Monday.com has had a difficult year in the market, with its stock down more than 40% in 2026 and still more than 70% lower over the past 12 months. The decline has come amid a broader selloff in software-as-a-service names and a sharp reaction earlier this year when the company said first-quarter 2026 revenue would fall slightly short of Wall Street expectations.
That concern eased after Monday.com reported first-quarter results in May. Revenue came in at $351.3 million, well above the estimate it had initially signaled, and the company also raised its full-year outlook. Even so, the stock has remained under pressure as investors continue to question how artificial intelligence could affect the company’s business model.
Growth remains intact
According to the report, Monday.com’s core product is a visual workflow platform that helps customers automate tasks without requiring deep technical expertise. The company has added AI features, including AI agents and an AI-assisted coding tool, but the market has worried that similar technology could weaken demand for its software. Despite those fears, first-quarter revenue increased 24% from a year earlier, while net dollar retention reached 110%, indicating expansion among existing customers.
Retention was even stronger among larger accounts, with the figure at 114% for customers with more than 10 users and 116% for customers with annual recurring revenue of at least $50,000. For the second quarter, Monday.com projected revenue of $338 million to $340 million, implying growth of 18% to 19%. It also lifted its full-year revenue forecast to a range of $1.466 billion to $1.474 billion, above its previous guidance.
Source: nasdaq.com
