monday.com (NASDAQ:MNDY) Announces Earnings Results

monday.com (NASDAQ:MNDY) posted its quarterly earnings results on Monday, May 11th. The company reported $1.15 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.96 by $0.19, Briefing.com reports. monday.com had a net margin of 9.17% and a return on equity of 5.10%. The business had revenue of $351.27 million during the quarter, compared to analysts’ expectations of $339.07 million. During the same quarter last year, the company posted $1.10 earnings per share. The business’s quarterly revenue was up 24.4% on a year-over-year basis.

Here are the key takeaways from monday.com’s conference call:

• Q1 revenue was $351 million, up 24% year?over?year, with a record $49 million operating profit and a 29% adjusted free cash flow margin, indicating efficient, durable growth.
• Management repositioned the business as the monday AI Work Platform, shipped mondayDB 3.0 (a 100x scale increase), introduced a new seats?plus?credits consumption pricing for new customers, and agreed to acquire OneAI to add voice capabilities — strategic moves to drive AI monetization.
• The company expects overall NDR to slightly decline in FY26, guided FY revenue growth to 19–20% with operating margin around 13%, and warned of 100–200 bps FX headwinds and an estimated $20M reduction to full?year adjusted FCF from accelerated buybacks, creating near?term margin and cash pressures.
• Early AI traction and efficiency gains are tangible — roughly 10% of net new ARR in Q1 was driven by existing AI products (Vibe, AI Blocks, Sidekick), while AI has driven a 32% rise in developer output and a 38% reduction in product time?to?market, supporting future adoption upside as agents roll out.

monday.com Trading Up 3.3%

Shares of monday.com stock traded up $2.56 during trading hours on Monday, reaching $80.13. The stock had a trading volume of 478,530 shares, compared to its average volume of 2,187,833. The stock’s 50 day moving average is $73.57 and its 200 day moving average is $98.61. monday.com has a twelve month low of $57.50 and a twelve month high of $316.98. The firm has a market capitalization of $4.10 billion, a PE ratio of 34.90, a PEG ratio of 3.88 and a beta of 1.24.

Hedge Funds Weigh In On monday.com

Hedge funds have recently bought and sold shares of the business. NewEdge Advisors LLC raised its stake in shares of monday.com by 2,120.0% during the 1st quarter. NewEdge Advisors LLC now owns 111 shares of the company’s stock worth $27,000 after buying an additional 106 shares during the period. American Century Companies Inc. grew its stake in monday.com by 75.3% in the 2nd quarter. American Century Companies Inc. now owns 4,192 shares of the company’s stock valued at $1,318,000 after acquiring an additional 1,801 shares during the period. EverSource Wealth Advisors LLC increased its holdings in monday.com by 76.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 150 shares of the company’s stock worth $47,000 after acquiring an additional 65 shares in the last quarter. Cerity Partners LLC increased its holdings in monday.com by 28.8% in the 2nd quarter. Cerity Partners LLC now owns 2,596 shares of the company’s stock worth $816,000 after acquiring an additional 580 shares in the last quarter. Finally, WINTON GROUP Ltd acquired a new position in monday.com during the second quarter worth $398,000. Hedge funds and other institutional investors own 73.70% of the company’s stock.

Analyst Ratings Changes

Several analysts have recently commented on the stock. Guggenheim set a $130.00 price objective on shares of monday.com and gave the company a “buy” rating in a report on Thursday, April 9th. UBS Group reduced their target price on shares of monday.com from $93.00 to $85.00 and set a “neutral” rating for the company in a report on Tuesday, May 12th. Zacks Research downgraded shares of monday.com from a “strong-buy” rating to a “hold” rating in a research report on Friday, May 1st. Piper Sandler upped their price target on shares of monday.com from $85.00 to $90.00 and gave the company a “neutral” rating in a report on Monday, May 11th. Finally, Tigress Financial cut their price target on monday.com to $165.00 and set a “buy” rating on the stock in a research report on Friday, May 22nd. Seventeen investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $126.48.

About monday.com

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.