Assessing monday.com (MNDY) Valuation After Fresh Bullish Analyst Reports and AI Platform Expansion

Fresh bullish research on monday.com (MNDY) is colliding with a weak share price, as analysts spotlight its AI native Work OS, accelerating cash generation, and new share repurchase program as key long term drivers.

See our latest analysis for monday.com.

That upbeat story sits against a tougher tape, with the stock’s 90 day share price return of minus 33.61 percent and 1 year total shareholder return of minus 35.25 percent, showing momentum has clearly faded after a solid 27.73 percent three year total shareholder return.

If monday.com’s AI push has your attention, it could be a good moment to see what else is emerging across high growth tech and AI stocks as potential next wave beneficiaries.

With analysts lifting targets and our models flagging a 21 percent intrinsic discount, yet traditional valuation multiples still looking rich, investors face a familiar dilemma: is this a genuine buying opportunity or is future growth already priced in?

Most Popular Narrative: 38.1% Undervalued

With the most followed narrative placing monday.com’s fair value well above the recent 145.49 dollar close, the gap between model and market is striking.

Multi product strategy, with accelerated growth in CRM and Service verticals, expands total addressable market and drives more cross sell/upsell opportunities, increasing both seat expansion and average deal size translating to higher enterprise revenue and durable earnings growth.

Read the complete narrative.

Curious how this multi product vision translates into hard numbers? The narrative quietly bakes in ambitious revenue compounding, rising margins, and a premium future earnings multiple. Want to see exactly how those assumptions add up to that fair value target?

Result: Fair Value of $235.20 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, that upside hinges on navigating elongating sales cycles and growing competition, which could pressure customer additions, margins, and the premium valuation.

Find out about the key risks to this monday.com narrative.

Another Lens on Valuation

Step away from narrative models and monday.com suddenly looks expensive, with a price to earnings ratio of 115.3 times versus 31.5 times for the US software industry and 39.5 times for peers, and well above a 42.8 times fair ratio that markets could drift toward. Is this multiple a warning sign, or just the price of quality growth?

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own monday.com Narrative

Ultimately, if this view does not quite fit your own, or you prefer to dig into the numbers yourself, you can build a custom narrative in just minutes, Do it your way

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding monday.com.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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