Analyst Josh Baer of Morgan Stanley maintained a Buy rating on Monday.com, retaining the price target of $260.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Josh Baer has given his Buy rating due to a combination of factors that reflect both the challenges and opportunities facing Monday.com. Despite the stock’s recent decline following Q2 results, Baer sees an attractive entry point, particularly as the company is positioned to capitalize on its growth potential. The debate among investors centers on the sustainability of Monday.com’s growth trajectory, with bulls confident in the company’s ability to maintain over 20% growth, which would justify its current valuation.
Baer’s confidence is bolstered by discussions with investors and the company’s investor relations team, which suggest that the challenges posed by changes in AI search are manageable and temporary. Furthermore, Monday.com’s potential to expand its market presence and scale its product offerings provides additional growth avenues. Trading at a discount compared to peers, Baer believes the company’s valuation is compelling, especially if it can sustain its growth momentum.
In another report released yesterday, KeyBanc also maintained a Buy rating on the stock with a $330.00 price target.