Shares of Monday.com (MNDY) surged 11% Monday morning after the company reported solid quarterly results that beat analysts' estimates on earnings and revenue. The enterprise software firm, which CNBC's Jim Cramer described as the "junior" Salesforce (CRM), reported 42% revenue growth year-over-year.
"Watch Monday," Cramer said. "This thing is taking off."
Enterprise software companies have come under pressure recently, with shares of industry leader Salesforce down 8.59% over the past month. Morgan Stanley last month downgraded the cloud-based software giant to the equivalent of a neutral rating, from buy, noting limited catalysts for the stock.
But Monday.com's share-price gains on the back of its upbeat earnings report could signal to the market that the sector has become oversold and is poised for a rebound, Cramer said.
(Jim Cramer's Charitable Trust is long CRM. See here for a full list of the stocks.)
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