JPMorgan cuts monday.com stock price target to $350, keeps overweight

Published 06/05/2025, 10:56
© Netanel Tobias, monday.com PR

On Tuesday, JPMorgan analyst Pinjalim Bora revised the price target for monday.com Ltd. (NASDAQ:MNDY), a leading work operating system platform with a market capitalization of $13.88 billion, to $350 from the previous $400 while maintaining an Overweight rating on the company’s shares. The adjustment comes as Bora expresses a positive outlook ahead of the company’s first-quarter earnings report, scheduled for May 12. According to InvestingPro analysis, the stock currently trades above its Fair Value, with analyst targets ranging from $265 to $450.

The analyst’s optimism is based on the belief that monday.com is poised to deliver a strong performance for the quarter. This confidence appears well-founded, as InvestingPro data reveals impressive financial metrics, including a robust 89.33% gross profit margin and strong 33.21% revenue growth over the last twelve months. This confidence is supported by discussions with several of monday.com’s key partners across the U.S. and international markets, as well as a pre-quiet period check-in with the company. Feedback from these sources suggests that the demand for monday.com’s offerings remains steady, with no observed decline in lead generation.

Bora also points to the company’s traction in customer relationship management (CRM) and its core services. Additionally, the adoption of artificial intelligence features by monday.com is seen as robust, which the analyst believes could be a significant growth driver by 2026. Another potential positive factor for the company’s first-quarter revenue is the currency impact, although it is unclear how much of this has been factored into the guidance. InvestingPro subscribers can access over 10 additional ProTips and detailed financial metrics in the comprehensive Pro Research Report, providing deeper insights into monday.com’s growth trajectory and financial health, which is currently rated as "GREAT."

Despite the current macro-economic uncertainty, Bora anticipates that monday.com will continue to provide conservative guidance. Looking ahead, the analyst envisions a promising future for the company as it evolves beyond collaborative work management into a broader multi-product platform. Bora highlights monday.com’s potential to facilitate low-code, no-code business workflow orchestration, driving strong and profitable growth at scale, supported by the company’s healthy balance sheet and strong liquidity position, with current assets well exceeding short-term obligations.

In other recent news, monday.com reported impressive financial results for Q4 and FY 2024, with Q4 revenue increasing by 32% year-over-year to $268 million and FY 2024 revenue rising by 33% to $972 million. This growth was fueled by strong customer adoption of its AI-driven platform, contributing to a 112% overall net dollar retention rate. In a strategic move, monday.com appointed Casey George as its new Chief Revenue Officer, aiming to enhance its enterprise market presence and bolster sales teams by 30% in 2025. George’s extensive experience in revenue operations is expected to drive the company’s next growth phase.

Analysts have been adjusting their outlooks on monday.com. Scotiabank (TSX:BNS) raised its price target to $330, maintaining a Sector Outperform rating, citing positive financial performance and product developments. Conversely, UBS lowered its target to $310 with a Neutral rating, noting potential economic uncertainties affecting growth. Meanwhile, Tigress Financial elevated its price target to $450, highlighting the company’s AI integration as a key growth driver. Citi has also identified monday.com as a top stock pick, emphasizing its attractive valuation and growth potential. These developments reflect a dynamic period for monday.com as it navigates market opportunities and challenges.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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