monday.com Ltd. (MNDY) AI Stock Analysis
MNDY AI stock analysis summary
AI Researchmonday.com Ltd. (MNDY) is a cloud software provider known for its visual Work OS platform. The company reached $1.23B in revenue and $118.7M in net income in FY2025, supported by a 50.2% 5-year revenue CAGR. With a strong liquidity profile featuring $835.3M in net cash as of June 30, 2026, the company continues to generate positive free cash flow despite a 1-year stock decline of -48.9%.
- Market cap
- $3.82B
- Revenue (TTM)
- $1.37B
- P/E
- 38.1x fwd 11.9x
- 1Y return
- -48.9% S&P 500 16.8%
- Avg. target
- $108.14 19.7% vs last close
Bull case
- Operating cash flow reached $333.6M in FY2025, enabling the generation of $309.9M in free cash flow.
- The company holds $1.07B in cash and short-term investments against $237.5M in debt, leaving a strong net cash balance of $835.3M.
- Earnings momentum remains robust with quarterly earnings growth of 163.9% year-over-year in the quarter ended June 30, 2026.
Bear case
- Shares declined 48.9% over the past 12 months, severely lagging the S&P 500 return of 16.8%.
- The stock trades at an elevated EV/EBITDA multiple of 51.6x, significantly above the US-listed Technology peer median of 16.6x.
- Annual revenue growth has decelerated from 91.3% in FY2021 down to 26.7% in FY2025.
What monday.com does
monday.com Ltd. develops software applications across global markets, including the United States, Europe, the Middle East, and Africa. Its core offering is Work OS, a versatile cloud-based visual operating system built with modular building blocks. Users customize and assemble these modules to construct software applications and work management tools tailored to marketing, CRM, project management, and software development. Founded in 2012 as DaPulse Labs Ltd. and rebranded in November 2017, the Tel Aviv-Yafo, Israel-based company serves commercial enterprises, educational institutions, and government bodies, providing business development, presale, and customer success services.
Growth and profitability
Top-line growth has expanded from $308.1M in FY2021 to $1.23B in FY2025, representing a 5-year revenue CAGR of 50.2%. Annual revenue grew 26.7% in FY2025, while gross margin remained high at 89.2%. Net income shifted from -$129.3M in FY2021 to positive $32.4M in FY2024 and $118.7M in FY2025, delivering an annual net margin of 9.6% and diluted EPS of $4.39. In the trailing twelve months ending June 30, 2026, revenue stood at $1.37B with an operating margin of 5.5%. For the latest quarter ended June 30, 2026, quarterly revenue grew 21.9% year-over-year and quarterly earnings rose 163.9%.
Balance sheet and cash flow
As of June 30, 2026, monday.com held $1.07B in cash and short-term investments against total debt of $237.5M, resulting in a net cash position of $835.3M. Total assets were $1.62B and shareholders' equity was $618.0M, supporting a current ratio of 1.46 and a debt-to-equity ratio of 0.38. In FY2025, operating cash flow reached $333.6M, which funded $23.7M in capital expenditures and generated $309.9M in free cash flow. The company allocated $135.0M to share buybacks during FY2025.
Valuation and performance
At $90.37 per share, monday.com carries a market capitalization of $3.82B and an enterprise value of $2.82B. The stock trades at a trailing P/E of 38.1x, higher than the 28.1x median of its US-listed Technology peers. Its forward P/E is 11.9x compared to the peer median of 18.8x, alongside a PEG ratio of 0.79. The company's EV/EBITDA is 51.6x versus the peer median of 16.6x, while price-to-sales matches the peer median at 2.8x. Over the past year, MNDY fell 48.9%, trailing the S&P 500 return of 16.8%.
What analysts expect
Wall Street coverage includes 11 Strong Buy, 3 Buy, and 12 Hold ratings, with no Sell or Strong Sell recommendations. The mean price target is $108.14, representing upside of 19.7% over the last close of $90.37. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $1.47B and EPS of $5.50, up 24.9%. For the following year, 25 analysts anticipate revenue of $1.69B and EPS of $6.70. The company beat EPS estimates in each of the last 4 quarters, with next earnings scheduled for November 9, 2026.
Key risks and what to watch
- Operating margin over the trailing twelve months was 5.5%, below the US-listed Technology peer median of 13.2%.
- Short interest is relatively high, with short percent of float standing at 14.6%.
- Annual R&D expense increased substantially to $320.8M in FY2025, which could pressure profit margins if revenue deceleration continues.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this MNDY AI stock analysis
This page is an AI-written research summary of monday.com Ltd. (MNDY). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: MNDY income statement, MNDY balance sheet, MNDY key metrics, MNDY analyst forecast, MNDY chart. See the MNDY stock overview for the latest quote and news.
MNDY AI stock analysis FAQ
What is monday.com's net cash position?
As of June 30, 2026, monday.com had $1.07B in cash and short-term investments and $237.5M in total debt, leaving a net cash balance of $835.3M.
Does monday.com pay a dividend?
monday.com does not pay a dividend. The company directs its capital toward business operations, research and development, and share buybacks, which totaled $135.0M in FY2025.
What is the consensus analyst target for MNDY stock?
The mean analyst price target is $108.14, which represents a 19.7% premium over the closing price of $90.37 on October 16, 2026.
When does monday.com report earnings next?
monday.com is scheduled to report its next financial results on November 9, 2026.