Core Insights - Monday.com reported strong Q4 2024 results, exceeding both analyst and management forecasts with significant revenue growth and earnings per share [1][2] Financial Performance - The company achieved an EPS of $1.08, surpassing the expected $0.79, and revenue reached $268 million, exceeding the predicted $261 million [2][7] - Year-over-year revenue growth was 32.3%, up from $202.6 million in Q4 2023 [3] - Non-GAAP operating income was $40.3 million, a 90.1% increase from $21.2 million in Q4 2023 [3] - Free cash flow grew to $72.7 million, a 31.2% increase from $55.4 million in the previous year [3][8] - The Non-GAAP operating margin improved from 10% to 15%, indicating better cost management [8] Business Overview - Monday.com specializes in a Work OS platform that allows businesses to create custom applications for various operations, enhancing flexibility and customization [4] - Recent strategies have focused on product innovations and operational efficiencies, which are essential for revenue growth and customer retention [5] Product Developments - The company launched the monday service for help-desk operations, gaining notable traction [6] - Innovations in artificial intelligence, such as AI Blocks and Digital Workforce tools, are enhancing user experience and transforming workflows [6] Customer Metrics - There was a year-over-year growth of 39% in clients contributing over $50,000 and 45% in those contributing over $100,000 in annual recurring revenue [9] - Challenges in acquiring new customers were noted, attributed to broader economic pressures [9] Future Outlook - Management projects Q1 2025 revenue between $274 million and $276 million, indicating continued growth but at a slower pace [10] - Strategic priorities for fiscal year 2025 include enhancing AI capabilities and scaling international operations, with a focus on sustainable growth and profitability [11]

Core Insights - Shares of Monday.com (MNDY) surged nearly 30% following the release of better-than-expected fourth-quarter results, driven by strong demand for its artificial intelligence (AI) solutions [1][5] - The company reported adjusted earnings per share (EPS) of $1.08, which is approximately 40% higher than analyst estimates, and a revenue increase of 32% year-over-year to $268.0 million, surpassing forecasts [1][5] Financial Performance - For the full year, Monday.com anticipates revenue between $1.208 billion and $1.221 billion, slightly above the Visible Alpha forecast of $1.207 billion [2] - The fourth-quarter results exceeded both profit and sales estimates, attributed to the success of its AI offerings [5] Product Development - Monday.com launched a new AI product named AI Vision, aimed at providing customers with a competitive edge and enhancing business processes without additional resource allocation [3] - The company also announced the full release of its AI Enterprise Service Management Platform, which has completed beta testing [3] Leadership Insights - Co-founders and co-CEOs Roy Mann and Eran Zinman highlighted that the company's success in 2024 is due to rapid product innovation and effective go-to-market strategies, with plans to intensify AI efforts in 2025 [2][5] Market Performance - Following the announcement, Monday.com shares reached their highest level in over three years [4]

Core Viewpoint - Monday.com reported quarterly earnings of $1.08 per share, exceeding the Zacks Consensus Estimate of $0.78 per share, and showing an increase from $0.65 per share a year ago, representing an earnings surprise of 38.46% [1][2] Financial Performance - The company achieved revenues of $267.98 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 2.62%, and up from $202.57 million year-over-year [2] - Over the last four quarters, Monday.com has consistently surpassed consensus EPS estimates [2] Stock Performance - Monday.com shares have increased approximately 9.7% since the beginning of the year, compared to a 2.5% gain in the S&P 500 [3] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.67 on revenues of $272.71 million, and for the current fiscal year, it is $3.44 on revenues of $1.2 billion [7] - The estimate revisions trend for Monday.com is currently unfavorable, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] Industry Context - The Internet - Software industry, to which Monday.com belongs, is currently ranked in the top 28% of over 250 Zacks industries, suggesting a favorable environment for stocks in this sector [8]

Q4 FY24 Earnings Safe harbor This presentation has been prepared by monday.com Ltd. ("we," "us," "our," "monday.com" or the "Company"). This presentation (including oral commentary that accompanies this presentation) contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding our financial outlook and market positioning. These forward- looking statements are made as of the ...

Group 1 - monday.com recently experienced a contraction in its stock price, presenting a potential buying opportunity [1] - The company has a strong strategy and produces impressive gross margins, positioning it favorably against industry leaders [1] - The focus is primarily on long-term investments in technology stocks, indicating a strategic approach to investment [1]

Core Viewpoint - Monday.com (MNDY) is expected to report strong revenue growth for the fourth quarter of fiscal 2024, with a consensus estimate of $261.14 million, reflecting a year-over-year increase of 28.91% [1]. Revenue and Earnings Estimates - The company anticipates total revenues between $260 million and $262 million, indicating a year-over-year growth of 28-29% [1]. - The consensus estimate for MNDY's earnings per share (EPS) is steady at 78 cents, representing a 20% increase from the previous year [2]. Recent Performance and Surprises - In the last reported quarter, Monday.com achieved an earnings surprise of 39.34%, consistently beating the Zacks Consensus Estimate over the last four quarters, with an average surprise of 71.62% [3]. Factors Influencing Upcoming Results - The company has implemented price increases that are expected to contribute approximately 200 basis points to net dollar retention rates in fiscal 2024 [6]. - New pricing has been rolled out to about 50% of customers, with an anticipated total impact of $80 million between fiscal 2024 and 2026 [7]. - The enterprise segment is a focus area, with plans to accelerate sales hiring in response to previous softness in customer additions [7]. Product Expansion and Growth Drivers - Product expansion remains a key growth driver, with the monday service offering expected to launch broadly by early 2025 [8]. - The monday CRM has shown strong growth, with accounts reaching 24,735 in the third quarter, up 124% year over year [9]. - AI capabilities on the platform have increased by more than 250% quarter over quarter, although monetization is not expected to significantly impact fourth-quarter results [10]. Operating Efficiency and Financial Guidance - The company is guiding for fourth-quarter non-GAAP operating income between $29 million and $31 million, with a margin of 11-12%, and free cash flow of $63-$66 million, representing a margin of 24-25% [10]. Key Metrics and Analyst Focus - Analysts will focus on net dollar retention rates (111% in the third quarter), enterprise customer additions, and progress in cross-selling newer products [11]. Stock Performance and Valuation - MNDY shares have gained 25.1% over the past six months, underperforming the Zacks Internet - Software industry's appreciation of 44.3% [12]. - The stock is considered to have a stretched valuation, with a Price/Sales ratio of 10.02X compared to the industry average of 3.29X [16]. Competitive Landscape - The company faces competition from tech giants like Asana and Atlassian, which are actively enhancing their project and work management solutions [14]. Challenges and Considerations - Potential headwinds include macroeconomic uncertainty affecting enterprise spending and sales cycles, as well as slower growth in the developer-focused product segment [13]. - Leadership changes, including the appointment of a new COO and the departure of the CRO, may impact near-term execution [10].

Stock Performance - Monday com (MNDY) closed at $248 90, reflecting a -1 91% shift from the previous trading day, lagging behind the S&P 500's daily gain of 0 53%, the Dow's gain of 0 93%, and the Nasdaq's increase of 0 22% [1] - Shares of Monday com gained 8 07% in the past month, outperforming the Computer and Technology sector's gain of 3 02% and the S&P 500's gain of 2 69% [2] Earnings and Revenue Expectations - Monday com is scheduled to release its earnings on February 10, 2025, with analysts expecting earnings of $0 78 per share, marking a year-over-year growth of 20% [3] - The company's quarterly revenue is expected to be $261 14 million, up 28 91% from the year-ago period [3] Analyst Estimates and Revisions - Recent changes to analyst estimates for Monday com reflect the near-term business trends, with upward revisions indicating positivity towards the company's business operations and profitability [4] - The Zacks Consensus EPS estimate has decreased by 4 52% over the last 30 days, and Monday com currently holds a Zacks Rank 4 (Sell) [6] Valuation Metrics - Monday com has a Forward P/E ratio of 73 06, which is a premium compared to the industry average of 29 37 [7] - The company's PEG ratio is 1 72, lower than the Internet - Software industry average of 2 27 [8] Industry Overview - The Internet - Software industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 38, placing it within the top 16% of over 250 industries [9] - The top 50% rated industries outperform the bottom half by a factor of 2 to 1 [9]

Monday.com (MNDY) shares have gained 10.4% in the trailing six-month period compared with the Zacks Computer & Technology sector’s return of 14.3% and the Zacks Internet - Software industry’s rise of 30.3%.MNDY shares have also underperformed its industry peer, BILL Holdings (BILL) which has gained 80.7% over the trailing six-months.The underperformance can be attributed to macroeconomic pressure and stiff competition from tech giants like Asana (ASAN) and Atlassian (TEAM) . These companies are making stron ...

Analyst Estimates and Stock Performance - Positive revisions to analyst estimates for Monday com indicate a favorable business outlook [1] - Estimate changes are directly linked to near future stock price performance [2] - The Zacks Rank system, with a history of outperformance, currently rates Monday com as a Hold (3) [3] - Over the past month, the Zacks Consensus EPS estimate for Monday com has decreased by 4 52% [3] Valuation Metrics - Monday com has a Forward P E ratio of 63 89, significantly higher than the industry average of 28 07 [4] - The company s PEG ratio is 1 5, below the industry average of 2 1, indicating a relatively lower valuation considering earnings growth [4] Industry and Sector Performance - The Internet Software industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 25, placing it in the top 10% of all industries [5] - Top 50% rated industries outperform the bottom half by a factor of 2 to 1 [5] Recent Stock Performance - Monday com s stock closed at $227 38, up 0 9% from the previous session, outperforming the S&P 500 s 0 16% gain [7] - Over the past month, the stock has declined by 18 22%, underperforming the Computer and Technology sector s 0 39% loss and the S&P 500 s 2 7% loss [7] Upcoming Earnings - Monday com is expected to report an EPS of $0 78, a 20% increase from the same quarter last year [8] - Revenue is forecasted at $261 14 million, a 28 91% increase from the corresponding quarter of the prior year [8]

In the latest market close, Monday.com (MNDY) reached $237, with a +0.74% movement compared to the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.55%. Meanwhile, the Dow experienced a drop of 0.06%, and the technology-dominated Nasdaq saw an increase of 1.24%.The upcoming earnings release of Monday.com will be of great interest to investors. The company is predicted to post an EPS of $0.78, indicating a 20% growth compared to the equivalent quarter last year. At the same ti ...