MNDY monday.com Ltd.
$91.07
Platform & Compounding FCF 85%
Two-stage FCF DCF
Strong · Conviction

Undervalued

Trading 59.3% below fair value

You pay $91.07
Bear $136.98
Fair $223.68
Bull $332.57
Bear $136.98 +50.4% 12% stage 1 growth, 11% discount
Fair $223.68 +145.6% 20% stage 1 growth, 11% discount
Bull $332.57 +265.2% 26% stage 1 growth, 11% discount

Adjust Assumptions

20.0%
11.0%
3.0%

Key Value Driver

FCF growth rate (20% base case)

Terminal Value % of EV 46%
Implied Market Multiple 14.1x
Market is pricing in (growth) 4.2% vs 20.0% base

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above.

Average Target (26 analysts) $110.42
Divergence from AlphaVal 103%

Summary

Using a two-stage FCF DCF with 20% growth decelerating over 15 years, discounted at 11%, the base-case intrinsic value is $223.68 per share.

Warnings

Stock-based employee pay equals 149% of profits. This dilutes existing shareholders, so cash flow alone overstates what owners really earn.
Wall Street's average price target is $110.42 (from 26 analysts). Our estimate is 103% above the consensus -- consider that gap carefully.

Key Risks

  • P/E alone misleads — earnings depressed by growth investment
  • Cyclical or commodity businesses may be misclassified as platforms
  • Terminal value dominance suggests sensitivity to long-run assumptions