Strong Performance Expected for Monday.com Amidst Strategic Evolution and AI Adoption

Analyst Pinjalim Bora from J.P. Morgan maintained a Buy rating on Monday.com (MNDY – Research Report) and decreased the price target to $350.00 from $400.00.

Pinjalim Bora’s rating is based on the expectation that Monday.com will deliver a strong performance in its upcoming earnings report, supported by consistent demand across both U.S. and international markets. Conversations with key partners suggest that there has been no slowdown in lead generation, and the adoption of AI features, while more of a future growth driver, is gaining traction. Additionally, currency movements might provide a positive impact on revenue for the quarter, although the exact effect on guidance remains uncertain.
Looking ahead, Bora anticipates that Monday.com will maintain a conservative guidance approach due to macroeconomic uncertainties, yet sees the company as a unique opportunity in the medium to long term. The company’s transition from collaborative work management to a multi-product platform, enabling low-code and no-code business workflow orchestration, positions it for significant profitable growth. This strategic evolution underpins Bora’s confidence in a Buy rating for Monday.com.

Bora covers the Technology sector, focusing on stocks such as Monday.com, Freshworks, and BlackLine. According to TipRanks, Bora has an average return of 9.6% and a 53.59% success rate on recommended stocks.

In another report released on May 2, Scotiabank also maintained a Buy rating on the stock with a $330.00 price target.