Monday.com Issued 2026 Revenue Guidance Billions Below Its Own Prior Outlook While Withdrawing Long-Term Targets

Rhea-AI Summary

{"summary":"","positive":[],"negative":[],"faq":[]}

Key Figures

FY2026 revenue guidance: $1.452–$1.462B Prior endorsed target: $1.5B Q3 FY2025 revenue beat: $4.6M +5 more

8 metrics

FY2026 revenue guidance $1.452–$1.462B Company outlook disclosed on February 9, 2026

Prior endorsed target $1.5B Figure management previously indicated as achievable for FY2026 revenue

Q3 FY2025 revenue beat $4.6M Amount by which Q3 FY2025 revenue exceeded estimates

Q3 FY2025 EPS beat $0.28 Amount by which Q3 FY2025 EPS exceeded estimates

Q2 FY2025 EPS beat $1.09 Amount by which Q2 FY2025 EPS exceeded estimates

Q2 FY2025 revenue $299M Reported Q2 FY2025 revenue mentioned as preceding a sell-off

Post-Q3 guidance drop More than 20% Share-price decline after Q3 FY2025 guidance came in below expectations

February 9, 2026 drop Approximately 13–14% Single-session decline after FY2026 guidance and outlook update

Market Reality Check

Price: $74.34 Vol: Volume 4,545,876 vs 20-da...

normal vol

$74.34 Last Close

Volume Volume 4,545,876 vs 20-day average 3,641,368 (relative volume 1.25x) ahead of this headline. normal

Technical Shares at 74.34, trading well below the 200-day MA of 205.87 and 77.04% under the 52-week high.

Peers on Argus

Pre-news, MNDY was up 2.71% while only one close peer (PEGA) appeared on momentu...

1 Up

Pre-news, MNDY was up 2.71% while only one close peer (PEGA) appeared on momentum scanners, up 3.37%. Other software peers showed mixed, mostly modest moves, indicating stock-specific factors rather than a broad SaaS rotation.

Historical Context

5 past events · Latest: Feb 11 (Negative)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 11	AI strategy scrutiny	Negative	-1.4%	Article highlighting no-touch channel weakness and AI investment impact on guidance.
Feb 09	Earnings results	Positive	-20.8%	Strong Q4 and FY2025 growth but FY2026 guidance underwhelmed investors.
Jan 20	Earnings date set	Neutral	+0.1%	Announcement of upcoming Q4 2025 results and conference call logistics.
Dec 08	Gartner recognition	Positive	+3.2%	Named a Leader in multiple 2025 Gartner Magic Quadrant reports.
Nov 25	Brand partnership	Positive	+1.8%	Three-year partnership as Official Global Work Management Partner of Bonds Flying Roos.

Pattern Detected

Historically, positive or neutral operational news for monday.com has often aligned with positive price reactions, but the recent Q4 2025 earnings release showed a sharp divergence as strong results coincided with a steep decline, highlighting sensitivity to guidance.

Recent Company History

Over the past several months, monday.com has combined solid operating execution with growing scrutiny of its outlook. On Feb 9, 2026, Q4 and FY2025 results showed strong growth, yet the stock fell sharply as FY2026 guidance disappointed. An AI-focused article on Feb 11, 2026 was followed by a modest decline. Earlier, positive brand and partnership news in Nov–Dec 2025 produced moderate gains. Today’s legal-investigation headline ties directly into this pattern of strong reported numbers contrasted with contentious forward guidance.

Market Pulse Summary

This announcement focuses on a legal investigation tied to monday.com’s FY2026 revenue guidance of $...

Analysis

This announcement focuses on a legal investigation tied to monday.com’s FY2026 revenue guidance of $1.452–$1.462B, which undercut a previously endorsed $1.5B trajectory and coincided with a sizeable share-price drop. Context from recent earnings shows a pattern of estimate beats paired with guidance controversy. Investors evaluating this situation typically watched subsequent disclosures, Board or large-holder filings, and future outlook updates to assess how growth expectations and communication practices evolved over time.

Key Terms

saas, eps

2 terms

saas technical

"In the SaaS sector, the gap between a company's endorsed consensus"

SaaS, or Software as a Service, is a way of delivering computer programs over the internet, allowing users to access and use them through a web browser without needing to install or maintain the software themselves. For investors, it highlights a business model where companies generate recurring revenue by providing ongoing access to their software, often leading to predictable income and growth potential.

eps financial

"the company beat revenue estimates by $4.6 million and EPS estimates by $0.28"

Earnings per share (EPS) measures how much profit a company makes for each outstanding share of its stock by dividing the company’s profit after expenses by the number of shares. It matters to investors because it shows how much of the company’s “pie” each share represents—higher EPS usually signals greater profitability per share, helps compare companies of different sizes, and influences stock valuations and investor decisions.

AI-generated analysis. Not financial advice.

(NASDAQ: MNDY)

NEW YORK, Feb. 18, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP is investigating monday.com Ltd. (NASDAQ: MNDY) for potential violations of federal securities laws in connection with the company's February 9, 2026 disclosure of fiscal year 2026 revenue guidance of $1.452 billion to $1.462 billion, representing 18%–19% growth – a figure that fell materially below the Wall Street consensus of approximately $1.5 billion and the growth trajectory the company had endorsed as recently as the prior earnings cycle. Investors who purchased MNDY shares and suffered losses may obtain additional information about this investigation.

The guidance shortfall is notable because it follows a pattern in which monday.com has repeatedly delivered strong quarterly results only to disappoint investors with forward-looking projections. In Q3 FY2025, the company beat revenue estimates by $4.6 million and EPS estimates by $0.28, yet the stock fell more than 20% when Q4 revenue guidance came in below expectations. In Q2 FY2025, a $1.09 EPS beat and $299 million revenue print triggered a 26% decline after management cited temporary web-traffic softness tied to Google search algorithm changes. The February 9 sell-off marks the fourth consecutive quarter in which a beat-and-guidance-miss pattern has resulted in a significant share-price decline.

In the SaaS sector, the gap between a company's endorsed consensus and its actual guidance carries particular weight. During the prior earnings cycle, CFO Eliran Glazer confirmed to analysts that the company was "committed to achieving … the guidance we have provided during the investor day." On the February 9 call, when pressed by analysts on what changed, Glazer stated: "The last time, you know, we gave guidance, we felt and we believed based on the feasibility that we had at the time, that the 1.5 number is the number that we are going to achieve. It looked reasonable to us." The actual guidance of $1.452–$1.462 billion represents a shortfall of approximately $38–$48 million from that endorsed figure.

Simultaneously, management announced it would no longer discuss its previously provided 2027 financial targets. Glazer stated: "We will no longer be discussing our previously provided 2027 targets but will be centering our discussion on our 2026 outlook." The withdrawal of longer-term guidance alongside the near-term reduction amplified investor concern about the company's growth visibility.

Monday.com's stock fell approximately 13–14% on February 9, sliding from the low $90s to the high $70s on volume that was 3–4 times the 30-day average. The sell-off erased more than $1 billion in market capitalization in a single session.

Shareholders who lost money on MNDY may click here to learn more about their legal rights or contact Joseph E. Levi, Esq. via the information below.

Levi & Korsinsky, LLP is a nationally recognized firm with offices in New York, California, Connecticut, and Washington, D.C. that prosecutes securities, merger, and consumer class actions on behalf of investors and consumers; more information is available at www.zlk.com.

CONTACT:
Joseph E. Levi, Esq.
Levi & Korsinsky, LLP
33 Whitehall Street, 27th Floor
New York, NY 10004
Tel: (212) 363-7500
Fax: (212) 363-7171
Email: jlevi@levikorsinsky.com
www.zlk.com

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SOURCE Levi & Korsinsky, LLP