without any reported buying. This pattern of insider selling can often signal a lack of confidence among company executives regarding future performance, which could be a red flag for potential investors.
What This Means for InvestorsBased on the substantial undervaluation indicated by GF Value™, Monday.Com Ltd MNDY appears to present an intriguing investment opportunity. However, the mixed signals from insider activity and profitability metrics suggest that investors should proceed with caution. The current valuation, while appealing, is tempered by the potential risks indicated by the "Possible Value Trap" label. For further insights, you can explore the Monday.Com Ltd (MNDY) stock page and the GF Value™ page.
Frequently Asked QuestionsWhat is MNDY's GF Score™?
MNDY's GF Score™ is 74/100, indicating an above-average performance relative to its peers.
Is MNDY overvalued or undervalued?
MNDY is currently undervalued, with a GF Value™ of $384.12 compared to its trading price of $97.34.
What is MNDY's P/E ratio?
MNDY's P/E ratio is 41.4x, significantly lower than its 5-year median of 285.7x, indicating a substantial decrease in valuation.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Disclosures I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.
Quarterly financial reports play a vital role on Wall Street, as they help investors see how a company has performed and what might be coming down the road in the near-term. And out of all of the metrics and results to consider, earnings is one of the most important.
The earnings figure itself is key, of course, but a beat or miss on the bottom line can sometimes be just as, if not more, important. Therefore, investors should consider paying close attention to these earnings surprises, as a big beat can help a stock climb and vice versa.
Now that we know how important earnings and earnings surprises are, it's time to show investors how to take advantage of these events to boost their returns by utilizing the Zacks Earnings ESP filter.
The Zacks Earnings ESP, ExplainedThe Zacks Earnings ESP, or Expected Surprise Prediction, aims to find earnings surprises by focusing on the most recent analyst revisions. The basic premise is that if an analyst reevaluates their earnings estimate ahead of an earnings release, it means they likely have new information that could possibly be more accurate.
With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure. The system also utilizes our core Zacks Rank to provide a stronger system for identifying stocks that might beat their next quarterly earnings estimate and possibly see the stock price climb.
When we join a positive earnings ESP with a Zacks Rank #3 (Hold) or stronger, stocks posted a positive bottom-line surprise 70% of the time. Plus, this system saw investors produce roughly 28% annual returns on average, according to our 10 year backtest.
Stocks with a ranking of #3 (Hold), or 60% of all stocks covered by the Zacks Rank, are expected to perform in-line with the broader market. Stocks with rankings of #2 (Buy) and #1 (Strong Buy), or the top 15% and top 5% of stocks, respectively, should outperform the market; Strong Buy stocks should outperform more than any other rank.
Should You Consider Accenture?The last thing we will do today, now that we have a grasp on the ESP and how powerful of a tool it can be, is to quickly look at a qualifying stock. Accenture (ACN - Free Report) holds a #3 (Hold) at the moment and its Most Accurate Estimate comes in at $3.20 a share 30 days away from its upcoming earnings release on October 1, 2026.
Accenture's Earnings ESP sits at +0.33%, which, as explained above, is calculated by taking the percentage difference between the $3.20 Most Accurate Estimate and the Zacks Consensus Estimate of $3.19. ACN is also part of a large group of stocks that boast a positive ESP. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
ACN is part of a big group of Computer and Technology stocks that boast a positive ESP, and investors may want to take a look at Monday.com (MNDY - Free Report) as well.
Monday.com, which is readying to report earnings on November 9, 2026, sits at a Zacks Rank #1 (Strong Buy) right now. Its Most Accurate Estimate is currently $1.42 a share, and MNDY is 69 days out from its next earnings report.
For Monday.com, the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of $1.36 is +4.29%.
ACN and MNDY's positive ESP figures tell us that both stocks have a good chance at beating analyst expectations in their next earnings report.
Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
Analyst’s Disclosure: I/we have a beneficial long position in the shares of MNDY either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
The AI Work Platform for People & Agents has moved MNDY from a seat-based work management vendor into an AI-monetized platform.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Monday.com (MNDY - Free Report) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, MNDY broke through the 200-day moving average, which suggests a long-term bullish trend.
The 200-day simple moving average helps traders and analysts determine overall long-term market trends for stocks, commodities, indexes, and other financial instruments. The indicator moves higher or lower along with longer-term price moves, serving as a support or resistance level.
Over the past four weeks, MNDY has gained 12.9%. The company is currently ranked a Zacks Rank #1 (Strong Buy), another strong indication the stock could move even higher.
The bullish case solidifies once investors consider MNDY's positive earnings estimate revisions. No estimate has gone lower in the past two months for the current fiscal year, compared to 7 higher, while the consensus estimate has increased too.
Investors should think about putting MNDY on their watchlist given the ultra-important technical indicator and positive move in earnings estimate revisions.
The U.S. labor market is sending mixed signals. The July employment report from the Bureau of Labor Statistics showed payrolls actually declined by 23,000 while unemployment held at 4.1%. More troubling, May and June payroll gains were revised down by a combined 103,000 jobs.
Yet there are still pockets of strength: health-care employment continues to rise, and median weekly earnings increased 4.6% year over year in the second quarter, ahead of the 3.9% increase in consumer prices. The economy isn’t collapsing. But beneath the headline numbers, technology is changing what it means to have a job.
AI Has Already Started The Labor Shakeout The first wave is hitting white-collar workers. U.S. technology companies have eliminated nearly 140,000 jobs in 2026, according to Financial Times analysis. Amazon (NASDAQ:AMZN | AMZN Price Prediction), Microsoft (NASDAQ:MSFT), Meta Platforms (NASDAQ:META), and Oracle (NYSE:ORCL) account for roughly 50,000 of those cuts.
AI isn’t necessarily responsible for every layoff. Pandemic-era overhiring and cost cutting also matter. But companies increasingly describe AI as a reason to build leaner organizations.
That matters because AI can compress work that once required entire teams. A process that previously needed dozens of employees can, in some cases, be handled by software with one person overseeing the output. Monday.com (NASDAQ:MNDY), for example, announced plans in July to eliminate about 20% of its workforce, or roughly 630 positions, while redirecting resources toward its AI platform.
SaaS companies face an even more uncomfortable question: If customers can use AI to build software, automate workflows, analyze data, and generate content themselves, how much software do they need to buy?
The old epithet hurled at unskilled workers to “learn to code” suddenly looks less reassuring when the machines are learning to code, too.
Humanoid robots are targeting the physical economy—costing 85% less than humans. Now Robots Are Coming For Physical Jobs Humanoid robots extend the same economic logic into the physical world.
Citizens Bank estimates that Tesla‘s (NASDAQ:TSLA) Optimus could eventually target roughly $1.7 trillion of U.S. wages, with about $300 billion of work already serviceable in areas including factories, warehouses, and back-of-house operations. Its model assumes a humanoid could cost about $5 per hour to operate versus roughly $35 per hour for a human worker, producing a potential payback period of less than 18 months.
Those are only estimates, as Optimus still has to prove reliability, safety, maintenance costs, uptime, and mass-production economics. But the incentive is clear.
Tesla plans to begin Optimus production before the end of 2026 and ultimately targets annual capacity of 1 million robots. That gives Tesla something competitors don’t have: a giant factory network where it can deploy robots internally, lower labor costs, collect operating data, and refine the technology before selling it elsewhere.
Citizens Bank says pressure could emerge first in $75 billion of logistics and material-moving wages, $60 billion in manufacturing, $40 billion in food service, and $35 billion in health and elder care that are classified as near- or mid-term serviceable.
The Hardest Problem Isn’t Technology For investors, the bigger issue isn’t whether robots eventually work. It’s what happens to workers when they do.
The initial targets are disproportionately lower-skilled, repetitive jobs. Those workers may have fewer opportunities to move into the higher-paying positions created by automation. A warehouse worker cannot necessarily become an AI engineer after taking a six-week course.
AI enthusiasts often describe a future where people no longer need to work. The missing part of that vision is how households pay for housing, food, health care, and everything else once wages disappear.
That is the uncomfortable investment thesis: AI and robotics can increase corporate productivity while simultaneously weakening the purchasing power of the consumers those companies depend upon.
Key Takeaway In short, investors shouldn’t dismiss humanoid robots as science fiction. Citizens Bank’s $1.7 trillion estimate is a long-term scenario, not a forecast, but even a fraction of that opportunity would reshape labor-intensive industries.
The winners could be companies selling robots, chips, software, power, and automation infrastructure. The risk is that the productivity boom arrives faster than the economy creates new ways for displaced workers to earn a living.
The AI revolution started by attacking digital jobs. Humanoid robots could take the fight into the physical economy next.
Contact [email protected] for any questions or corrections.
The 2026 winner among Atlassian, HubSpot, and Monday.com is clear by a wide margin, and the more useful finding is that the gap traces back to what happened at the two decliners rather than to the software sector.
Astera Labs demonstrates a stronger and more rapid upward momentum in its quarterly revenue generation when evaluated against the more gradual and steady trajectory reported by monday.com over recent quarters. Astera Labs recorded expanding quarter-over-quarter advances over the duration of the last eight reporting periods, whereas monday.com delivered a stable, unbroken chain of consecutive quarterly increases over that same timeframe.
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Monday.com (MNDY - Free Report) .
Monday.com currently has an average brokerage recommendation (ABR) of 1.80, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 25 brokerage firms. An ABR of 1.80 approximates between Strong Buy and Buy.
Of the 25 recommendations that derive the current ABR, 14 are Strong Buy and two are Buy. Strong Buy and Buy respectively account for 56% and 8% of all recommendations.
Brokerage Recommendation Trends for MNDY
Check price target & stock forecast for Monday.com here>>>
The ABR suggests buying Monday.com, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.
Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.
ABR Should Not Be Confused With Zacks RankIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.
Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.
Should You Invest in MNDY?Looking at the earnings estimate revisions for Monday.com, the Zacks Consensus Estimate for the current year has increased 38.7% over the past month to $5.1.
Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #1 (Strong Buy) for Monday.com. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Therefore, the Buy-equivalent ABR for Mondaycom may serve as a useful guide for investors.
From a technical perspective, Monday.com (MNDY - Free Report) is looking like an interesting pick, as it just reached a key level of support. MNDY recently overtook the 20-day moving average, and this suggests a short-term bullish trend.
The 20-day simple moving average is a popular investing tool. Traders like this SMA because it offers a look back at a stock's price over a shorter period and helps smooth out price fluctuations. The 20-day can also show more trend reversal signals than longer-term moving averages.
The 20-day moving average can show signals that are similar to other SMAs as well. If a stock's price is moving above the 20-day, the trend is considered positive. When the price falls below the moving average, it can signal a downward trend.
Shares of MNDY have been moving higher over the past four weeks, up 20.9%. Plus, the company is currently a Zacks Rank #1 (Strong Buy) stock, suggesting that MNDY could be poised for a continued surge.
Looking at MNDY's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 5 revisions higher for the current fiscal year compared to none lower, and the consensus estimate has moved up as well.
With a winning combination of earnings estimate revisions and hitting a key technical level, investors should keep their eye on MNDY for more gains in the near future.
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Shares of enterprise software names are ripping higher at the end of Tuesday trading, bucking a broad tech selloff. monday.com (NASDAQ:MNDY | MNDY Price Prediction) is up 6.9%, HubSpot (NYSE:HUBS) is up 6.6%, and Intuit (NASDAQ:INTU) is up 5.2%, with all three still moving into the close.
AI Hardware Selloff Drives Rotation Into Software The rotation is the story. The iShares Semiconductor ETF (NASDAQ:SOXX) is down sharply while the iShares Expanded Tech-Software ETF (NASDAQ:IGV) is up 0.6% intraday. That inverse pairing has been a recurring 2026 pattern, and today it is unusually clean.
The catalyst for today’s massive moves arrived over the weekend. Anthropic told investors its annualized revenue run rate hit $65 billion at the end of July, and Reuters reported the company is projecting 2028 revenue of $190 billion to $200 billion. Both figures came in below the whisper numbers circulating in Silicon Valley. Layered on top, the Wall Street Journal flagged that “Nine top tech companies had some $3 trillion of off-balance-sheet commitments mostly related to AI”, growing far faster than traditional capex.
Throw in that the 30-year Treasury yield hit a 19-year high today, sharpening the discount rate applied to those obligations, and you can see the main stories that coalesced into a broad market risk-off centered on AI hardware stocks.
Money is moving into healthcare, utilities, consumer defensive and energy. Inside tech, software is the perceived counter-cyclical, since seat-based and subscription models do not carry the AI capex bill.
A Relief Bounce Off Depressed Levels Investors should acknowledge the starting point. These stocks have been punished all year on fears that generative AI compresses SaaS pricing power. Monday.com is down roughly 44% year to date and about 53% over the past year. HubSpot is down about 46% YTD and 51% over one year. Intuit is down about 49% YTD and 53% over one year. A single session in the 5% to 7% range does not repair drawdowns of that size.
Recent performance gives the bounce something to lean on. Monday.com posted Q2 revenue of $365 million, up 22% YoY, and disclosed that AI ARR doubled quarter over quarter and now represents 17% of net new ARR. HubSpot delivered 20% subscription revenue growth, expanded non-GAAP operating margin to 20%, and authorized an additional $1 billion buyback. Intuit reported $8.6 billion in fiscal Q3 revenue, up 10%, and raised full-year non-GAAP EPS guidance to $23.80 to $23.85.
What to Watch The most immediate catalyst is Intuit, which reports fiscal Q4 results after the close on August 25. HubSpot and Monday.com have already reported. HubSpot’s next earnings come November 4, followed by Monday.com on November 9.
Contact [email protected] for any questions or corrections.
monday.com (NASDAQ:MNDY – Get Free Report) and MIND C.T.I. (NASDAQ:MNDO – Get Free Report) are both technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, institutional ownership, earnings, dividends, risk and analyst recommendations.
Analyst Recommendations This is a breakdown of recent recommendations and price targets for monday.com and MIND C.T.I., as provided by MarketBeat.
Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score monday.com 1 9 14 1 2.60 MIND C.T.I. 1 0 0 0 1.00 monday.com currently has a consensus price target of $117.91, indicating a potential upside of 41.50%. Given monday.com’s stronger consensus rating and higher probable upside, analysts plainly believe monday.com is more favorable than MIND C.T.I..
Risk & Volatility monday.com has a beta of 1.24, suggesting that its stock price is 24% more volatile than the S&P 500. Comparatively, MIND C.T.I. has a beta of 0.38, suggesting that its stock price is 62% less volatile than the S&P 500. Institutional & Insider Ownership 73.7% of monday.com shares are held by institutional investors. Comparatively, 24.3% of MIND C.T.I. shares are held by institutional investors. 22.3% of monday.com shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Earnings and Valuation This table compares monday.com and MIND C.T.I.”s top-line revenue, earnings per share and valuation.
Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio monday.com $1.23 billion 3.46 $118.74 million $2.35 35.46 MIND C.T.I. $19.46 million 1.07 $2.60 million $0.16 6.44 monday.com has higher revenue and earnings than MIND C.T.I.. MIND C.T.I. is trading at a lower price-to-earnings ratio than monday.com, indicating that it is currently the more affordable of the two stocks.
Profitability This table compares monday.com and MIND C.T.I.’s net margins, return on equity and return on assets.
Net Margins Return on Equity Return on Assets monday.com 8.87% 9.09% 4.73% MIND C.T.I. 16.87% 14.09% 10.90% Summary monday.com beats MIND C.T.I. on 12 of the 15 factors compared between the two stocks.
About monday.com (Get Free Report)
monday.com Ltd., together with its subsidiaries, develops software applications in the United States, Europe, the Middle East, Africa, the United Kingdom, and internationally. The company provides Work OS, a cloud-based visual work operating system that consists of modular building blocks used and assembled to create software applications and work management tools. Its products include monday work management that manages workflows, projects, and portfolios for team collaboration and productivity; monday sales CRM, whcih tracks and manages various sales cycle; monday dev that builds agile product and software development workflows; WorkCanvas, a digital whiteboard; and WorkForms, which allows users to create personalized forms or surveys and gain organizational insights. It serves organizations, educational or government institution, and distinct business unit of an organization. The company was formerly known as DaPulse Labs Ltd. and changed its name to monday.com Ltd. in December 2017. monday.com Ltd. was incorporated in 2012 and is headquartered in Tel Aviv, Israel.
About MIND C.T.I. (Get Free Report)
MIND C.T.I. Ltd., together with its subsidiaries, develops, markets, sells, and implements billing and customer care software solutions for communication service providers in the Americas, Europe, Israel, the Asia Pacific, and Africa. It operates in two segments, Billing and Related Services, and Messaging. The company offers billing and customer care solutions that support various services, such as voice, data, and content services, as well as prepaid, postpaid, and pay-in-advance payment models in a single platform. Its solutions also include a workflow engine to support the implementation of business processes, including subscriber registration, order management, trouble ticket, and debt collection; and a point of sale solution that covers dealer, store and cashier management, and sales cycle related activities. In addition, the company offers professional services comprising turnkey project delivery, customer support and maintenance, integration, customizations, and project management; and managed services, including day to day billing operational tasks. Further, it provides PhonEX ONE, a call management system that collects, records, and stores call information, which is used by organizations for telecom expense management, call accounting, traffic analysis, and fraud detection; and a mobile messaging platform. The company offers its products directly, as well as through distributors and resellers primarily to communication service providers, such as traditional wireline and wireless, voice over IP, broadband IP network operators, wireless internet service providers, LTE operators, cable operators, and mobile virtual network operators. MIND C.T.I. Ltd. was incorporated in 1995 and is headquartered in Yokneam Illit, Israel.
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Analyst’s Disclosure: I/we have a beneficial long position in the shares of MNDY either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
As the artificial intelligence boom continues to evolve, investors must choose between high-performance hardware and scalable enterprise software. Should you buy SK Hynix (SKHY +0.40%) or Monday.com (MNDY -7.18%) today?
SK Hynix builds the physical memory that powers global AI infrastructure, while Monday.com provides the software platform that helps teams organize complex modern workflows. These companies operate at opposite ends of the technology stack. Comparing them reveals whether you prefer the cyclical upside of hardware or the recurring revenue of software-as-a-service.
The case for SK HynixSK Hynix produces high-performance memory products that are essential for modern data centers and consumer electronics. It focuses on Dynamic Random Access Memory (DRAM) and NAND flash chips used in high-end artificial intelligence servers and mobile devices. Because it provides the hardware backbone among semiconductor stocks, its growth is tied closely to the infrastructure needs of major cloud providers.
In its 2025 fiscal year (FY), revenue reached $68.6 billion, representing a significant increase of 46.8% compared to the previous year. The company reported a net income of $30.3 billion for the same period. This resulted in a net margin of 44.2%, which measures the percentage of revenue remaining as profit after all costs are paid.
As of its December 2025 balance sheet, the debt-to-equity ratio was 0.2x. This ratio compares total debt to shareholder equity, indicating the company uses a conservative amount of debt to fund its operations. The current ratio stands at 1.9x, which measures the ability to pay off short-term liabilities with assets that can be turned into cash quickly. Free cash flow reached $17.5 billion in FY 2025, representing the cash left over after the company pays for its operations and capital investments.
The case for Monday.comMonday.com offers a cloud-based platform that allows teams to build custom work management tools for various business needs. The company serves approximately 250,000 customers globally, providing software for project management, customer relationship management, and development workflows. By selling subscription-based access to its platform, the company aims to create a steady stream of recurring revenue from diverse industries.
In FY 2025, revenue reached $1.2 billion, reflecting a growth rate of 26.7% over the prior year. The company reported a net income of $118.7 million during this period. Its net margin was 9.6%, indicating the portion of total sales that is converted into actual profit for the business.
As of its December 2025 balance sheet, the debt-to-equity ratio was 0.3x, helping to gauge the company's financial leverage. The current ratio was 2.5x, demonstrating its ability to cover short-term obligations with liquid assets. Free cash flow for FY 2025 was $309.9 million. Note that stock-based compensation (SBC) represented 53.1% of operating cash flow, which inflates reported cash generation since SBC is a non-cash expense added back in the cash flow statement.
Risk profile comparisonSK Hynix faces risks related to the cyclical nature of the memory market, where chip prices can drop sharply when supply exceeds demand. The company must also manage high capital expenditures to maintain its manufacturing facilities and technological edge. Furthermore, competition from Micron Technology and Samsung Electronics remains a constant threat to its market share and pricing power.
For Monday.com, the primary risk involves intense competition in the enterprise software market. If larger competitors integrate similar features into their established software suites, it could lead to higher customer churn or lower pricing. The company also faces risks if businesses reduce their total software spending during economic downturns or periods of tighter corporate budgets.
Valuation comparisonSK Hynix looks cheaper based on its Forward P/E ratio, while Monday.com trades at a lower P/S ratio.
MetricSK hynixmonday.comForward P/E6.4x20.6xP/S ratio17.1x3.2xValuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
The tailwind of artificial intelligence has boosted the fortunes of SK Hynix while AI's impact on Monday.com's business remains murky. That said, the memory sector, in which SK Hynix operates, is known for cyclical ups and downs. The big question is the timing around when the inevitable downturn will hit.
In weighing such pros and cons of each company, the stock I would invest in right now is SK Hynix. The South Korean tech giant achieved record high revenue in the second quarter, a testament that demand for its products remains strong.
A key driver for SK Hynix's future growth is the expansion of data centers around the world. As these facilities add computing power to support evolving AI systems, memory solutions are likely to remain in need. The company is also signing multi-year agreements with tech giants to ensure its revenue remains robust for the long term. One of these deals is with AI semiconductor chip leader Nvidia.
Moreover, while Monday.com's share price valuation looks low from a sales multiple perspective, its forward P/E ratio is far higher. Since the forward earnings multiple looks toward future earnings, this suggests SK Hynix is expected to deliver robust profits in the months ahead, and its valuation hasn't caught up yet, making now a good time to pick up shares.
Monday.com (MNDY - Free Report) could be a solid choice for investors given its recent upgrade to a Zacks Rank #1 (Strong Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change.
A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.
Since a changing earnings picture is a powerful factor influencing near-term stock price movements, the Zacks rating system is very useful for individual investors. They may find it difficult to make decisions based on rating upgrades by Wall Street analysts, as these are mostly driven by subjective factors that are hard to see and measure in real time.
Therefore, the Zacks rating upgrade for Monday.com basically reflects positivity about its earnings outlook that could translate into buying pressure and an increase in its stock price.
Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, has proven to be strongly correlated with the near-term price movement of its stock. The influence of institutional investors has a partial contribution to this relationship, as these big professionals use earnings and earnings estimates to calculate the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their bulk investment action then leads to price movement for the stock.
For Monday.com, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.
Harnessing the Power of Earnings Estimate RevisionsAs empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, tracking such revisions for making an investment decision could be truly rewarding. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .
Earnings Estimate Revisions for Monday.comFor the fiscal year ending December 2026, this project management software developer is expected to earn $5.07 per share, which is unchanged compared with the year-ago reported number.
Analysts have been steadily raising their estimates for Monday.com. Over the past three months, the Zacks Consensus Estimate for the company has increased 31.5%.
Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.
You can learn more about the Zacks Rank here >>>
The upgrade of Monday.com to a Zacks Rank #1 positions it in the top 5% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.
Monday.com (MNDY - Free Report) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company.
The upward trend in estimate revisions for this project management software developer reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. This insight is at the core of our stock rating tool -- the Zacks Rank.
The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008.
For Monday.com, strong agreement among the covering analysts in revising earnings estimates upward has resulted in meaningful improvement in consensus estimates for the next quarter and full year.
The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate:
12 Month EPS
Current-Quarter Estimate RevisionsThe company is expected to earn $1.26 per share for the current quarter, which represents a year-over-year change of +8.6%.
Over the last 30 days, two estimates have moved higher for Monday.com compared to no negative revisions. As a result, the Zacks Consensus Estimate has increased 65%.
Current-Year Estimate RevisionsFor the full year, the company is expected to earn $5.07 per share, representing a year-over-year change of +15.2%.
The revisions trend for the current year also appears quite promising for Monday.com, with five estimates moving higher over the past month compared to no negative revisions. The consensus estimate has also received a boost over this time frame, increasing 31.51%.
Favorable Zacks RankThanks to promising estimate revisions, Monday.com currently carries a Zacks Rank #1 (Strong Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500.
Bottom LineInvestors have been betting on Monday.com because of its solid estimate revisions, as evident from the stock's 6.5% gain over the past four weeks. As its earnings growth prospects might push the stock higher, you may consider adding it to your portfolio right away.
Shares of Monday.com (MNDY - Free Report) have gained 6.5% over the past four weeks to close the last trading session at $85.95, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $108.5 indicates a potential upside of 26.2%.
The mean estimate comprises 22 short-term price targets with a standard deviation of $19.04. While the lowest estimate of $90.00 indicates a 4.7% increase from the current price level, the most optimistic analyst expects the stock to surge 92% to reach $165.00. It's very important to note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts.
While the consensus price target is highly sought after by investors, the ability and unbiasedness of analysts in setting price targets have long been questionable. And investors making investment decisions solely based on this tool would arguably do themselves a disservice.
But, for MNDY, an impressive average price target is not the only indicator of a potential upside. Strong agreement among analysts about the company's ability to report better earnings than they predicted earlier strengthens this view. While a positive trend in earnings estimate revisions doesn't gauge how much a stock could gain, it has proven to be powerful in predicting an upside.
Price, Consensus and EPS Surprise
Here's What You May Not Know About Analysts' Price TargetsAccording to researchers at several universities across the globe, a price target is one of many pieces of information about a stock that misleads investors far more often than it guides. In fact, empirical research shows that price targets set by several analysts, irrespective of the extent of agreement, rarely indicate where the price of a stock could actually be heading.
While Wall Street analysts have deep knowledge of a company's fundamentals and the sensitivity of its business to economic and industry issues, many of them tend to set overly optimistic price targets. Are you wondering why?
They usually do that to drum up interest in shares of companies that their firms either have existing business relationships with or are looking to be associated with. In other words, business incentives of firms covering a stock often result in inflated price targets set by analysts.
However, a tight clustering of price targets, which is represented by a low standard deviation, indicates that analysts have a high degree of agreement about the direction and magnitude of a stock's price movement. While that doesn't necessarily mean the stock will hit the average price target, it could be a good starting point for further research aimed at identifying the potential fundamental driving forces.
That said, while investors should not entirely ignore price targets, making an investment decision solely based on them could lead to disappointing ROI. So, price targets should always be treated with a high degree of skepticism.
Here's Why There Could be Plenty of Upside Left in MNDYAnalysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason to expect an upside in the stock. That's because empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
The Zacks Consensus Estimate for the current year has increased 31.5% over the past month, as five estimates have gone higher compared to no negative revision.
Moreover, MNDY currently has a Zacks Rank #1 (Strong Buy), which means it is in the top 5% of more than 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Therefore, while the consensus price target may not be a reliable indicator of how much MNDY could gain, the direction of price movement it implies does appear to be a good guide.
Key Takeaways monday.com's Q2 revenues rose 22% to $364.6M, while non-GAAP earnings climbed 35.8% to $1.48 per share.AI product ARR doubled from Q1 and made up 17% of net new ARR, supported by broad customer adoption.monday.com saw $500K-plus ARR customers jump 68%, while total RPOs increased 34% to $937 million. monday.com (MNDY - Free Report) reported second-quarter 2026 non-GAAP earnings of $1.48 per share, up 35.8% year over year and surpassing the Zacks Consensus Estimate by 29.82%.
Revenues rose 22% to $364.6 million and beat the consensus mark by 2.72%.
The quarter benefited from stronger operating profitability and continued enterprise traction. AI product ARR doubled from the first quarter and represented 17% of net new ARR added during the second quarter.
MNDY Sees Broad AI Product UsageThe company said customers are using AI capabilities across monday Agents, monday Blocks, monday Sidekick and monday Notetaker. Since launch, these products have generated more than 1.7 million agent interactions, 98 million AI block actions, roughly 3 million Sidekick conversations and more than 180,000 Notetaker hours.
Management also highlighted early adoption of its seat-and-credit pricing model launched in May. Following a roughly 20% workforce reduction announced in July, monday.com plans to reinvest most of the savings in people, products and AI while operating with fewer management layers and smaller teams.
monday.com Extends Upmarket MomentumPaid customers with more than $50,000 in annual recurring revenues, or ARR, reached 4,834, up 31% year over year. Customers above $100,000 in ARR increased 37% to 2,019, while those above $500,000 jumped 68% to 114.
The company added 287 net new customers above the $50,000 ARR threshold, 175 above $100,000 and a record 15 above $500,000 during the quarter. Customers above $50,000, $100,000 and $500,000 now account for 43%, 30% and 7% of total ARR, respectively.
MNDY Retention Supports Customer ExpansionDuring the second quarter, net dollar retention was 109% across all customers. The rate was 113% for customers with more than 10 users and 115% for customers with more than $50,000 or $100,000 in ARR.
Customers with more than 10 users totaled 65,783, up 6% year over year, and represented 82% of ARR compared with 80% a year earlier. Larger customers continue to be an important driver of the business.
monday.com Expands Operating MarginNon-GAAP gross margin was 89%, down from 90% in the year-ago quarter. In the reported quarter, non-GAAP operating income increased 35.5% to $61.1 million, while operating margin expanded to 17% from 15%.
Non-GAAP research and development expenses rose 40.1% to $83.0 million. Sales and marketing expenses increased 7.3% to $149.4 million, while general and administrative expenses advanced 15.4% to $30.7 million.
MNDY RPOs Rise as Customer Commitments ExtendAt the end of the second quarter, total remaining performance obligations, or RPOs, were $937 million, up 34% year over year. Current RPOs, which represent contracted revenues expected to be recognized within the next 12 months, increased 27% to $750 million.
The company also continued to diversify beyond work management. New products, including monday CRM and campaigns, monday dev and monday service, represented 11.6% of total ARR at the end of the quarter.
MNDY’s Balance Sheet & Cash FlowAs of June 30, 2026, MNDY had Cash and cash equivalents of $853.4 million, while marketable securities were $219.4 million. During the quarter, MNDY repurchased about 2.33 million ordinary shares for roughly $182 million, fully utilizing its $870 million authorized repurchase program.
Net cash provided by operating activities was $55.4 million in the reported quarter, down 17.2% year over year.
Adjusted free cash flow fell 18.3% to $52.3 million, while adjusted free cash flow margin was 14% compared with 21% a year earlier.
MNDY Issues Q3 & 2026 OutlookFor the third quarter of 2026, monday.com expects revenues of $368-$370 million, implying year-over-year growth of 16%-17%. Non-GAAP operating income is projected at $57-$59 million, with an operating margin of roughly 16%.
For 2026, revenues are expected between $1.466 billion and $1.474 billion, representing growth of 19%-20%. Non-GAAP operating income is forecast at $230-$234 million, while adjusted free cash flow is expected between $280 million and $290 million. Management raised its full-year non-GAAP operating margin outlook while maintaining its revenue growth and free cash flow guidance.
MNDY’s Zacks Rank & Stocks to ConsiderCurrently, monday.com carries a Zacks Rank #3 (Hold).
Kimball Electronics (KE - Free Report) , Analog Devices (ADI - Free Report) and Nutanix (NTNX - Free Report) are among the better-ranked stocks that investors can consider in the broader Zacks Computer and Technology sector. Currently, Kimball Electronics sports a Zacks Rank #1 (Strong Buy), while Analog Devices and Nutanix carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
Kimball Electronics shares have returned 3.3% in the past six months. KE is scheduled to report its fourth-quarter fiscal 2026 results on Aug. 12.
Analog Devices' shares have gained 14% in the past six months. ADI is scheduled to report its third-quarter fiscal 2026 results on Aug. 19.
Nutanix shares have surged 55.7% in the past six months. NTNX is slated to report its third-quarter fiscal 2026 results on Aug. 26.
Shares of enterprise software company Monday.com (MNDY -4.84%) sank 6.2% on Monday as of 3:50 p.m. EDT.
Monday.com is an enterprise software company that offers productivity, workflow, customer service, customer surveys, customer relationship management, and other software building blocks for businesses worldwide. As such, the stock has been caught up in this year's "SaaS-pocalypse," in which software stocks have sold off hard on AI-related disruption fears, almost regardless of current business performance.
As such, stocks like Monday.com tend to sell off even on strong earnings reports if one or two metrics come up short. That appears to be the case today.
Today's Change
(
-4.84
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-4.51
Current Price
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88.62
A case of the Mondays In the second quarter, Monday.com reported revenue growth of 21.9% to $364.6 million, with adjusted (non-GAAP) earnings per share jumped 35.8% to $1.48. Both figures beat expectations.
Despite the solid beat, there were some imperfections. The company guided current-quarter revenue to be between $368 million and $370 million, slightly below analysts' expectations, signaling a deceleration in growth to 16%-17%. Net revenue retention, which measures the growth from existing customers, came in at 109%. That's actually a good number; however, it's the lowest NRR growth in Monday's recent history.
Image source: Getty Images.
A case to buy the dip Despite the "imperfections," this was still a pretty strong report for Monday.com, which now trades at just 15.8 times 2027 earnings estimates. That's very cheap for a software company growing in the high-teens to low-20% range.
Furthermore, management cited progress in its AI-powered offerings, with AI-related tools doubling quarter over quarter. That still accounted for a tiny number, at 17% of new annualized revenue -- not 17% of all revenue, just new revenue -- but the extremely fast growth rate is promising.
If software companies can manage through this transition, implement AI tools into their software, and successfully administer usage-based pricing models, they sure look like inexpensive stocks right now. While that will remain an open question for the foreseeable future, Monday.com looks to be a solid choice to add to a basket of SaaS names for those willing to bet on the sector's ultimate survival and success in the AI era.
For years, the corporate artificial intelligence (AI) story ran on soft metrics: employees trained, chatbots launched, pilots underway. This earnings season, companies gave investors something more concrete.
monday.com told investors this week that annual recurring revenue from its AI products doubled between Q1 and Q2 2026 and now accounts for 17% of net new ARR, Co-CEO Eran Zinman said on the company’s earnings call. Zinman called it evidence that customers are “actively choosing AI features and are willing to pay more when they see value.” That is a materially different signal than employees simply using an AI tool. Customers are paying a separate, measurable price for it.
Airbnb offered the mirror image on cost. CEO Brian Chesky told investors on the company’s call that customer support costs per booking fell about 16% year over year, driven by an AI assistant resolving nearly 45% of guest issues without a human agent, PYMNTS reported. AI also cut concept-to-launch time by up to 60%, letting Airbnb ship nearly 80% more features in the first half of 2026 than a year earlier.
Boards Have Stopped Accepting Adoption Metrics as Proof monday.com is showing AI as a revenue line customers pay into directly. Airbnb is showing it as a cost reduction inside an existing line item. Both are more specific and harder to dispute than the adoption metrics that dominated AI reporting through 2024 and 2025.
That gap between adoption and proof shows up across finance departments broadly. PYMNTS Intelligence has tracked enterprise Gen AI sentiment monthly since March 2024, drawing on more than 1,000 observations from companies with at least $1 billion in revenue. The share of executives reporting a favorable, positive result from generative AI has climbed to 96%, up significantly from a year earlier, PYMNTS reported, even as the technology remains early by most executives’ own admission.
That same confidence is showing up in how CFOs are putting generative AI to work. 87% of mid-market CFOs see generative AI as important to accelerating the close and flagging anomalies, PYMNTS reported separately, with the same share using it for debt modeling and stress tests. Friction has eased as programs mature: reported errors dropped from 80% in July 2025 to 35% by December, PYMNTS Intelligence found in a survey of 60 CFOs at $1 billion-plus companies. Integration challenges fell from 70% to 45% over the same period.
Bill for Running AI Is Becoming Its Own Line Item None of that comes free. Worldwide spending on AI platforms and models is on pace to hit $64.25 billion in 2026, up 63.4% from $39.3 billion in 2025, and 45% of CFOs still direct AI budgets toward general productivity gains rather than the strategic outcomes boards want, according to Gartner data reported July 20. Total global AI spending, including infrastructure, is projected to reach $2.52 trillion in 2026, Gartner separately forecast. That is the bill behind every AI feature monday.com sells or Airbnb deploys.
Finance teams are building tools to track that bill. Ramp launched AI Token Spend Management on July 16, after token spend across its customers rose 20.7 times since June 2025, PYMNTS reported. CloudZero launched a similar tool from a different angle, tying AI spending to the customers and features that generated it rather than tracking token counts alone.
That mismatch between soft metrics and hard financial ones is what kept boards skeptical. Analysts at Wedbush found many enterprises ran AI pilots without any framework for measuring success, PYMNTS reported, leaving them unable to justify the spend even after significant investment. monday.com’s ARR disclosure and Airbnb’s per-booking cost figure are two of the clearest examples yet of companies meeting that challenge with a number instead of an anecdote.
For all PYMNTS AI coverage, subscribe to the daily AI Newsletter.
Monday.com shares fell sharply on Monday after the work management software company issued third-quarter revenue guidance that fell short of Wall Street expectations, overshadowing stronger-than-expected second-quarter earnings and continued momentum in its artificial intelligence business.
MNDY shares dropped more than 6% after the company projected third-quarter revenue of $368 million to $370 million, representing growth of 16% to 17%.
The forecast came in below analysts' expectations of $372.8 million, according to FactSet.
The company maintained its full-year revenue guidance of $1.466 billion to $1.474 billion, broadly in line with Wall Street estimates at the midpoint.
Still, Monday.com reported adjusted second-quarter earnings of $1.48 per share, ahead of analyst estimates of $1.11, while revenue increased 22% year over year to $364.6 million, topping expectations of $355.6 million.
Management said the softer outlook reflects organizational changes following the company's decision to reduce its global workforce by approximately 20% in late July, along with the impact of pricing adjustments.
Chief Financial Officer Eliran Glazer said on the earnings call:
“We always try to be responsible, but we do have a strong conviction on the trajectory and the moderation of the guidance reflect our discipline in the moment of transitioning the organization as we continue to move upmarket and also restructuring the organization.”
Co-CEOs Roy Mann and Eran Zinman said the restructuring is designed to accelerate the company's long-term AI strategy.
“We made the difficult decision to restructure our organization, sharpen our product portfolio, and commit fully to the AI Work Platform in order to capture the largest opportunity we have ever seen in software,” Mann and Zinman said.
Mann also described the workforce reduction as “the hardest decision we have made since founding the company,” adding that the restructuring will reduce management layers, create smaller teams and shift the company's go-to-market strategy toward AI.
Monday.com said it has spent the past nine months transforming its platform from a work management application into one where employees and AI agents collaborate.
The company has introduced an AI agent builder, tools that allow customers to create their own work applications and a pricing model based on AI usage rather than user seats.
Management said adoption of its AI products continued to strengthen during the second quarter.
“More telling than any single metric is that AI products adoption continues to accelerate, and customers respond to our new direction,” Mann said.
Annual recurring revenue from AI products doubled from the first quarter and represented 17% of net new ARR during the second quarter.
The company also said it surpassed $1.5 billion in annual recurring revenue in July while adding more than 105,000 customers during the quarter.
Monday.com also continued expanding its presence among larger enterprise customers.
The number of paid customers generating more than $500,000 in annual recurring revenue increased 68% year over year to 114, up from 68 a year earlier.
Even with those improvements, investors remained focused on the company's near-term revenue outlook.
monday.com (MNDY) shares have declined as investors shift their focus from a strong Q2 performance to weaker near-term guidance and an anticipated slowdown in r
monday.com (NASDAQ: MNDY), the AI work platform that turns strategy into execution, at scale, today reported financial results for its second quarter ended June
Monday.com (MNDY - Free Report) came out with quarterly earnings of $1.48 per share, beating the Zacks Consensus Estimate of $1.14 per share. This compares to earnings of $1.09 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +29.83%. A quarter ago, it was expected that this project management software developer would post earnings of $0.96 per share when it actually produced earnings of $1.15, delivering a surprise of +19.79%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
Monday.com, which belongs to the Zacks Internet - Software industry, posted revenues of $364.62 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.72%. This compares to year-ago revenues of $299.01 million. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Monday.com shares have lost about 36.9% since the beginning of the year versus the S&P 500's gain of 13.3%.
What's Next for Monday.com?While Monday.com has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Monday.com was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.13 on $372.42 million in revenues for the coming quarter and $4.54 on $1.47 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the top 42% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, StoneCo Ltd. (STNE - Free Report) , has yet to report results for the quarter ended June 2026. The results are expected to be released on August 13.
This company is expected to post quarterly earnings of $0.46 per share in its upcoming report, which represents a year-over-year change of +18%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
StoneCo Ltd.'s revenues are expected to be $731.18 million, up 8.8% from the year-ago quarter.
U.S. stocks traded mostly lower this morning, with the Dow Jones index falling around 0.2% on Monday.
Following the market opening Monday, the Dow traded down 0.16% to 53,949.06 while the NASDAQ fell 0.07% to 26,672.55. The S&P 500 also fell, dropping, 0.09% to 7,750.93.
Leading and Lagging Sectors
Energy shares jumped by 1.9% on Monday.
In trading on Monday, real estate stocks fell by 0.9%.
Top Headline
Monday.Com Ltd (NASDAQ:MNDY) shares fell around 10% on Monday after the company reported second-quarter financial results and issued weak third-quarter sales guidance.
Monday.Com posted adjusted earnings of $1.48 per share, beating market estimates of $1.11 per share. The company’s sales came in at $364.621 million, versus expectations of $355.219 million.
Monday.Com said it sees third-quarter sales of $368.000 million-$370.000 million, versus market estimates of $372.734 million.
Equities Trading UP
Socket Mobile Inc (NASDAQ:SCKT) shares shot up 576% to $2.61 after the company announced a North America distribution agreement with 3Eye Technologies for the company’s Apple-based scanning solutions. Shares of Jowell Global Ltd (NASDAQ:JWEL) got a boost, surging 145% to $3.80. Steakholder Foods Ltd – ADR (NASDAQ:STKH) shares were also up, gaining 120% to $4.13. Steakholder Foods recently disclosed up to $10.5 million private placement. Equities Trading DOWN
Sionna Therapeutics Inc (NASDAQ:SION) shares dropped 92% to $4.25 after the company reported topline data from the PreciSION CF Phase 2a proof-of-concept trial of SION-719 did not achieve key activity endpoint. Shares of Tenax Therapeutics Inc (NASDAQ:TENX) were down 88% to $1.58 after the company announced its Phase 3 LEVEL clinical trial evaluating TNX-103 did not meet its primary or key secondary endpoints. Airsculpt Technologies Inc (NASDAQ:AIRS) was down, falling 46% to $2.72 after the company reported worse-than-expected second-quarter sales results and narrowed its FY26 sales guidance below estimates. Commodities
In commodity news, oil traded up 2% to $79.73 while gold traded down 0.2% at $4,390.70.
Silver traded up 1.1% to $64.190 on Monday, while copper rose 0.6% to $6.6280.
Euro zone
European shares were mostly higher today. The eurozone’s STOXX 600 gained 0.1%, while Spain’s IBEX 35 Index gained 0.2% London’s FTSE 100 fell 0.4%, Germany’s DAX gained 0.2%, while France’s CAC 40 climbed 0.1%.
Asia Pacific Markets
Asian markets closed higher on Monday, with Japan’s Nikkei 225 gaining 2.08%, Hong Kong’s Hang Seng index gaining 1.05%, China’s Shanghai Composite rising 0.67% and India’s BSE Sensex rising 0.1%.
Economics
No major economic reports are scheduled for release today.
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Has Wall Street Got Monday.com Completely Wrong?monday.com NASDAQ: MNDY reported second-quarter fiscal 2026 revenue growth of 22% year over year and expanded its non-GAAP operating margin, while outlining a broad organizational restructuring intended to support a shift toward AI-enabled products and larger enterprise customers.
Co-CEO Roy Mann said the company has undergone “the most meaningful strategic shift” in its history, moving from software designed to help users manage work toward software that can perform work through people and AI agents in a unified workspace.
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The Palantir Paradox—Record Numbers and a Stock That Won't CooperateOn July 22, monday.com reduced its global workforce by approximately 20%. Mann called the decision the company’s hardest since its founding, but said it was necessary to position the business for its AI-focused strategy. Most of the resulting savings will be reinvested in personnel, products and AI, he said.
Second-Quarter Results Revenue totaled $365 million in the second quarter, up 22% from the prior-year period. Non-GAAP operating income rose to $61.1 million from $45.1 million a year earlier, while non-GAAP operating margin increased to 17% from 15%.
Non-GAAP gross margin was 89%, compared with 90% a year earlier. Non-GAAP net income was $65.5 million, compared with $58.3 million in the prior-year quarter. Diluted non-GAAP earnings per share were $1.48, based on 44.4 million fully diluted shares outstanding. Adjusted free cash flow was $52.3 million, representing a 14% adjusted free-cash-flow margin. Net dollar retention was 109% in the quarter. Manic Monday.com: The Rally Is Just the Beginning for this SaaS LeaderCFO Eliran Glazer said the company’s second-quarter operating margin included an approximately 210-basis-point negative foreign-exchange effect, primarily related to appreciation of the Israeli shekel against the U.S. dollar.
Research and development expense was $83 million, or 23% of revenue, compared with 20% of revenue a year earlier. Sales and marketing expense was $149.4 million, or 41% of revenue, down from 47% in the year-ago period. General and administrative expense was $30.7 million, or 8% of revenue, compared with 9% a year earlier.
The company ended the quarter with $1.07 billion in cash, cash equivalents and marketable securities, down from $1.21 billion at the end of the first quarter. The decline reflected $182 million in share repurchases during the quarter. Glazer said the company had used its entire $870 million repurchase authorization, leaving no shares available for further repurchases under the program.
AI Adoption and Product Focus Management said AI adoption accelerated during the quarter. Co-CEO Eran Zinman said AI annual recurring revenue doubled from the first quarter to the second quarter and represented 17% of net new ARR added during the period.
The company launched a seat-and-credit AI pricing model in May. Zinman said adoption was strong early in the rollout, with customers engaging deeply enough with the products to purchase usage beyond their default packages. Mann said both new and existing customers were adopting the AI offerings and that some customers had reached their allotted consumption levels before adding more credits.
“This is the first time since we added the new agent that we see customers expand not only on the seats for humans, but on AI consumption,” Zinman said, describing AI usage as a new growth vector for the company.
monday.com is sharpening its focus on monday service and monday CRM, according to Zinman. Each product will have dedicated product-development, go-to-market and investment roadmaps. The company sees distinct buyers, workflows and AI opportunities for the two products.
The company continues to support monday dev, though Zinman said the product has received less focus as developer workflows have changed. Management is reconsidering the product’s strategy and may add capabilities or alter its direction, he said.
Enterprise Momentum and Go-to-Market Changes Management highlighted record net additions among customers contributing more than $100,000 and more than $500,000 in ARR. Chief Revenue Officer Casey George said the company remains early in its move upmarket and is benefiting from customer expansion, vendor consolidation and enterprise interest in deploying AI on platforms with contextual data.
George said gross retention was at historical highs and that the company continued to see double-digit year-over-year seat growth among enterprise customers. He also said sales cycles have not changed materially, although larger customers typically have longer buying cycles.
The restructuring within the go-to-market organization was concentrated among non-quota-carrying and down-market resources, George said. monday.com plans to continue investing in mid-market and enterprise sales resources while increasingly using partners to support down-market sales.
The company is also expanding its forward-deployed engineering model to help customers implement AI applications and agents. Zinman said the initiative has already produced several initial customer implementations and is expected over time to support larger deals, deeper customer relationships and access to more senior buyers.
Guidance Reflects Transition Risks For the third quarter, monday.com forecast revenue of $368 million to $370 million, representing year-over-year growth of 16% to 17%. It expects non-GAAP operating income of $57 million to $59 million and an operating margin of about 16%, including a projected 100- to 200-basis-point foreign-exchange headwind.
For fiscal 2026, the company projected revenue of $1.466 billion to $1.474 billion, or growth of 19% to 20%. It expects non-GAAP operating income of $230 million to $234 million, a non-GAAP operating margin of approximately 16%, and adjusted free cash flow of $280 million to $290 million.
Glazer said the outlook does not assume a rebound in performance marketing or top-of-funnel activity. The guidance also reflects potential near-term disruption from the workforce reduction and pressure on net dollar retention as the company laps pricing actions taken in fiscal 2024 and 2025. Management expects fiscal 2026 net dollar retention of about 108%.
Despite the near-term transition, Glazer said monday.com expects operating margin to expand further in 2027 as it realizes a fuller benefit from the restructuring. The company expects annualized gross cost savings from the workforce action of about $100 million, though it plans to reinvest the vast majority in talent, products and AI.
About monday.com (NASDAQ:MNDY)monday.com is a software-as-a-service (SaaS) company that provides a cloud-based Work Operating System (Work OS) designed to help teams plan, organize and track their work. The platform offers customizable workflows that support project management, task delegation, time tracking and collaboration across departments. monday.com's visual interface enables users to create boards, automations and dashboards to centralize information and streamline processes without requiring extensive coding knowledge.
The company's product portfolio includes monday Work OS, which can be adapted for use cases ranging from marketing campaign management and sales pipelines to software development sprints and human resources onboarding.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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monday.com (NASDAQ:MNDY) shares fell about 6% on Monday after the software company issued third quarter revenue guidance that came in slightly below Wall Street expectations, overshadowing a second quarter earnings and revenue beat.
For the third quarter, monday.com forecast revenue of $368 million to $370 million, representing year-over-year growth of 16% to 17%. The midpoint of the outlook is below the roughly $372.8 million analysts had expected, contributing to the negative reaction in the shares.
The company reported second-quarter revenue of $364.6 million, up 22% year over year and above analyst expectations of about $355.5 million. Adjusted diluted earnings per share came in at $1.48, ahead of consensus estimates of roughly $1.11 to $1.14.
The company also reported that annual recurring revenue from its AI products doubled from the first quarter and accounted for 17% of net new ARR in the second quarter. monday.com said it also recorded a record number of net new customers with more than $100,000 and $500,000 in ARR.
“Q2 reinforced our conviction that our strategy is working and that it was time to move faster. We made the difficult decision to restructure our organization, sharpen our product portfolio, and commit fully to the AI Work Platform in order to capture the largest opportunity we have ever seen in software,” monday.com co-founders and co-CEOs Roy Mann and Eran Zinman said in a statement.
“The early results reinforce our conviction. ARR from AI products doubled from Q1, representing 17% of net new ARR in Q2, and customer response to our new direction continues to exceed our expectations.”
For the full year, monday.com maintained revenue guidance of $1.466 billion to $1.474 billion, representing growth of 19% to 20%. The company expects full-year non-GAAP operating income of $230 million to $234 million, with an operating margin of about 16%.
monday.com also expects adjusted free cash flow of $280 million to $290 million for 2026, representing an adjusted free cash flow margin of 19% to 20%, with the outlook assuming a negative foreign exchange impact of 100 to 200 basis points.
NEW YORK & TEL AVIV, Israel--(BUSINESS WIRE)--monday.com (NASDAQ: MNDY), the AI work platform that turns strategy into execution, at scale, today reported financial results for its second quarter ended June 30, 2026. Management Commentary: “Q2 reinforced our conviction that our strategy is working and that it was time to move faster. We made the difficult decision to restructure our organization, sharpen our product portfolio, and commit fully to the AI Work Platform in order to capture the lar.
monday.com Ltd. (NASDAQ:MNDY) will release its second quarter earnings report before the opening bell on Monday, Aug. 10.
Analysts expect the Tel Aviv-Yafo, Israel-based company to report quarterly earnings of $1.11 per share, up from $1.09 per share in the year-ago period. The consensus estimate for monday.com’s quarterly revenue is $355.53 million. It reported $299.01 million last year, according to Benzinga Pro.
On July 22, monday.com said it will reduce its workforce by about 20% as part of a restructuring plan aimed at aligning the company with its strategy to become an AI-focused work platform, while raising its full-year operating margin outlook.
Shares of monday.com gained 6.4% to close at $93.13 on Friday.
Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.
Let’s have a look at how Benzinga’s most-accurate analysts have rated the company in the recent period.
Tigress Financial analyst Ivan Feinseth maintained a Buy rating and cut the price target from $310 to $165 on May 22, 2026. This analyst has an accuracy rate of 75%. Canaccord Genuity analyst David Hynes maintained the stock with a Buy rating and slashed the price target from $140 to $115 on May 12, 2026. This analyst has an accuracy rate of 65%. Citigroup analyst Steven Enders maintained a Buy rating and cut the price target from $176 to $154 on May 12, 2026. This analyst has an accuracy rate of 55%. TD Cowen analyst Derrick Wood maintained the stock with a Buy rating and raised the price target from $100 to $110 on May 12, 2026. This analyst has an accuracy rate of 68%. Barclays analyst Raimo Lenschow maintained the stock with an Overweight rating and raised the price target from $95 to $100 on May 12, 2026. This analyst has an accuracy rate of 69% Considering buying MNDY stock? Here’s what analysts think:
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Amundi reduced its position in monday.com Ltd. (NASDAQ:MNDY – Free Report) by 79.1% in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 109,958 shares of the company’s stock after selling 415,055 shares during the quarter. Amundi owned about 0.21% of monday.com worth $7,599,000 at the end of the most recent quarter.
A number of other hedge funds and other institutional investors have also bought and sold shares of the company. NewEdge Advisors LLC increased its stake in monday.com by 2,120.0% in the first quarter. NewEdge Advisors LLC now owns 111 shares of the company’s stock valued at $27,000 after acquiring an additional 106 shares during the last quarter. Advisory Services Network LLC bought a new stake in monday.com during the third quarter worth about $28,000. EverSource Wealth Advisors LLC boosted its holdings in shares of monday.com by 498.6% in the 1st quarter. EverSource Wealth Advisors LLC now owns 425 shares of the company’s stock worth $29,000 after purchasing an additional 354 shares in the last quarter. Quarry LP purchased a new position in shares of monday.com during the 4th quarter valued at about $29,000. Finally, Huntington National Bank raised its holdings in shares of monday.com by 6,040.0% during the 4th quarter. Huntington National Bank now owns 307 shares of the company’s stock valued at $45,000 after buying an additional 302 shares in the last quarter. Institutional investors own 73.70% of the company’s stock.
monday.com Trading Down 2.5% Shares of MNDY opened at $91.45 on Thursday. monday.com Ltd. has a 1-year low of $57.50 and a 1-year high of $264.00. The firm’s 50-day moving average price is $80.35 and its 200-day moving average price is $80.12. The firm has a market capitalization of $4.68 billion, a price-to-earnings ratio of 39.76, a PEG ratio of 4.70 and a beta of 1.24.
monday.com (NASDAQ:MNDY – Get Free Report) last released its quarterly earnings results on Friday, March 13th. The company reported $1.15 earnings per share (EPS) for the quarter. The company had revenue of $351.26 million during the quarter. monday.com had a net margin of 9.17% and a return on equity of 5.10%. On average, research analysts forecast that monday.com Ltd. will post 1.59 EPS for the current fiscal year.
Analyst Ratings Changes MNDY has been the subject of a number of research reports. Citigroup cut their price objective on shares of monday.com from $176.00 to $154.00 and set a “buy” rating for the company in a research note on Tuesday, May 12th. TD Cowen increased their target price on monday.com from $100.00 to $110.00 and gave the company a “buy” rating in a report on Tuesday, May 12th. Zacks Research cut monday.com from a “strong-buy” rating to a “hold” rating in a research note on Friday, May 1st. UBS Group lowered their price objective on monday.com from $93.00 to $85.00 and set a “neutral” rating for the company in a research report on Tuesday, May 12th. Finally, Oppenheimer set a $115.00 target price on shares of monday.com in a report on Monday, May 11th. Seventeen investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $126.78.
View Our Latest Analysis on MNDY
monday.com Company Profile (Free Report)
monday.com is a software-as-a-service (SaaS) company that provides a cloud-based Work Operating System (Work OS) designed to help teams plan, organize and track their work. The platform offers customizable workflows that support project management, task delegation, time tracking and collaboration across departments. monday.com’s visual interface enables users to create boards, automations and dashboards to centralize information and streamline processes without requiring extensive coding knowledge.
The company’s product portfolio includes monday Work OS, which can be adapted for use cases ranging from marketing campaign management and sales pipelines to software development sprints and human resources onboarding.
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In the latest close session, Monday.com (MNDY - Free Report) was down 2.51% at $91.45. This move lagged the S&P 500's daily loss of 0.17%. On the other hand, the Dow registered a gain of 0.49%, and the technology-centric Nasdaq decreased by 0.83%.
The stock of project management software developer has risen by 11.53% in the past month, leading the Computer and Technology sector's gain of 3.01% and the S&P 500's gain of 3.52%.
The upcoming earnings release of Monday.com will be of great interest to investors. The company's earnings report is expected on August 10, 2026. The company's upcoming EPS is projected at $1.14, signifying a 4.59% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $354.95 million, indicating a 18.71% upward movement from the same quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.54 per share and a revenue of $1.47 billion, indicating changes of +3.18% and +19.34%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Mondaycom. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Monday.com presently features a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Monday.com has a Forward P/E ratio of 20.64 right now. This denotes a discount relative to the industry average Forward P/E of 21.72.
Also, we should mention that MNDY has a PEG ratio of 1.64. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Software industry had an average PEG ratio of 1.2 as trading concluded yesterday.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 108, putting it in the top 44% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
Arkadios Wealth Advisors purchased a new stake in monday.com Ltd. (NASDAQ:MNDY – Free Report) in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor purchased 22,190 shares of the company’s stock, valued at approximately $1,534,000.
Other hedge funds and other institutional investors also recently made changes to their positions in the company. NewEdge Advisors LLC lifted its position in shares of monday.com by 2,120.0% in the 1st quarter. NewEdge Advisors LLC now owns 111 shares of the company’s stock worth $27,000 after purchasing an additional 106 shares during the period. American Century Companies Inc. raised its stake in monday.com by 75.3% during the second quarter. American Century Companies Inc. now owns 4,192 shares of the company’s stock worth $1,318,000 after buying an additional 1,801 shares during the last quarter. EverSource Wealth Advisors LLC raised its stake in monday.com by 76.5% during the second quarter. EverSource Wealth Advisors LLC now owns 150 shares of the company’s stock worth $47,000 after buying an additional 65 shares during the last quarter. Cerity Partners LLC lifted its holdings in monday.com by 28.8% in the second quarter. Cerity Partners LLC now owns 2,596 shares of the company’s stock valued at $816,000 after buying an additional 580 shares during the period. Finally, WINTON GROUP Ltd acquired a new position in monday.com in the second quarter valued at $398,000. 73.70% of the stock is owned by institutional investors and hedge funds.
monday.com Stock Up 2.0% MNDY stock opened at $88.92 on Tuesday. The firm has a market capitalization of $4.55 billion, a PE ratio of 38.66, a P/E/G ratio of 4.36 and a beta of 1.24. monday.com Ltd. has a twelve month low of $57.50 and a twelve month high of $264.00. The stock’s 50 day moving average is $79.71 and its 200-day moving average is $80.67.
monday.com (NASDAQ:MNDY – Get Free Report) last released its quarterly earnings results on Friday, March 13th. The company reported $1.15 EPS for the quarter. monday.com had a return on equity of 5.10% and a net margin of 9.17%.The business had revenue of $351.26 million during the quarter. On average, equities research analysts anticipate that monday.com Ltd. will post 1.59 earnings per share for the current fiscal year.
Wall Street Analysts Forecast Growth A number of analysts have weighed in on MNDY shares. Wall Street Zen upgraded monday.com from a “hold” rating to a “buy” rating in a report on Sunday, July 12th. Jefferies Financial Group reissued a “hold” rating on shares of monday.com in a research note on Tuesday, May 12th. Zacks Research lowered monday.com from a “strong-buy” rating to a “hold” rating in a research report on Friday, May 1st. Citigroup decreased their target price on monday.com from $176.00 to $154.00 and set a “buy” rating for the company in a research note on Tuesday, May 12th. Finally, Piper Sandler lifted their target price on monday.com from $85.00 to $90.00 and gave the stock a “neutral” rating in a report on Monday, May 11th. Seventeen research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $126.78.
Get Our Latest Analysis on MNDY
About monday.com (Free Report)
monday.com is a software-as-a-service (SaaS) company that provides a cloud-based Work Operating System (Work OS) designed to help teams plan, organize and track their work. The platform offers customizable workflows that support project management, task delegation, time tracking and collaboration across departments. monday.com’s visual interface enables users to create boards, automations and dashboards to centralize information and streamline processes without requiring extensive coding knowledge.
The company’s product portfolio includes monday Work OS, which can be adapted for use cases ranging from marketing campaign management and sales pipelines to software development sprints and human resources onboarding.
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Bank of New York Mellon Corp decreased its position in monday.com Ltd. (NASDAQ:MNDY – Free Report) by 39.8% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 102,727 shares of the company’s stock after selling 67,868 shares during the period. Bank of New York Mellon Corp owned about 0.20% of monday.com worth $7,099,000 as of its most recent SEC filing.
Several other institutional investors have also added to or reduced their stakes in MNDY. AMS Capital Ltda bought a new stake in shares of monday.com during the 4th quarter valued at about $4,055,000. Migdal Insurance & Financial Holdings Ltd. raised its stake in shares of monday.com by 75.9% during the fourth quarter. Migdal Insurance & Financial Holdings Ltd. now owns 139,009 shares of the company’s stock worth $20,512,000 after acquiring an additional 60,000 shares in the last quarter. Allspring Global Investments Holdings LLC purchased a new stake in monday.com during the fourth quarter valued at about $6,200,000. NewEdge Wealth LLC bought a new position in monday.com during the 4th quarter worth approximately $5,635,000. Finally, Coronation Fund Managers Ltd. increased its stake in monday.com by 43.5% in the 4th quarter. Coronation Fund Managers Ltd. now owns 138,085 shares of the company’s stock worth $20,376,000 after purchasing an additional 41,871 shares during the period. 73.70% of the stock is owned by hedge funds and other institutional investors.
monday.com Stock Up 2.0% NASDAQ MNDY opened at $88.92 on Tuesday. The firm has a market capitalization of $4.55 billion, a PE ratio of 38.66, a P/E/G ratio of 4.36 and a beta of 1.24. The stock’s 50 day moving average is $79.71 and its 200 day moving average is $80.67. monday.com Ltd. has a twelve month low of $57.50 and a twelve month high of $264.00.
monday.com (NASDAQ:MNDY – Get Free Report) last released its earnings results on Friday, March 13th. The company reported $1.15 earnings per share for the quarter. monday.com had a net margin of 9.17% and a return on equity of 5.10%. The firm had revenue of $351.26 million for the quarter. On average, research analysts anticipate that monday.com Ltd. will post 1.59 earnings per share for the current year.
Wall Street Analyst Weigh In Several equities analysts have recently commented on MNDY shares. Tigress Financial lowered their price objective on shares of monday.com to $165.00 and set a “buy” rating for the company in a research note on Friday, May 22nd. Wall Street Zen upgraded monday.com from a “hold” rating to a “buy” rating in a research report on Sunday, July 12th. Guggenheim set a $130.00 target price on monday.com and gave the company a “buy” rating in a research note on Thursday, April 9th. Zacks Research downgraded monday.com from a “strong-buy” rating to a “hold” rating in a report on Friday, May 1st. Finally, BTIG Research dropped their price target on monday.com from $115.00 to $105.00 and set a “buy” rating for the company in a research note on Tuesday, July 14th. Seventeen research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $126.78.
View Our Latest Stock Analysis on MNDY
About monday.com (Free Report)
monday.com is a software-as-a-service (SaaS) company that provides a cloud-based Work Operating System (Work OS) designed to help teams plan, organize and track their work. The platform offers customizable workflows that support project management, task delegation, time tracking and collaboration across departments. monday.com’s visual interface enables users to create boards, automations and dashboards to centralize information and streamline processes without requiring extensive coding knowledge.
The company’s product portfolio includes monday Work OS, which can be adapted for use cases ranging from marketing campaign management and sales pipelines to software development sprints and human resources onboarding.
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When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Let's take a look at what these Wall Street heavyweights have to say about Monday.com (MNDY - Free Report) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.
Monday.com currently has an average brokerage recommendation (ABR) of 1.64, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 25 brokerage firms. An ABR of 1.64 approximates between Strong Buy and Buy.
Of the 25 recommendations that derive the current ABR, 16 are Strong Buy and two are Buy. Strong Buy and Buy respectively account for 64% and 8% of all recommendations.
Brokerage Recommendation Trends for MNDY
Check price target & stock forecast for Monday.com here>>>
While the ABR calls for buying Monday.com, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
ABR Should Not Be Confused With Zacks RankIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.
There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.
Should You Invest in MNDY?Looking at the earnings estimate revisions for Monday.com, the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $4.54.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Monday.com. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Mondaycom.
Monday.com (MNDY - Free Report) closed the most recent trading day at $88.16, moving -2.32% from the previous trading session. The stock's change was less than the S&P 500's daily gain of 1.66%. At the same time, the Dow added 1.19%, and the tech-heavy Nasdaq gained 2.78%.
Shares of the project management software developer have appreciated by 18.34% over the course of the past month, outperforming the Computer and Technology sector's loss of 7.65%, and the S&P 500's loss of 1.49%.
The investment community will be paying close attention to the earnings performance of Monday.com in its upcoming release. The company is slated to reveal its earnings on August 10, 2026. The company's earnings per share (EPS) are projected to be $1.14, reflecting a 4.59% increase from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $354.95 million, indicating a 18.71% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.54 per share and a revenue of $1.47 billion, indicating changes of +3.18% and +19.34%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Mondaycom. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. At present, Monday.com boasts a Zacks Rank of #3 (Hold).
With respect to valuation, Monday.com is currently being traded at a Forward P/E ratio of 19.86. This indicates a discount in contrast to its industry's Forward P/E of 20.68.
It is also worth noting that MNDY currently has a PEG ratio of 1.58. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Software was holding an average PEG ratio of 1.18 at yesterday's closing price.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 147, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Monday.com, the Tel Aviv-based work management software company known for its colorful, customizable project-tracking boards, this week became the latest tech company to cite AI as a factor in job cuts. On Wednesday, the company said in an SEC filing that it will lay off about 20% of its workforce, or just over 600 employees, as part of a “restructuring plan” tied to its “ongoing transformation of its product, marketing, and go-to-market strategy” in support of “a leaner, more focused operating model” as it continues investing in its “AI-driven growth strategy.”
Co-founder Eran Zinman told employees in a LinkedIn memo that the move “was not made to reduce costs or replace people with AI,” positioning it instead as adapting the organization to a new AI-first vision the company laid out roughly a year ago when it rebranded around a platform-wide AI push. Monday.com, which has two offices in the U.S., expects $45 million to $55 million in net restructuring charges but still projects up to 20% year-over-year revenue growth for 2026.
So far, according to new Financial Times analysis, U.S. tech companies have slashed nearly 140,000 jobs since the start of this year, with Amazon, Oracle, Meta, and Microsoft alone accounting for almost 50,000 of those cuts as they funnel hundreds of billions of dollars into AI data center buildouts. Interestingly, the FT also found that companies citing AI as a factor in job cuts have underperformed the Nasdaq by almost 10% in the 30 trading days following their announcements, suggesting the market doesn’t entirely buy the stories that the companies are telling.
Still, the picture isn’t uniformly bleak. The FT notes that AI-focused companies like Anthropic and OpenAI are hiring rapidly, absorbing some of the talent shed elsewhere in the industry. And within some of the very companies making cuts, headcount is shifting rather than disappearing entirely. Meta, for instance, earlier this year moved roughly 7,000 employees into new AI-focused roles even as it laid off 8,000 others, and IBM says it’s tripling entry-level hiring for AI and hybrid-cloud roles alongside recent cuts.
Below is a running look — in reverse chronological order — at the bigger tech companies that have announced significant layoffs this year with AI as a stated factor.
Microsoft — July 9, 2026. Microsoft cut about 4,800 roles, or 2.1% of its global workforce, most of them in its Xbox gaming unit, resetting the business only three years after acquiring Activision Blizzard for $75 billion, per the FT. Separately, it offered buyouts structured as voluntary separations, without disclosing how many employees these would impact. The company said the role eliminations were “not being replaced by AI” but acknowledged “AI is changing how work gets done.” CFO Amy Hood said total headcount declined year-over-year in fiscal Q3, and was expected to keep declining as the company focuses on “building high-performing teams that operate with pace and agility” amid rising AI investment.
Oracle — June 22, 2026. Oracle disclosed in late June that it had reduced its workforce by 21,000 employees over the past 12 months, a decline of 13%, which means more cuts than was previously known, including because of AI. “The adoption and deployment of AI technologies across our operations have resulted, and may continue to result, in reductions to our workforce,” the company said in an annual financial regulatory filing.
GitLab — June 3, 2026. GitLab laid off roughly 350 workers, about 14% of its staff, to fund AI infrastructure investment and handle surging traffic from AI workflows. CEO Bill Staples said agentic workloads are “pushing competitors to the brink” and that the company had begun a “generational rebuild” of its core infrastructure to support what he called 100x growth requirements. GitLab is exiting 22 countries, flattening management layers, and partnering with an unspecified AI lab to rebuild its platform for agent-scale workloads. The company reported first-quarter revenue of $264 million, up 23% year-over-year, and expects to incur $30 to $35 million in restructuring costs.
Google — ongoing through May. Alphabet’s Google has quietly cut employees across its Cloud division, including its Threat Intelligence Group and Mandiant-linked cybersecurity staff, even as Cloud revenue grew 63% to exceed $20 billion for the first time and its backlog nearly doubled to over $460 billion. Over the past year, Google has cut more than a third of the managers overseeing small teams — 35% fewer managers with fewer direct reports. Unlike most companies on this list, Google has never announced a single overall number — the cuts have come through a rolling performance review process, a voluntary buyout program, and structural reorganizations, with outside estimates putting the 2026 total at between 1,500 and 3,000+ engineers.
Intuit — May 20, 2026. Intuit announced plans to eliminate roughly 3,000 jobs — about 17% of its total workforce — in a restructuring centered on reducing complexity and reallocating resources toward AI. CEO Sasan Goodarzi reportedly told staff the company is reducing complexity and simplifying the structure so it can deliver better products.
Meta — May 20-21, 2026. Meta laid off about 8,000 employees, roughly 10% of its workforce, while moving about 7,000 employees into new AI-focused roles (that they reportedly hate). CEO Mark Zuckerberg told staff the cuts were necessary because “success isn’t a given” in AI.
Cisco — May 14, 2026. Cisco announced it’s cutting nearly 4,000 jobs, about 5% of its workforce, despite reporting better-than-expected profit and revenue. CFO Mark Patterson said: “This was really not a savings-driven restructure… this is more [about] realigning … resources around silicon, optics, security and AI.”
Cloudflare — May 7-8, 2026. Cloudflare cut about 20% of its workforce (1,100 people), reporting quarterly revenue of $639.8 million, up 34% year-over-year and the highest single quarter in company history. CEO Matthew Prince wrote that “the vast majority of those we laid off last week were measurers” — middle management, finance, legal, internal auditing, and revenue recognition.
General Motors — May 12, 2026. GM eliminated 500 to 600 jobs, largely in IT roles in Austin, Texas, and Warren, Michigan, saying it was reevaluating its workforce needs amid uncertain market conditions. A person familiar with the cuts told CNBC that AI played a role in the decision but that it wasn’t the only reason. GM’s statement said it was “transforming its Information Technology organization to better position the company for the future.” Despite the cuts, the company still had roughly 80 open IT positions, including roles in AI, motorsports, and autonomous vehicles.
Coinbase — May 5, 2026. The crypto exchange said it was cutting about 700 employees, or 14% of its staff, as part of a restructuring aimed at addressing market volatility and increasing AI efficiency. The company flattened its organizational structure to five layers below the CEO and COO, and said it would experiment with “one-person teams” combining engineering, design, and product roles. CEO Brian Armstrong wrote that AI had changed the pace of work dramatically — “engineers use AI to ship in days what used to take a team weeks” — and that the company needed to “leverage AI across every facet of our jobs.”
PayPal — May 5, 2026. PayPal announced plans to cut around 20% of its workforce over the next two to three years — north of 4,500 jobs — as part of a turnaround strategy centered on AI adoption and organizational simplification. CEO Enrique Lores told investors the company would “aggressively adopt AI” in its development processes and formed a new “AI transformation and simplification” team reporting directly to him, tasked with redesigning the company’s processes “function by function.” Lores framed the cuts as removing organizational layers, and said AI would extend well beyond coding into customer service, support operations, and risk management.
Microsoft — April-May 2026. Microsoft offered buyouts structured as voluntary separations, without disclosing how many employees these would impact. CFO Amy Hood said total headcount declined year-over-year in fiscal Q3, and is expected to keep declining as the company focuses on “building high-performing teams that operate with pace and agility” amid rising AI investment.
Snap — April 16, 2026. Snap cut roughly 16% of its global workforce — about 1,000 full-time employees — and closed more than 300 open roles, with CEO Evan Spiegel citing AI advancements as a key driver. “Rapid advancements in artificial intelligence enable our teams to reduce repetitive work, increase velocity, and better support our community, partners, and advertisers,” Spiegel wrote in a memo filed with the SEC. The company said it had already seen small squads using AI tools to drive progress across Snapchat+, ad platform performance, and infrastructure efficiency.
IBM — rolling through 2026. Between Q4 2025 cuts and April 2026 Red Hat engineering reductions, estimates range from 3,000 to 9,000 U.S. positions eliminated, bringing IBM’s cumulative total since September 2024 above 15,000. Bloomberg reported IBM plans to triple its U.S. entry-level hiring for AI and hybrid-cloud roles, even as roughly 200 HR positions were replaced by AI agents. An IBM spokesperson described the Q4 2025 round as a routine rebalancing affecting “a low single-digit percentage” of its global workforce.
Atlassian — March 11, 2026. Atlassian cut about 1,600 jobs (10% of its workforce) to “rebalance” toward AI and enterprise sales, even as shares rose nearly 2% on the news. CEO Mike Cannon-Brookes said: “Our approach is not ‘AI replaces people.’ But it would be disingenuous to pretend AI doesn’t change the mix of skills we need or the number of roles required in certain areas. It does.”
Dell — January 30 (though disclosed in March 2026). Dell’s total workforce fell about 10% in fiscal 2026 — roughly 11,000 jobs — to about 97,000 employees from 108,000 a year earlier, with $569 million spent on severance. The cuts came as Dell projected its AI-optimized server revenue could double in fiscal 2027.
Oracle — March 5-31, 2026. As noted above, Oracle began telling employees it would be cutting thousands of jobs via terminal emails. The cuts came even as Oracle posted $3.7 billion in quarterly net income, up 27% year-over-year, with remaining performance obligations up 325% to $553 billion — savings redirected toward AI data centers. The cuts that would later total 21,000 over 12 months, as Oracle disclosed in its June 22 annual filing.
Block — February 26-27, 2026. Jack Dorsey’s Block cut 4,000 jobs — nearly half its workforce, down to under 6,000 from over 10,000. Dorsey wrote on X: “We’re already seeing that the intelligence tools we’re creating and using, paired with smaller and flatter teams, are enabling a new way of working which fundamentally changes what it means to build and run a company.” He added: “I think most companies are late. Within the next year, I believe the majority of companies will reach the same conclusion and make similar structural changes.”
Salesforce — February 10, 2026. Salesforce laid off fewer than 1,000 employees across marketing, product management, data analytics, and its Agentforce AI unit. The company told Fortune, “Because of the benefits and efficiencies of Agentforce, we’ve seen the number of support cases we handle decline and we no longer need to actively backfill support engineer roles.” This followed an earlier cut of about 4,000 customer-support roles, shrinking that team from roughly 9,000 to 5,000, with CEO Marc Benioff saying the company needed “less heads” because AI agents handle the work.
Amazon — January 28, 2026. Amazon cut 16,000 corporate jobs, following 14,000 cuts in October 2025 — about 9% of its corporate workforce in three months. The company said it was part of “strengthen[ing] our organization by reducing layers, increasing ownership, and removing bureaucracy.” CEO Andy Jassy had said in June 2025 that, “As we roll out more generative AI and agents, it should change the way our work is done. We will need fewer people doing some of the jobs that are being done today… in the next few years, we expect that this will reduce our total corporate workforce as we get efficiency gains from using AI extensively across the company.”
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Monday.com has just become the latest company to lay off its employees in favor of AI.
On Wednesday, July 22, the work management software firm announced that it will lay off about 20% of its workforce, or just over 600 employees.
The news came through a filing with the Securities and Exchange Commission (SEC) in which the Tel Aviv-based company said it had “initiated a restructuring plan.”
In the SEC filing, Monday.com stated: “The Plan reflects the Company’s ongoing transformation of its product, marketing, and go-to market strategy and is intended to support a leaner, more focused operating model as the Company continues to invest in its AI-driven growth strategy.”
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Yes, those 20% of employees losing their jobs have been replaced by AI growth. It is perhaps not surprising for a company that announced a platform-wide AI shift a year ago and now self-identifies as an “AI work platform,” but it’s still disheartening.
Monday.com has offices in New York and Denver, in addition to cities in Europe, Australia, South America, and Asia. Fast Company has reached out to Monday.com for more information on where the impacted jobs are located. We will update this post if we hear back.
Monday.com estimates it will face $45 million to $55 million in net charges as a result of the new plan, but expects to maintain or improve on its predicted 19% to 20% year-over-year (YOY) revenue growth for 2026.
monday.com Ltd. could become a key governance layer for enterprises managing people, workflows, automations, and AI agents within a single operating environment. The enterprise business is already stronger than the headline figures suggest: NRR among customers above $50,000 in ARR stands at 116%, while this cohort now represents 42% of total ARR. monday.com is gradually moving beyond a purely seat-based model by adding usage-based AI credits, allowing revenue growth to depend increasingly on digital activity rather than employee count alone.
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Monday.com cited its "AI-driven growth strategy" in its layoff plans. Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images Big cuts are coming for Monday.com.
The enterprise software company plans to cut 20% of its workforce, according to a Form 6-K it filed. The layoffs are meant to align the company with its "strategic focus on the AI Work Platform," the disclosure said.
Monday.com joins the growing group of companies citing AI while announcing layoffs, like Snap and Block. Monday.com said that it was pursuing an "AI-driven growth strategy."
"We entered a new era where AI is transforming the role of software, creating the greatest opportunity our industry has ever seen," Monday.com cofounder and co-CEO Eran Zinman said in a note published to LinkedIn. "We have a new market to capture. Without a fundamental change in how we operate, we will not be able to compete and win that market."
The changes mean Monday.com is becoming flatter with more autonomous teams, Zinman wrote.
As to whether the layoffs were driven by AI improvements, the co-CEO wrote that the decision "was not made to reduce costs or replace people with AI."
While Monday.com plans to cut 20% of its workforce, it also said it plans to continue hiring in areas of focus.
It's not immediately clear exactly how many workers will be affected. In its 2025 annual report, Monday.com said that it had 3,155 employees. Monday.com did not immediately respond to a request for comment from Business Insider.
The company's stock rose throughout the morning, though it has since ticked back down. The stock has slumped roughly 75% in the last year.
Monday.com provides project management software to enterprises. This category is the target of growing "SaaSpocalypse" worries. Investors and analysts fret that AI and vibe coding could weaken companies' reliance on these tools.
Read the Monday.com co-CEO's full note:Hi everyone,Over the past nine months, we have shifted our core vision moving from managing work to doing the work for our customers, with people and AI agents working together in one workspace.This has required us to change our product, our strategy, and how we serve our customers.But it became clear that changing our strategy and product is not enough. The organization we built for our previous chapter is not the organization that fits the new AI era.Today, we are announcing the very difficult decision to reduce our global workforce by ~20%, affecting around 620 people.This is the most painful decision we have made since founding monday.com - yet we are certain it is the right one. We made it. We own it. And we take full responsibility for it.The people leaving are talented colleagues and friends. They helped build this company, support our customers, and create a culture we are deeply proud of. We are incredibly grateful to them, and we know that nothing we say can lessen the impact this will have on them and their families.We are not making this change to protect what we have. We are making it to go all in on what monday.com can become.Why are we making this change?We entered a new era where AI is transforming the role of software, creating the greatest opportunity our industry has ever seen.We have a new market to capture. Without a fundamental change in how we operate, we will not be able to compete and win that market.To fully realize this opportunity, and ensure monday.com is positioned to lead in this landscape, we need to move faster, execute more decisively, take on new challenges, respond quickly to market changes, and empower people in the company to create greater impact. Some of the things we are changing in monday:A flatter organization - We are reducing management layers, creating more empowered teams, and enabling faster decision-making.More autonomous teams - We are moving from teams with many dependencies to smaller groups with broader ownership and greater authority to execute.A new go-to-market model - Our new offering is opening a new market, and that market requires us to work differently. New and existing customers increasingly expect deeper implementation support as they adopt AI. We will work more closely with customers, increase our on-site presence, create new roles, and adapt many existing ones.Improving margins was not the purpose of this decision. We intend to reinvest the vast majority of the savings in our people, our products, AI, and future growth.For the people leaving monday.comThank you. Thank you for all your hard work, for the significant impact you have made, for caring so deeply about monday.com, and for always being willing to help and lend a hand. We know this is part of our culture, and it is something we consistently hear from everyone who interacts with people at monday.com.We want to be very clear: this decision is not a reflection of your performance, your contribution, or your value. It is the result of a management decision about how to structure the company for its next chapter.We are committed to supporting you through this transition with care, respect, and meaningful assistance. We will do everything we reasonably can to help you find your next opportunity, and we will provide you with a generous support package.To companies that are hiring: we recommend these people wholeheartedly. They are exceptional professionals and teammates, and we will help connect them with organizations looking for outstanding talent.For the people stayingIt is not easy to be part of such a significant change or to see colleagues and friends leave so quickly. We understand how difficult this will be. We also owe you clarity about what this change means.The change is not about asking fewer people to do the same amount of work. We are making real choices about what we will stop doing. We will simplify how we work, remove unnecessary friction, and give teams more authority to make decisions.The company that comes out of this change will have clearer priorities, fewer layers, faster decisions, and greater ownership.We are deeply confident about our futureOur path is very clear to us. This is a change we have chosen to make, and we are taking full responsibility for it. We have never seen such a significant opportunity in software, driven by such exciting technology.Nothing gives us more confidence than seeing how new and existing customers are responding to our new offering, and seeing adoption of our AI products accelerate.Every week, we see more evidence that our strategy is the right one. Customers are embracing our new vision, adoption of our AI capabilities continues to accelerate, and our confidence continues to grow.Our momentum is strong, and we believe we are on the right path to success on a massive market opportunity.To ease the uncertainty around this we will send all employees an email message within the next hour, followed by a personal call from one of your managers.For all managers - we know how difficult it is to process this personally, even as you continue to lead your teams. We have every confidence in your leadership and know you'll approach these conversations with the care, clarity, and respect that define our culture. Thank you for being there for your people during this transition.Thank you,Roy & EranDuring the change process, we received a few questions we'd like to clarify:Is the reason we are doing this reduction is to improve margins? No. Improving margins was not the purpose of this decision. We intend to reinvest the vast majority of the savings in our talent, our products, AI, and future growth.Do we plan more reductions in the future? We designed this change to create the organization we believe we need for our next chapter. We are not planning any further workforce reductions.Is this reduction driven by AI improvements? No. While we are seeing significant value from AI internally, this decision was not made to reduce costs or replace people with AI. We see internal AI adoption as an accelerator of our growth. This change was made to adapt the company to our new vision.Are people expected to work harder now that we have less people? Not harder - better. To give one example, we had many situations where work that could have been done in a few days took many months with multiple meetings and endless friction. This wasn't people's fault and everyone was frustrated by this. Our new org changes ownership to allow people to make decisions and move fast.You're talking about the new AI products, what about our existing market and customers? We are lucky to have amazing customers that love our product and actually use these words to describe it. We need to be there for them with our new vision of doing the work with AI and not just managing it. They are also undergoing change and we will invest heavily to help them - they are our biggest asset.
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Image Credits:Cheng Xin / Contributor / Getty Images Israeli workplace software maker Monday.com is laying off hundreds of employees as part of a restructuring plan to refocus its investments around AI projects.
The company said it is reducing its headcount by 20%, or about 630 staff, to “support a leaner, more focused operating model” as it concentrates on its AI Work Platform.
Monday.com earlier this year pivoted hard toward making its AI platform a core offering, redesigning its entire product around the belief that its enterprise customers increasingly want AI agents to work together with their employees. The AI Work Platform currently comprises a no-code app builder, a customizable AI agent, a workflow automation tool, and a chatbot that can do tasks like generating reports and updating dashboards.
The company joins a host of large tech firms that have laid off hundreds of thousands of people as they seek to invest more in AI. Tech layoffs in May hit a monthly high unseen in years, and a record 78% of companies have blamed a need to refocus their efforts around AI as a reason for letting people go this year, according to Layoffs.fyi.
More than 122,000 tech roles have been cut so far in 2026, Layoffs.fyi data shows.
Monday.com expects to incur $45 million to $55 million in charges due to the restructuring.
Monday.com stock has crashed this year, mirroring the performance of other software companies. It has dropped by 51% this year and 44% in the last six months. This retreat continued today, July 22, when it announced that it would lay off 20% of its employees as it embraced AI in its operations.
Monday is a top software company used by thousands of people each day. It is used by over 60% of all companies in the Fortune 500, including popular names like Coca-Cola, Vistra, Universal Music Group, and Lionsgate.
It offers solutions in the CRM, IT support, and tools for developers using a Software-as-a-Service (SaaS) model. Most recently, it has launched a vibe coding solution that enables developers to build applications.
MNDY stock price has crashed this year amid concerns that software companies will be replaced with artificial intelligence (AI) tools. This explains why other popular SaaS companies like Adobe, Figma, ServiceNow, and Workday have plunged this year.
These fears grew this month after IBM published its financial results, which showed that customers were prioritizing hardware purchases over software. This trend continued today after reports emerged that it was laying off 20% of its workers.
Layoffs can be a sign that the management expects the company to deteriorate. In some cases, however, they can be a sign that the management has found a way to boost its profitability.
On the positive side, the most recent results showed that the company’s business was doing well. Its revenue jumped by 24% to $351 million as its customers paying over $50k a year rose by 32%. Those paying $100k a year rose to 1,844 from 1,328 in the same period last year.
The management expects that its transition to a consumption-based pricing model will help its revenue continue to grow. It introduced the new seats-plus-credits pricing structure for new customers. Its goal is to transition all existing customers to this system in the future.
Monday’s profits also continued growing, with its operating income hitting $49 million in the quarter. Analysts expect that its double digit growth will continue.
The average estimate is that its revenue rose by 18.9% in the second quarter to $355 million. They expect that its third quarter will rise by 17% to $370 million, while the annual figure will jump by 19% to $1.47 billion.
Monday, like other software companies, has also become highly undervalued, with its forward price-to-earnings ratio being 16. The S&P 500 Index has a multiple of 20. As such, there is a likelihood that the stock will bounce back as investors buy the dip.
Monday stock chart | Source: TradingView
The weekly chart shows that the MNDY stock price has retreated sharply this year. After peaking at $342 in February last year, it plunged to a low of $58 in April.
A closer look shows that the stock has always gapped lower after earnings. It has now landed to a crucial support level, which coincides with the lowest level in 2022.
On the positive side, the stock has formed an island reversal pattern, a sign that it may bounce back in the near term. If this happens, the next key level to watch will be at $100. A drop below the year-to-date low of $58 will point to more downside.
Monday.com (NASDAQ:MNDY) is cutting approximately 20% of its global workforce as the Israeli workplace software company restructures its operations around a shift toward AI-enabled collaboration between employees and autonomous agents.
The company will eliminate around 620 roles worldwide, according to a letter sent to employees by co-founders Roy Mann and Eran Zinman, who described the decision as the “most painful” since the company’s founding.
The company said some existing roles will change while new positions will be created as it focuses on expanding AI-related products and increasing customer support. The restructuring will include changes to sales and customer engagement operations, including deeper implementation support and greater on-site customer presence.
Monday.com said it expects to incur between $45 million and $55 million in net restructuring charges, primarily related to severance costs and office space reductions. The company plans to reinvest savings from the restructuring into AI engineering and product development.
Monday.com said the layoffs are not intended as a cost-cutting initiative or a direct replacement of employees with artificial intelligence, but instead reflect a broader organizational shift as the software industry adapts to changing customer expectations and AI-driven workflows.
“We entered a new era where AI is transforming the role of software, creating the greatest opportunity our industry has ever seen,” Mann and Zinman wrote in the letter.
“We have a new market to capture. Without a fundamental change in how we operate, we will not be able to compete and win that market.”
The restructuring comes as Monday.com moves from its traditional role as a platform for managing work toward what it describes as an AI-powered workspace where employees and AI agents work together to complete tasks.
“Over the past nine months, we have shifted our core vision moving from managing work to doing the work for our customers, with people and AI agents working together in one workspace,” the founders wrote.
The company said the transition requires changes beyond product development, including a new organizational structure designed around smaller, more autonomous teams and fewer management layers.
“It became clear that changing our strategy and product is not enough,” the founders said in the letter. “The organization we built for our previous chapter is not the organization that fits the new AI era.”
Around 350 of the affected positions are expected to be at Monday.com’s headquarters in Tel Aviv, with the remaining reductions spread across its global offices.
Alongside the restructuring announcement, Monday.com raised its full-year 2026 non-GAAP operating margin outlook to 15% from a previous forecast of 13%, while maintaining its revenue growth target of 19% to 20%.
Shares of Monday.com were little changed at $73 on Wednesday.
Few stocks have taken as brutal a beating from AI disruption fears as Monday.com NASDAQ: MNDY. Its shares have fallen over 70% from last year's high and are currently trading below $80.
In the latest close session, Monday.com (MNDY - Free Report) was down 2.47% at $76.75. This move lagged the S&P 500's daily loss of 0.19%. Meanwhile, the Dow experienced a drop of 0.59%, and the technology-dominated Nasdaq saw a decrease of 0.05%.
Shares of the project management software developer have appreciated by 10.01% over the course of the past month, outperforming the Computer and Technology sector's loss of 4.32%, and the S&P 500's gain of 0.55%.
The investment community will be closely monitoring the performance of Monday.com in its forthcoming earnings report. On that day, Monday.com is projected to report earnings of $1.14 per share, which would represent year-over-year growth of 4.59%. In the meantime, our current consensus estimate forecasts the revenue to be $354.95 million, indicating a 18.71% growth compared to the corresponding quarter of the prior year.
MNDY's full-year Zacks Consensus Estimates are calling for earnings of $4.49 per share and revenue of $1.47 billion. These results would represent year-over-year changes of +2.05% and +19.34%, respectively.
Any recent changes to analyst estimates for Monday.com should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. As of now, Monday.com holds a Zacks Rank of #3 (Hold).
Looking at valuation, Monday.com is presently trading at a Forward P/E ratio of 17.55. For comparison, its industry has an average Forward P/E of 20.12, which means Monday.com is trading at a discount to the group.
One should further note that MNDY currently holds a PEG ratio of 1.39. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 1.09 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 91, finds itself in the top 37% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
