monday.com is upgraded to a "Strong Buy," capitalizing on deep undervaluation amid generative AI-driven software sector fears. MNDY integrates AI into its core products, sustains over 20% YoY revenue growth, and maintains a robust 111% net dollar retention rate. With $1.7 billion in cash, no debt, and positive GAAP net income, MNDY boasts a bulletproof balance sheet and improving margins.
The Goldman Sachs Small/Mid Cap Growth Fund-Institutional Shares underperformed its benchmark, the Russell 2500 Growth Index (net), during the quarter. We initiated a position in Planet Fitness, Inc. (1.3%), a franchiser and operator of fitness centers, during the quarter. We exited our position in American fast casual restaurant chain, Shake Shack Inc. (0.0%), during the quarter.
Montreal-based Formula Growth initiated a new stake in monday.com during the third quarter, acquiring 20,000 shares. The shares were worth nearly $3.9 million as of September 30.
Monday.com is rated a "Buy" with a $186 price target, offering 16% upside as robust growth and execution support a premium multiple. MNDY posted its 18th consecutive double-beat, with Q3 2025 revenue up 26% and EPS up 36%, highlighting strong operational momentum. High-quality, sticky customer base is evidenced by 37% growth in $50k+ ARR customers and a 117% net dollar retention rate.
NEW YORK & TEL AVIV, Israel--(BUSINESS WIRE)--monday.com (NASDAQ: MNDY) today announced it has been recognized as a Leader in the 2025 Gartner® Magic Quadrant™ for Marketing Work Management Platforms. With this latest placement, monday.com becomes the only work management platform recognized as a Leader across these three 2025 Gartner Magic Quadrant reports: Marketing Work Management Platforms,...
Crosslink Capital bought 143,650 shares of monday.com, raising its position value by $20.55 million quarter-over-quarter. The transaction value equaled 2.41% of the fund's 13F AUM.
The software sector has been a meaningful laggard this year, and Baird analysts say plenty of stocks are now on sale.
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