What Happened?

Shares of work management platform monday.com (NASDAQ: MNDY) jumped 4.1% in the afternoon session after the stock appeared to rebound from a 52-week low. 

This move occurred after the shares touched $141.46, marking a new low point for the previous 52 weeks and a notable decline over the past year. Despite the stock's sharp fall, underlying company data showed strong gross profit margins and revenue growth. Analyst sentiment remained positive, with 23 analysts maintaining a consensus "Strong Buy" rating on the stock. Their average price target suggested a significant potential increase in the stock price over the next year.

After the initial pop the shares cooled down to $149.92, up 4.2% from previous close.

Is now the time to buy monday.com? Access our full analysis report here.

What Is The Market Telling Us

The previous big move we wrote about was 21 days ago when the stock dropped 14.2% on the news that the company issued a weak fourth-quarter revenue forecast that overshadowed its strong third-quarter results. While the work management platform beat Wall Street's expectations for its third quarter with sales of $316.9 million and a non-GAAP profit of $1.16 per share, its outlook spooked investors. For the upcoming fourth quarter, monday.com projected revenue to be $329 million at the midpoint. This forecast fell short of the $333.8 million that analysts had anticipated. The weaker-than-expected guidance raised concerns about the company's future growth, leading to a sharp sell-off in the stock despite the solid performance in the recent quarter.

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