Piper Sandler Cuts monday.com Ltd. (MNDY) Price Target to $170, Keeps Overweight Rating

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Piper Sandler lowered its price target on monday.com Ltd. (NASDAQ:MNDY) to $170 from $250 on February 3, while maintaining an Overweight rating, following a transfer of coverage. The adjustment was part of broader target cuts across the platforms and applications group, reflecting concerns around seat compression and valuation ceilings rather than company-specific fundamentals. Piper did not make a directional call on the upcoming Q4 results.

Operationally, monday.com Ltd. (NASDAQ:MNDY) reported solid performance in the third quarter of fiscal 2025, with total revenue reaching $317 million, representing 26% year-over-year growth. Adoption of AI-driven offerings continues to scale, with more than 60,000 apps created using products such as Monday Vibe and Agent Factory since July, highlighting increasing customer engagement with automation and workflow tools.

Founded in 2012 and based in Tel Aviv, monday.com Ltd. (NASDAQ:MNDY) provides a flexible Work Operating System that supports project management, CRM, and workflow automation. Despite valuation-related pressure across the software sector, the company’s consistent revenue growth and expanding AI use cases underscore continued demand for its platform.

While we acknowledge the potential of MNDY as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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