Optimist Fund Exits Monday.com After Q4 Miss, Shares Down 36.7% Month and 75.5% Year
Optimist Fund exited its entire Monday.com position after Q4 earnings failed to meet its forecasts and management provided unclear business guidance. Monday.com shares have plunged 36.7% over the past month and 75.5% over the last year, trading at $75.60 with a $3.75B market cap.
1. Optimist Fund Position Exit
Optimist Fund announced a full exit from its Monday.com stake after the company’s Q4 results failed to align with its forecasts and management could not clearly explain performance discrepancies. The fund, which seeks mid-teens annual growth over five years, held the shares through year-end but sold following the earnings call.
2. Stock Declines and Valuation Metrics
Over the past month, Monday.com shares have tumbled 36.7%, and have lost 75.5% year-over-year, closing at $75.60 on February 26, 2026, giving the company a $3.75 billion market capitalization. Despite 26% revenue growth and 10% free cash flow growth in Q4, deceleration in small and mid-sized customer growth weighed on expectations.
3. Hedge Fund Exposure and Market Context
By the end of Q4 2025, 51 hedge funds held positions in Monday.com, down from 55 in the previous quarter, reflecting a shift away from the stock amid its steep declines. The company is not among the top 30 most popular hedge fund picks, and some investors are favoring AI stocks with stronger upside potential.