Monday.com Ltd. Class Action Lawsuit – MNDY

Introduction to Monday.com Ltd. (MNDY) Securities Class Action Lawsuit

A securities fraud class action has been filed under federal securities laws against Monday.com Ltd. (NASDAQ: MNDY) and several of its senior executives on behalf of investors who purchased Monday.com common stock between September 17, 2025, and February 6, 2026. Investors allege that the company and its leadership made materially false and misleading statements, including forward-looking statements about revenue guidance and financial targets about Monday.com's growth trajectory and its ability to achieve a $1.8 billion revenue target for fiscal year 2027, while concealing that the company was experiencing decelerating new customer growth, weaker expansion within existing accounts, and longer enterprise sales cycles.

The truth allegedly emerged in stages, first through softer guidance in November 2025 despite positive results, and then in February 2026 when the company announced it would no longer discuss its previously provided $1.8 billion fiscal year 2027 revenue target, citing choppiness in demand in its no-touch SMB channel and an evolving AI landscape. These revelations caused Monday.com's stock price to decline sharply on the NASDAQ, damaging investors who purchased shares at artificially inflated prices.

“Most MNDY shareholders never file or join the class action, which means they miss out on potential recovery funds,” said Attorney Joseph Levi.

Monday.com Ltd. (MNDY) Securities Lawsuit Case Details

Case Name: Potter v. Monday.com Ltd.

Case No.: 1:26-cv-01956

Jurisdiction: U.S. District Court, Southern District of New York

Filed on: March 10, 2026

Monday.com Ltd. (MNDY) Company Profile

Monday.com Ltd. is an international company headquartered in Tel Aviv-Yafo, Israel, publicly traded on the NASDAQ, that develops software applications across the United States, Europe, the Middle East, Africa, and the United Kingdom.

The company offers a cloud-based Work Operating System (Work OS), a subscription-based, recurring revenue platform used by enterprise customers and small and medium businesses, a modular platform that enables users to build customized workflow and work management applications, including products for team workflows, sales tracking, software development, service desk management, digital whiteboards, and custom forms , supporting multi-product use cases across its Work OS platform.

Monday.com Ltd. (MNDY) Securities Lawsuit Class Period

September 17, 2025 – February 6, 2026, inclusive.

Eligible investors include all persons who purchased or otherwise acquired Monday.com common stock during the Class Period, on the open market, including on the NASDAQ exchange under ticker symbol MNDY, may be eligible to join the Monday.com Ltd. (MNDY) class action lawsuit.

Allegations in the Monday.com Ltd. (MNDY) Securities Class Action Lawsuit

According to the complaint, Monday.com Ltd. and four of its senior executives-Co-Chief Executive Officers Roy Mann and Eran Zinman, Chief Financial Officer Eliran Glazer, and Chief Revenue Officer Casey George-allegedly misled investors about the company's growth prospects and revenue targets throughout the class period, including the performance of its no-touch self-serve channel and performance marketing.

The alleged deception began on September 17, 2025, during an Analyst and Investor Day call, when Co-CEO Eran Zinman touted the company's AI features, stating that it had already seen over 67 million AI actions on its Work OS platform and declaring that "we've never seen traction like this in any feature we've released" and that customer adoption was "off the charts." On the same call, CFO Eliran Glazer expressed confidence in the company's fiscal year 2027 outlook, a forward-looking target, stating "we are confident that we are going to achieve $1.8 billion in fiscal year '27" and emphasizing that this confidence was driven by expectations of continued durable revenue growth at scale. The optimistic messaging continued through the fall.

On November 10, 2025, during the third quarter fiscal 2025 earnings call, Co-CEO Roy Mann reinforced the company's trajectory, stating that Monday.com had delivered "another quarter of strong results and disciplined execution, putting us firmly on track towards our Investor Day revenue target of $1.8 billion of FY '27." These statements painted a picture of a company experiencing robust growth and strong momentum toward its ambitious revenue goals.

The complaint alleges that while defendants were making these confident public statements, Monday.com was actually experiencing significant headwinds that made the $1.8 billion target increasingly unlikely to be met. Specifically, investors allege that the company was seeing new customer growth decelerating, weaker expansion within existing accounts, and longer enterprise sales cycles-material facts that were concealed from the investing public, and that management mischaracterized a persistent weakness in its no-touch SMB channel as temporary. The complaint contends that defendants provided investors with materially flawed statements of confidence and growth projections that did not account for these deteriorating business variables, contrary to their disclosure obligations under federal securities laws, causing investors to purchase Monday.com securities at artificially inflated prices.

The Truth Emerges

The truth began to surface on November 10, 2025, when Monday.com issued its third quarter fiscal 2025 earnings results. Despite reporting positive financial results, the company issued softer guidance for the fourth quarter of 2025 due to a shift in its performance marketing strategy. On the accompanying call, management stated that the more measured outlook reflected “timing effects” as the company rebalanced investments toward higher-ROI areas, and the market reacted negatively to the softer forward guidance.

The full extent of Monday.com's challenges became clear on February 9, 2026, when the company reported fourth quarter and full fiscal year 2025 results. While the financial results themselves were positive, reporting Q4 revenue of $333.9 million on an annual revenue base near $1.2 billion, defendants announced weaker 2026 guidance, including FY2026 revenue of $1.452-$1.462 billion, or 18-19% growth, below the prior analyst consensus near $1.5 billion, a miss of roughly $38-$48 million and citing FX headwinds from Israeli shekel appreciation of about 100-200 basis points, and FY2026 operating margin guidance of 11-12%, and, more significantly, a strategic shift away from the long-term 2027 revenue target of $1.8 billion that had been central to the company's investor messaging.

CFO Eliran Glazer acknowledged the change, stating "Given the evolving nature of the AI landscape and the choppiness in the no-touch demand environment, we believe it is responsible to keep our near-term communication focused on what we can execute and deliver with high confidence. As a result, we will no longer be discussing our previously provided 2027 targets." Management also noted that guidance reflected current conditions without assuming a rebound in the no-touch channel. This abandonment of the $1.8 billion revenue target directly contradicted the repeated assurances of confidence that executives had provided throughout the class period.

Market Reaction

Monday.com's stock price on the NASDAQ exchange suffered significant declines following both corrective disclosures. On November 10, 2025, when the company issued softer fourth quarter guidance despite positive third quarter results, the stock fell $23.38, dropping from $189.59 per share to close at $166.21 per share. The damage intensified on February 9, 2026, when Monday.com abandoned its $1.8 billion revenue target and provided weaker 2026 guidance.

The stock plummeted $20.37, falling approximately 21% from a closing price of $98.00 per share on February 6, 2026, to $77.63 per share on February 9, 2026.

Next Steps

● The Court will issue its order for lead plaintiff and counsel in the weeks after submissions are due.

● The Court will then consider motion for class certification.

● The Court will later consider a Motion to Dismiss.

Disclaimer: This shareholder alert is for informational purposes only and does not constitute legal advice. Consult a qualified attorney for personalized guidance. No specific outcomes are guaranteed.

Check Eligibility

✓ Free case evaluation
✓ No cost or obligation
✓ See if you qualify

First Name *

Last Name *

Email *

Phone

Estimated Loss

Number of Shares

Purchase Date

Full Name

Submitting this form does not create an attorney-client relationship. Your information is confidential.

Or contact us directly:

(212) 363-7500 [email protected]

Never Miss Another Deadline

Choose your preferred way to stay informed of new case launches and settlement deadlines.

Scan the QR code or click the button to join.

Join on WhatsApp

First Name *

Last Name *

Email *

Full Name

Submitting this form does not create an attorney-client relationship. Your information is confidential.

[email protected] (212) 363-7500

Certification of Plaintiff Pursuant to Federal Securities Laws

I, duly certify and say, as to the claims asserted under the federal securities laws, that:

I have reviewed a complaint filed in the action.
I did not purchase the security that is the subject of this action at the direction of plaintiff's counsel or in order to participate in this action.
I am willing to serve as a representative party on behalf of the class, including providing testimony at deposition and trial, if necessary.
My transaction(s) in monday.com Ltd. which are the subject of this litigation during the class period set forth in the complaint are set forth in the chart attached hereto.
Within the last 3 years,
I have not sought to serve nor have I served as a class representative in any federal securities fraud case. I have sought to serve as a class representative in
I will not accept any payment for serving as a representative party on behalf of the class beyond the Plaintiff's pro rata share of any recovery, except as ordered or approved by the court, including any award for reasonable costs and expenses (including lost wages) directly relating to the representation of the class.

Are you US Citizen?

Yes. I certify under penalty of perjury that the foregoing is true and correct. Executed this No. I certify under penalty of perjury under the laws of the United States of America that the foregoing is true and correct. Executed this

Clear

Signed pursuant to California Civil Code Section 1633.1, et seq. - and the Uniform Electronic Transactions Act as adopted by the various states and territories of the United States.

By your signature above, you confirm that have retained Levi & Korsinsky, LLP to represent you and the shareholder class as a lead plaintiff in the pending class action against monday.com Ltd. This representation will be on a contingency basis, meaning that Levi & Korsinsky will advance all expenses in the litigation and will only seek compensation and/or reimbursement of expenses if the firm obtains a recovery. Regardless of the result, we will never ask you to directly pay for any attorneys’ fees, expenses, or costs. Should we obtain a favorable result, we may ask the court to award us compensation and reimbursement of expenses to be paid by the defendants or as a portion of any class recovery. In exchange for our representation, you agree to cooperate as our client by providing, for example, relevant documents and deposition testimony, if necessary. During the course of this litigation, we may employ and/or work with other law firms, experts, and third-parties to successfully prosecute this action. If you are not appointed as the lead plaintiff or Levi & Korsinsky is not appointed as lead counsel, we will notify you of such decision at which time this representation will end unless otherwise extended by you and the firm. We look forward to working with you towards a successful resolution of this action.

I have reviewed the complaint linked in paragraph 1