Monday.com (MNDY.US) excels in the AI-driven landscape, with KeyBanc elevating its rating to "Overweight".

Monday.com(MNDY.US) rose 26.5% on Monday to close at $326.58 after the company reported better-than-expected fourth-quarter results and guidance. KeyBanc upgraded Monday.com to "buy" from "hold" with a target price of $420 after the earnings release.Monday.com reported fourth-quarter revenue of $268 million, up 32% year-on-year, topping the market's expectation of $261 million; and earnings per share of $1.08, up 66% year-on-year, far exceeding the market's expectation of $0.65.KeyBanc analyst Jackson Ade said on Monday: "We had expected the company's guidance to fall short of market expectations. We certainly hope to buy the stock at a lower entry point, but we don't want to make the same mistake we made elsewhere, and we don't want to miss a bigger move because we're too worried about the right price."Ade added: "Monday.com's 2025 revenue growth rate guidance range in constant currency is 26.5%, while our expectation at the beginning of this quarter was 26.2%. We believe that a 24% growth rate expectation in constant currency is enough to boost the stock price; 26.5% is not even in our consideration."Monday.com's co-CEO Roy Mann highlighted the progress the company has made in integrating artificial intelligence (AI) into its platform.Mann said at the earnings call: "In 2024, we made significant progress in AI development, launching several new features including AI modules. Since AI was integrated into the Monday platform, users have executed approximately 10 million AI operations. This ongoing progress underscores our commitment to enhancing user experience and efficiency through innovative AI solutions."Overall, Wall Street analysts rate Monday.com "strong buy", with an average target price of $336.58, 3% higher than the current price.