Major Stocks Including Monday.Com, Metsera, and Profrac Holding Decline in Pre-Market Trading on Monday
U.S. Stock Futures: U.S. stock futures rose this morning, with Nasdaq futures increasing by approximately 1.5% on Monday.
Monday.Com Earnings: Shares of Monday.Com Ltd fell 2.6% in pre-market trading ahead of its quarterly earnings report, with analysts expecting earnings of 88 cents per share and revenue of $312.26 million.
Other Stocks Declining: Several stocks experienced declines in pre-market trading, including Metsera Inc, which dropped 15% after Pfizer's $10 billion acquisition deal, and Ionis Pharmaceuticals, which fell 11.5% following disappointing study results.
Market Overview: Other notable declines included Oscar Health Inc down 5.4%, Centene Corp down 4.8%, and Profrac Holding Corp down 2.8%, reflecting a generally negative trend among various stocks.
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- Disruption Indicators: In a recent podcast, analysts discussed historical disruption cases, highlighting that persistently declining gross margins and customer attrition are key signs of companies facing disruption, which is crucial for investor decision-making.
- Salesforce's Challenges: Salesforce is projected to generate approximately $41 billion in revenue for 2026, yet its annualized AI agent business is only $1.4 billion, and sluggish growth places it at risk of disruption, especially in an increasingly competitive market.
- Market Reaction: While the S&P 500 and NASDAQ saw slight gains last week, the software-as-a-service (SaaS) sector experienced sharp sell-offs, intensifying investor concerns about potential disruptions and reflecting market uncertainty about the industry's future.
- Investor Mindset: Analysts emphasized the importance of maintaining courage amid fear, asserting that investors must possess the ability to act against market trends to navigate volatility and seize potential investment opportunities.
- Guidance Downgrade: On February 9, 2026, monday.com projected FY2026 revenue between $1.452 billion and $1.462 billion, significantly below the previously endorsed $1.5 billion, indicating a lack of confidence in future performance that could shake investor trust.
- Stock Price Volatility: Following the earnings report, monday.com shares plummeted over 20% with trading volumes surging, reflecting market concerns about the company's outlook, which may impact its future financing capabilities and market positioning.
- Management Confidence Erosion: Despite previously expressing confidence in achieving the $1.5 billion revenue target during the November 2025 earnings call, the recent guidance cut and withdrawal of 2027 targets suggest a lack of clarity in the company's long-term strategy, potentially affecting analysts' valuation models.
- Legal Investigation Initiated: Levi & Korsinsky, LLP is investigating potential securities law violations by monday.com, particularly regarding management's forward-looking statements prior to the earnings report; unfavorable findings could expose the company to legal liabilities and financial repercussions.
- Market Decline: On Monday, the S&P 500 Index fell by 1.04%, the Dow Jones Industrial Average dropped by 1.66%, and the Nasdaq 100 Index decreased by 1.21%, reflecting risk-off sentiment triggered by uncertainty over U.S. trade policy.
- Tariff Increase: President Trump signed an executive order raising global tariffs from 10% to 15%, a move that could curb global economic growth and negatively impact the stock market, particularly as it faces existing pressures.
- AI Risk Impact: A report from Citrini Research detailing potential risks of artificial intelligence on the global economy led to declines in software and payment stocks, with Datadog and Atlassian seeing drops of over 11% and 10%, respectively, indicating market concerns over tech stocks.
- Economic Data Highlights: Despite the stock market downturn, the U.S. January Chicago Fed National Activity Index rose by 0.39 to 0.18, surpassing expectations, suggesting that the economic fundamentals remain strong and may provide support for a future market rebound.
- Software Earnings: Several companies are reporting their software earnings this week, which is significant for the industry.
- Sector Challenges: The software sector has faced difficulties recently, largely due to rising concerns surrounding artificial intelligence.
- Market Impact: The earnings reports may influence market perceptions and investor confidence in the software industry.
- Future Outlook: The results could provide insights into how companies are adapting to the challenges posed by AI advancements.
- Market Downtrend: The S&P 500 index fell by 1.20%, the Dow Jones Industrial Average dropped by 1.58%, and the Nasdaq 100 index decreased by 1.47%, reflecting a risk-off sentiment triggered by uncertainty over U.S. trade policy.
- Trade Policy Impact: President Trump signed an executive order raising global tariffs from 10% to 15%, a move that may curb global economic growth and exacerbate downward pressure on the markets.
- Software Stocks Under Pressure: Concerns over AI impacts led to a more than 9% drop in CrowdStrike and other software stocks, which not only affected the market capitalization of these companies but also negatively influenced overall market sentiment.
- Economic Data Performance: The U.S. January Chicago Fed National Activity Index rose by 0.39 to 0.18, exceeding expectations and indicating potential improvement in economic activity, yet the market remains cautious ahead of upcoming corporate earnings and economic data releases.
- Financial Sector Decline: The financial sector of the S&P 500 fell over 3% during midday trading, with KKR and Blackstone dropping approximately 9% and 7% respectively, indicating investor concerns over alternative asset management and its potential impact on market confidence.
- Cybersecurity Stocks Volatility: The Global X Cybersecurity ETF (BUG) tumbled 4% amid anxiety over artificial intelligence, with CrowdStrike and Zscaler each falling 10%, reflecting market sensitivity to security risks posed by emerging technologies.
- ImmunityBio's Strong Growth: ImmunityBio reported a staggering 700% year-over-year revenue growth and expanded Anktiva approvals for lung cancer, leading to a 12% stock increase, showcasing its strong market potential in the clinical-stage immunotherapy sector.
- Arcellx Acquisition Surge: Gilead Sciences agreed to acquire Arcellx for $7.8 billion, resulting in a 78% stock surge, with the deal expected to close in the second quarter, marking a significant merger activity in the biotech sector.









