Monday.com: A Stock on Fire, But Is It a Buy?

If you’re not paying attention to the stock market right now, you might have missed Monday.com’s (MNDY) incredible 23% surge in value. The company reported better-than-expected Q4 results and offered an upbeat outlook for the current quarter, sending its shares soaring.

As a result of this impressive performance, investors are flocking to MNDY like never before. But is it too late to get on board? Let’s take a closer look at Monday.com’s financials and see if they’re worth your investment dollars.

A Strong Q4 Report

Monday.com reported EPS (earnings per share) of $1.08, beating analyst estimates by 36%. Revenue jumped 32% year-over-year to $268 million, also ahead of the consensus forecast. The company’s cash and cash equivalents increased 26% year-over-year to $1.41 billion.

The company provided Service account metrics for the first time, reporting 378 accounts at year-end with 214 net additions in Q4. This is a significant milestone for Monday.com, showcasing one of the highest cross-sells of new products and the highest average customer value across its product suite.

Guidance and Outlook

For guidance, Monday.com expects first-quarter revenue between $274 million and $276 million, compared to the consensus estimate of $273.9 million. Full-year 2025 (FY25) revenue is projected at $1.21 billion to $1.22 billion, in line with the consensus forecast.

While some might see this as a mixed bag, I believe Monday.com’s guidance is well ahead of buy-side whispers. The company’s AI efforts are expected to be a game-changer for its customers, giving them the ability to transform their workflows and scale faster than ever before.

The Verdict

Monday.com has certainly made an impressive showing with its Q4 report and guidance. While the stock may be hot right now, investors should take a step back and assess whether this momentum will continue in the future.

If you’re considering investing in MNDY, I recommend doing your own research and weighing the pros and cons carefully. It’s essential to consider factors like market trends, competition, and potential risks before making an informed decision.

Author:

Jeff Bishop

One of the best traders anywhere, over the past 20 years Jeff’s made multi-millions trading stocks, ETFs, and options. He is renowned as an incredible trader with a deep insight and a sensitive pulse on the markets and the economy. Jeff Bishop is CEO and Co-Founder of RagingBull.com.

Even greater than his prowess as a trader is his skill and passion in teaching others how to trade and rake in profits while managing risk.

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