Abstract
Monday.com Ltd. will release its Q4 2025 results Pre-Market on February 09, 2026; this preview highlights market expectations for revenue, margin trajectory, and adjusted EPS, along with institutional sentiment and segment-level drivers since January 01, 2026.Market Forecast
Consensus for Monday.com Ltd.’s current quarter points to revenue of $0.33 billion with an estimated year-over-year increase of 26.11%, EBIT of $37.13 million with an estimated year-over-year increase of 22.81%, and adjusted EPS of $0.92 with an estimated year-over-year increase of 16.33. Forecast commentary suggests continued expansion of gross profit margin and improvement in net profitability, supported by efficient go-to-market and higher attachment of add-on products; the company’s main business remains subscription-based work management platforms for SMBs and enterprises. The most promising segment appears to be enterprise expansions within the core work management suite, which is positioned to drive multi-year account growth and higher per-seat monetization; segment-level revenue and year-over-year growth have not been disclosed for the current quarter.Last Quarter Review
Monday.com Ltd. reported Q3 2025 revenue of $0.32 billion, gross profit margin of 88.71%, GAAP net profit attributable to the parent company of $13.05 million with a net profit margin of 4.12%, and adjusted EPS of $1.16 with year-over-year growth of 36.47. A key highlight was EBIT of $47.48 million, which exceeded prior estimates and reflected improved operating leverage and disciplined expense control. The company’s main business mix was not disclosed in the last quarter’s dataset; based on the core subscription product focus, seat expansion and elevated renewal rates were central to growth.Current Quarter Outlook
Main Business: Core Work Management Platform and Subscription Expansion
The main business centers on Monday.com Ltd.’s subscription-based work management platform spanning project, portfolio, and workflow orchestration for teams across SMBs and enterprises. For Q4 2025, the forecasted revenue of $0.33 billion with 26.11% year-over-year growth implies sustained customer acquisition and net retention above the industry average, consistent with the prior quarter’s momentum. With gross profit margin at 88.71% last quarter, the model benefits from a predominantly software-delivery cost structure, and the forecasted EBIT of $37.13 million suggests steady operating leverage even with ongoing investments in product development and sales capacity. Adjusted EPS expected at $0.92 points to continued profitability expansion on a per-share basis, though sequentially normalizing from the prior quarter’s $1.16 due to seasonal Q4 expense timing and year-end investments.From a unit economics perspective, Monday.com Ltd. has shown efficiency improvements through higher attach rates for add-on modules and increased seat penetration within existing accounts. The sales motion into enterprise customers typically involves longer cycles but yields larger contract values and upsell potential, bolstering the forecasted growth rate near the mid-twenties percentage range. The balance between customer acquisition cost and lifetime value is a central driver; management’s emphasis on cross-sell, workflow automation adoption, and platform breadth aligns with sustaining high gross margins and moderating operating costs. The net profit margin of 4.12% last quarter provides a baseline that could rise with scale, as general and administrative costs normalize and R&D efficiencies are realized, although EPS guidance for the quarter reflects prudent assumptions for spending cadence.
Most Promising Business: Enterprise Upsell and Cross-Module Adoption
Among Monday.com Ltd.’s growth vectors, enterprise expansions within the core work management suite remain the most promising path for durable revenue growth. Larger customers typically adopt multiple modules—for example, project portfolio management, workflow automation, and integrations—creating a platform effect that supports higher annual contract values over time. In the current quarter, the expected revenue of $0.33 billion with 26.11% year-over-year growth likely derives a meaningful contribution from enterprise wins and seat expansions, even if the dataset does not disclose segment revenue or growth. The prior quarter’s EBIT outperformance indicates execution strength in converting pipeline into booked revenue while retaining pricing discipline, factors that often correlate with enterprise deal quality.Cross-module adoption enhances stickiness, reduces churn, and opens opportunities for tiered pricing, which collectively drive positive mix and margin characteristics. As enterprise customers standardize on the platform, professional services may serve as an on-ramp to deeper product usage, but the margin engine remains subscription-driven. The runway for growth is supported by the breadth of integrations with third-party tools, enabling Monday.com Ltd. to become a central coordination layer in heterogeneous IT environments. Continued investment in security, compliance, and admin features strengthens the value proposition for larger regulated industries, which can underpin sustained mid-twenties growth and support the forecasted EPS trajectory.
Stock Price Drivers: Profitability Trajectory, Guidance Quality, and Pipeline Conversion
Investors will focus on the relationship between top-line growth and profitability conversion this quarter, particularly the balance of revenue growth at 26.11% year-over-year against the forecasted EBIT of $37.13 million and adjusted EPS of $0.92. Sequential EPS moderation from $1.16 to $0.92 may reflect seasonality and stepped-up Q4 investments, so the qualitative guidance around cost normalization into the new fiscal year will be critical. Clarity on full-year revenue and margin outlook, including gross margin stability above the mid-to-high 80.00% range and disciplined operating expense growth, will influence sentiment.Guidance quality will be judged by assumptions on enterprise deal timing, net retention, and price realization. Investors typically parse the granularity of pipeline coverage ratios and enterprise win rates to assess confidence in sustaining mid-twenties growth. Any color on emerging products or modules that expand the addressable use cases can create optionality for future growth and potentially support premium valuation multiples. Conversely, if management signals elongated enterprise sales cycles or increased deal scrutiny, the market may recalibrate expectations even if near-term revenue meets estimates.
Pipeline conversion is central to the quarter’s read-through. Indicators like sequential billings growth, RPO trends, and large-deal concentration help the market understand demand durability. Should Monday.com Ltd. demonstrate resilient win rates and healthy expansion within existing accounts, investors may accept temporary EPS compression as strategic investment. Communication around hiring plans, go-to-market efficiencies, and automation-led improvements will also frame expectations for operating leverage in subsequent quarters.
Analyst Opinions
Institutional sentiment leans cautiously bullish, with a majority expecting Monday.com Ltd. to deliver revenue growth near the mid-twenties percentage range while maintaining solid gross margins and improving efficiency metrics. Analysts point to the Q3 2025 EBIT beat and adjusted EPS outperformance as evidence of operational discipline and pricing control, supporting confidence into Q4 2025. The moderately optimistic stance emphasizes the importance of balanced guidance, acknowledging potential seasonal expense pressure but expecting stable demand conditions in enterprise segments.Commentary from well-followed sell-side desks generally highlights Monday.com Ltd.’s upsell momentum and platform breadth as key differentiators for sustaining growth above many SaaS peers. The consensus framing suggests that if the company reiterates durable gross margin near the high-80.00% range and communicates clear progress on enterprise pipeline conversion, the stock could be rewarded for consistency despite EPS normalization. Analysts also appear attentive to signals on cross-module adoption and integrations that can elevate per-seat value, which aligns with the cautiously bullish majority view for the quarter.
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