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The latest trading session saw Monday.com (MNDY) ending at $235.29, denoting a +0.89% adjustment from its last day's close. The stock exceeded the S&P 500, which registered a loss of 1.07% for the day. On the other hand, the Dow registered a loss of 0.97%, and the technology-centric Nasdaq decreased by 1.19%.
Shares of the project management software developer have depreciated by 18.27% over the course of the past month, underperforming the Computer and Technology sector's gain of 4.8% and the S&P 500's loss of 0.36%.
The investment community will be closely monitoring the performance of Monday.com in its forthcoming earnings report. The company's upcoming EPS is projected at $0.78, signifying a 20% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $260.96 million, up 28.82% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $3.20 per share and a revenue of $964.98 million, signifying shifts of +72.97% and +32.24%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for Monday.com. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Currently, Monday.com is carrying a Zacks Rank of #1 (Strong Buy).
Investors should also note Monday.com's current valuation metrics, including its Forward P/E ratio of 73. This indicates a premium in contrast to its industry's Forward P/E of 32.55.
We can additionally observe that MNDY currently boasts a PEG ratio of 1.72. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 2.34.