monday.com (MNDY) Stock Forecast & Price Target

Monday.Com is underpinned by strong enterprise momentum, with record 175 net new $100k+ customers, 15 net new $500k+ customers, and RPO/cRPO growth accelerating to 34%/27%, signaling durable demand in higher-value accounts. Its AI strategy is becoming a real monetization lever, as AI ARR doubled quarter over quarter and represented 17% of NNARR, while customers are beginning to buy additional credits beyond included usage buckets. Operationally, the company delivered a 22% revenue increase to $364.6 million and raised FY26 operating margin guidance to about 16%, supported by $100 million in annualized savings and a sharper focus on CRM, Service, and up-market execution.

Monday.Com is facing a weaker fundamental setup because softer NNARR, only about 108% expected for FY26, and declining expansion trends suggest that pricing actions and product transitions are starting to pressure growth quality. It also remains exposed to a highly competitive project management market with larger, well-capitalized rivals, while its direct sales motion is still nascent and could prolong sales cycles, create bookings lumpiness, and limit margin leverage. Although management expects roughly $100M of annualized savings from the 20% RIF, most of that is being reinvested into AI, product, and upmarket GTM efforts, leaving operating margin improvement and FCF conversion dependent on execution through C27.