monday.com Ltd. (MNDY): A Bull Case Theory 

We came across a bullish thesis on monday.com Ltd. on Compounding Your Wealth’s Substack by Sergey. In this article, we will summarize the bulls’ thesis on MNDY. monday.com Ltd.’s share was trading at $193.69 as of September 30th. MNDY’s trailing and forward P/E were 271.83 and 42.37 respectively according to Yahoo Finance.

13 Best Tech Stocks Under $10 to Invest In

Monday.com (MNDY) continues to demonstrate robust growth and resilience as a leading global Work OS platform, serving over 245,000 customers across 200+ industries. The company reported +26.6% YoY revenue growth in Q2 2025, with billings up +26.7% and net dollar retention at 111% overall, reaching 117% for large customers. Momentum in enterprise adoption remains strong, highlighted by record additions of high-ARR accounts, while management guides for +26.8% YoY growth next quarter, signaling stabilization.

Monday’s platform increasingly shifts from work coordination to execution, fueled by innovations such as Monday Magic, Vibe, Sidekick, and AI-powered Agents. Its multi-product ecosystem—including CRM, Dev, Service, and the scalable Monday DB 2.0—supports deep cross-sell opportunities, while AI integration accelerates adoption and monetization. CRM and Dev net adds were softer in Q2, attributed to seasonal factors and top-of-funnel disruptions, but enterprise and mid-market growth remains robust, and Service accounts continue strong momentum. Monday’s competitive moat is anchored in high switching costs, brand strength, and emerging network effects, complemented by a visually intuitive, low-code/no-code platform.

Financials remain healthy, with gross margins at 90.3%, operating margin at 15%, free cash flow margin at 21.4%, and a net cash position of $1.65B versus $126M debt. Valuation sits at ~6.7x forward EV/Sales, near historical lows, despite the company commanding the highest expected revenue growth in the CRM sector and operating within a $101B TAM growing at 14% CAGR. With strong enterprise penetration, AI-enabled product differentiation, high customer retention, and an expanding total addressable market, Monday presents a compelling risk/reward proposition, offering durable growth, scalable profitability, and meaningful upside potential for investors.

Previously we covered a bullish thesis on Monday.com Ltd. (MNDY) by Rijnberk InvestInsights in February 2025, which highlighted strong Q4 2024 earnings, 33% annual revenue growth, record margins, and expanding enterprise adoption. The stock has depreciated approximately by 32.88% since our coverage. The thesis still stands as Monday’s platform and enterprise growth provide long-term upside. Sergey shares a similar perspective but emphasizes Q2 2025 momentum, AI innovations, and multi-product cross-sell.

Monday.com Ltd. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 67 hedge fund portfolios held MNDY at the end of the second quarter which was 64 in the previous quarter. While we acknowledge the risk and potential of MNDY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MNDY and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy NOW

Disclosure: None.