The market expects Monday.com (MNDY) to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended June 2025. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on ...

智通财经APP获悉，摩根士丹利首次对国际软件企业Monday.com(MNDY.US)给出"持股观望"评级并设 定330美元目标价，认为该公司虽具备拓展企业市场、构建多元化产品线及转型销售驱动型增长的战略 潜力，但相关执行风险不容忽视。 值得关注的是，该公司人工智能功能应用呈现爆发式增长。用户执行AI操作次数突破2600万次，较 2024年底增长超150%，印证其AI技术商业化进程加速。不过面对潜在宏观经济压力，管理层在2025年 全年业绩指引中采取保守策略，平衡增长预期与风险控制。 作为提供云端可视化工作操作系统的技术服务商，Monday.com通过模块化构建块帮助企业创建定制化 管理工具，其2025年第一季度财务表现亮眼：净收入达5840万美元，同比增幅达84.2%;员工规模扩张至 2695人，季度环比新增187人，显示业务扩张态势。 ...

Group 1: Company Performance - Monday.com (MNDY) stock was down 2.76% at $283.74, underperforming the S&P 500's daily gain of 0.14% [1] - Prior to the recent trading session, MNDY shares had gained 4.04%, lagging behind the Computer and Technology sector's gain of 7.37% and the S&P 500's gain of 5.35% [1] Group 2: Upcoming Earnings - The upcoming earnings release is expected to show an EPS of $0.84, reflecting a 10.64% decrease from the same quarter last year [2] - Revenue is forecasted to be $293.15 million, indicating a 24.16% increase compared to the year-ago quarter [2] Group 3: Full-Year Estimates - Full-year Zacks Consensus Estimates predict earnings of $3.79 per share and revenue of $1.22 billion, representing year-over-year changes of +8.29% and +25.59%, respectively [3] - Recent adjustments to analyst estimates may indicate short-term business trends and positive revisions can signal optimism about the business outlook [3] Group 4: Valuation Metrics - Current valuation metrics show a Forward P/E ratio of 77.05, significantly higher than the industry average of 29.16, indicating that Monday.com is trading at a premium [6] - The PEG ratio stands at 30.57, compared to the Internet - Software industry average of 2.2, suggesting a high valuation relative to expected earnings growth [7] Group 5: Industry Ranking - The Internet - Software industry, part of the Computer and Technology sector, has a Zacks Industry Rank of 79, placing it within the top 32% of over 250 industries [7] - The Zacks Industry Rank assesses the strength of industry groups, with the top 50% rated industries outperforming the bottom half by a factor of 2 to 1 [8]

Core Insights - Wall Street analysts' recommendations significantly influence investors' decisions on stocks, including Monday.com (MNDY) [1] - The average brokerage recommendation (ABR) for Monday.com is 1.26, indicating a consensus between Strong Buy and Buy, with 82.6% of recommendations being Strong Buy [2] Brokerage Recommendation Trends - The ABR is based on 23 brokerage firms, with 19 Strong Buy and 2 Buy recommendations [2] - Despite the positive ABR, reliance solely on brokerage recommendations may not be advisable due to their historical lack of success in guiding investors towards high-potential stocks [5][10] Analyst Bias and Reliability - Brokerage analysts often exhibit a strong positive bias in their ratings, influenced by their firms' vested interests, leading to a disproportionate number of Strong Buy recommendations compared to Strong Sell [6][10] - The Zacks Rank, a proprietary stock rating tool, is suggested as a more reliable indicator of near-term price performance, based on earnings estimate revisions [8][11] Earnings Estimates and Zacks Rank - The Zacks Consensus Estimate for Monday.com has increased by 128.6% over the past month, reaching $3.72, indicating growing optimism among analysts regarding the company's earnings prospects [13] - The recent change in consensus estimates has contributed to a Zacks Rank of 1 (Strong Buy) for Monday.com, suggesting a favorable investment outlook [14]

Group 1: Momentum Investing Overview - Momentum investing involves following a stock's recent trend, with the aim of buying high and selling higher, capitalizing on established price movements [1][2] - The Zacks Momentum Style Score helps investors identify effective metrics for assessing momentum in stocks [2] Group 2: Company Analysis - Monday.com (MNDY) - Monday.com currently holds a Momentum Style Score of B and a Zacks Rank of 1 (Strong Buy), indicating strong potential for outperformance [3][4] - Over the past week, MNDY shares increased by 3.08%, outperforming the Zacks Internet - Software industry, which rose by 0.76% [6] - In the last three months, MNDY shares rose by 22.08%, and over the past year, they increased by 41.24%, significantly outperforming the S&P 500's gains of 3.59% and 14.21% respectively [7] Group 3: Trading Volume and Earnings Outlook - MNDY's average 20-day trading volume is 653,366 shares, which serves as a bullish indicator when combined with rising stock prices [8] - In the past two months, 9 earnings estimates for MNDY have been revised upwards, increasing the consensus estimate from $3.30 to $3.72 [10] - For the next fiscal year, 6 estimates have moved higher while 2 have been revised downwards, indicating a generally positive earnings outlook [10] Group 4: Conclusion - Considering the positive momentum indicators and earnings outlook, MNDY is positioned as a strong buy candidate for investors seeking short-term gains [12]

Group 1 - The stock market is currently hovering around all-time highs despite cautious macroeconomic indicators, leading to concerns about high valuations [1] - The Q1 earnings season has shown many companies experiencing decelerating growth rates and cautious outlooks, indicating potential challenges ahead [1] - The analyst has extensive experience in covering technology companies and has been involved with seed-round startups, providing insights into current industry themes [1] Group 2 - The analyst has a beneficial long position in MNDY shares, indicating a personal investment interest in the company [2] - The article expresses the analyst's own opinions and is not influenced by compensation from any company mentioned [2]

Market Overview - U.S. stock markets have faced a setback in 2025 following a significant bull run in 2023 and 2024, attributed to overstretched valuations, sticky inflation, weak economic data, geopolitical conflicts, and concerns over the Trump administration's trade policies [1] - The technology sector has been the most affected, particularly AI-focused stocks, due to the Federal Reserve's uncertainty regarding rate cuts, recession fears, and competition from low-cost Chinese AI platforms [2] Nasdaq Composite Performance - The tech-heavy Nasdaq Composite is down 0.4% year to date, although some technology stocks listed on the Nasdaq have achieved double-digit returns [3] Stock Picks - Selected stocks with potential for double-digit returns include CyberArk Software Ltd. (CYBR), Lam Research Corp. (LRCX), and monday.com Ltd. (MNDY), all carrying favorable Zacks Ranks [3][4] CyberArk Software Ltd. (CYBR) - CyberArk is benefiting from rising demand for cybersecurity solutions due to increasing data breaches and digital transformation strategies [7] - The company has a strong presence across various sectors, which helps mitigate the impact of softening IT spending, and is shifting towards software-as-a-service and subscription models to drive growth [8] - CyberArk's expected revenue and earnings growth rates are 31.9% and 25.1%, respectively, with a short-term price target indicating a potential upside of 30.6% from its last closing price of $382.81 [11][12] Lam Research Corp. (LRCX) - Lam Research is capitalizing on strengths in 3D DRAM and advanced packaging technologies, with a rebound in its System business due to improving memory spending [13] - The company is well-positioned to benefit from an expected $100 billion in wafer fab equipment spending in 2025, driven by increased investments in foundry/logic, DRAM, and NAND [14] - Lam Research's expected revenue and earnings growth rates are 22.2% and 33.4%, respectively, with a price target suggesting a maximum upside of 48.8% from its last closing price of $83.94 [15] monday.com Ltd. (MNDY) - monday.com develops cloud-based software applications and provides various work management solutions across multiple sectors [16][17] - The company has an expected revenue growth rate of 25.6% and earnings growth rate of 6.3%, with a price target indicating a potential upside of 50.5% from its last closing price of $299.11 [17][18]

Core Viewpoint - The article discusses the reliability of brokerage recommendations, particularly focusing on Monday.com (MNDY), and emphasizes the importance of validating these recommendations with other indicators like the Zacks Rank [1][5][10]. Group 1: Brokerage Recommendations - Monday.com has an average brokerage recommendation (ABR) of 1.26, indicating a consensus between Strong Buy and Buy, with 19 out of 23 recommendations being Strong Buy [2][14]. - Strong Buy and Buy recommendations account for 82.6% and 8.7% of all recommendations, respectively [2]. Group 2: Limitations of Brokerage Recommendations - Brokerage recommendations often exhibit a strong positive bias due to the vested interests of the firms, leading to an overrepresentation of favorable ratings [6][10]. - Studies indicate that these recommendations have little success in guiding investors toward stocks with significant price appreciation potential [5][10]. Group 3: Zacks Rank as an Alternative Indicator - The Zacks Rank, which is based on earnings estimate revisions, is presented as a more reliable indicator of near-term stock performance compared to ABR [8][11]. - The Zacks Consensus Estimate for Monday.com has increased by 146.2% over the past month, reflecting growing optimism among analysts regarding the company's earnings prospects [13]. - The recent change in consensus estimates has resulted in a Zacks Rank 1 (Strong Buy) for Monday.com, suggesting a strong potential for price appreciation [14].

Summary of monday.com (MNDY) FY Conference Call - May 14, 2025 Company Overview - **Company**: monday.com (MNDY) - **Industry**: Work Operating System (Work OS) and project management software Key Points and Arguments Company Performance - **Growth Rate**: monday.com reported over 30% growth in the last quarter, achieving a run rate exceeding $1 billion and generating significant free cash flow [7][33] - **Customer Base**: The company has around 250,000 customers, with a notable penetration in the enterprise segment, where 61% of Fortune 500 companies use their platform, but penetration remains in single digits [18][20] Product Offering and Market Position - **Platform Versatility**: The platform supports various use cases, including project management, CRM, and development products, providing stability and growth across different sectors [8][9] - **Customization and Flexibility**: The platform allows extensive customization, enabling users to tailor the software to their specific needs, which is a significant differentiator from competitors [6][10] - **Enterprise Project Management (EPM)**: The introduction of EPM capabilities aims to standardize processes across teams while allowing customization, enhancing governance and efficiency [17] Customer Retention and ROI - **Customer Retention**: The company has a strong retention rate, particularly among non-tech customers, which constitute 70% of its client base [9] - **ROI for Customers**: Customers have reported significant ROI, with some achieving a 10x improvement in operational efficiency and revenue generation [11][12] AI Strategy - **AI Integration**: monday.com views AI as a technology to enhance existing products rather than a standalone product. The strategy includes AI blocks, AI power-ups, and AI agents to improve user experience and project management [48][49] - **Monetization of AI**: The company is exploring outcome-based pricing for AI actions, allowing users to pay based on the value derived from specific actions rather than a flat fee [54][55] Financial Outlook - **Guidance and Growth Projections**: The company aims to maintain a growth rate of 30% in the medium term, supported by improving margins and the maturation of services and add-ons [70][72] - **FX Impact**: There was a minor FX drag on Q1 results, but overall performance remained strong, with no significant weaknesses observed in the pipeline [33][35] Challenges and Opportunities - **Market Penetration**: While the company has a solid foothold in the SMB market, there is potential for growth in the mid-market and enterprise segments as the platform scales [36][38] - **Cross-Selling Opportunities**: Cross-selling into existing accounts is growing, particularly in service offerings, but presents challenges in larger organizations due to different buying personas [41][43] Additional Insights - **Add-Ons Growth**: The company has introduced several add-ons targeting enterprise customers, contributing to material ARR growth, although not reported separately [44][45] - **Future of AI**: The company is focused on education and adoption of AI features, with monetization expected to become more material in FY 2026 [61][62] Conclusion monday.com is positioned for continued growth with a versatile platform, strong customer retention, and a strategic focus on AI integration. The company is optimistic about its ability to penetrate the enterprise market further while maintaining a robust growth trajectory.

Core Insights - Monday.com Ltd reported strong first-quarter results, with a revenue growth of 30% to $282.3 million, surpassing the consensus estimate of $275.8 million [1] - The adjusted EPS of $1.10 exceeded the analyst consensus estimate of 70 cents [1] - The company anticipates fiscal second-quarter 2025 revenue between $292 million and $294 million, again above the analyst consensus of $275.8 million [1] Financial Performance - Needham analyst Scott Berg noted that first-quarter revenue was $7.2 million (2.6%) higher than his estimate, driven by Enterprise strength and the adoption of AI features [2] - Gross margins were reported at 90.2%, exceeding the analyst estimate by 70 basis points and improving by 40 basis points [2] - Adjusted operating income was $40.8 million, significantly above Berg's estimate, with an adjusted operating margin of 14.4%, compared to his estimate of 9.5% [3] Operational Highlights - The company is experiencing success in the Enterprise segment, with strong net additions in customers with annual recurring revenue (ARR) over $50,000 and $100,000 [4] - The hiring of new Chief Revenue Officer Casey George indicates a strategic focus on expanding the Enterprise segment [4] - AI traction is reportedly gaining momentum, with potential upside for monetization in the second half of 2025 [5] Guidance and Market Reaction - Management provided new fiscal 2025 guidance, projecting revenue of $1.220 billion to $1.226 billion, reflecting a growth of 25.8% at the midpoint [6] - The stock price of Monday.com increased by 3.63% to $289.29 following the announcement [6]