UBS Lowers Monday.com Target to $93 After 24.6% Q4 Revenue Growth
UBS cut Monday.com’s price target from $140 to $93, implying 25.5% upside, citing margin pressure following its February 9 fourth-quarter earnings. Q4 revenue rose 24.6% to $333.9M, beating estimates by $4.24M, and non-GAAP EPS was $1.04, up $0.12, while operating cash fell to $59.7M.
1. Price Target Revision
UBS analyst Taylor McGinnis cut the price target for Monday.com from $140 to $93 while maintaining a Neutral rating, implying a 25.49% upside. The revision follows concerns over margin compression highlighted in the fourth-quarter financial report.
2. Fourth-Quarter Financial Results
For the quarter ended February 9, Monday.com reported revenue of $333.9 million, up 24.6% year-over-year and $4.24 million above consensus. Non-GAAP EPS was $1.04, $0.12 ahead of estimates, while net cash from operations declined to $59.7 million from $76.7 million a year earlier.
3. First-Quarter Outlook
The company forecasts Q1 2026 revenue between $338 million and $340 million, slightly below the $342.87 million consensus, representing roughly 20% growth. Non-GAAP operating income is expected at $37 million to $39 million, with margins of 11% to 12%, factoring in a 100-200 basis-point foreign exchange headwind.