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Atlassian Climbs 6% as Beaten-Down Software Names Bounce; HubSpot and Monday.com Gain 4%

Work management software stocks are bouncing together after a bruising stretch, but a fresh analyst downgrade and a sector-wide rally that could reverse just as fast complicate the story for investors deciding whether to jump back in.

By David Moadel
Published October 1, 2026, 1:41pm ET · 3 min read

Market Movers desk. Editor: David Moadel.

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A rebound in work management software is gathering pace, with Atlassian (NASDAQ:TEAM | TEAM Price Prediction) out in front and two of its closest rivals moving in the same direction. Shares of Atlassian trade at $189.18 this afternoon, up 6%.

Also gaining ground, HubSpot (NYSE:HUBS) stock is at $213.84, up 4%, following Atlassian higher. Monday.com (NASDAQ:MNDY) shares are at $81.82, also up 4%, even with a fresh analyst downgrade still in place.

The iShares Expanded Tech-Software Sector ETF (CBOE:IGV) is up 0.8% to $107.36, a sign that buyers are returning to software as a group. Moreover, the Invesco QQQ Trust (NASDAQ:QQQ) is up 0.47% to $743.26, so large-cap technology is rallying along with the software segment.

Three Work Management Names Rise Together

With no company announcement attached, the advance in Atlassian stock leaves the behavior of its peers as the clearest read on the move. HubSpot and Monday.com shares are climbing alongside Atlassian stock, and all three names have fallen over the past month. A shared slide followed by a shared rebound marks this as a bounce in beaten-down names, with buyers returning to the group at once.

Earlier in September, Atlassian rolled out Jira and DX platform capabilities. These let engineering teams hand routine coding work to artificial intelligence (AI) agents while tracking what they touch and whether their output meets internal standards.

Taroon Mandhana, Atlassian’s chief technology officer of AI and teamwork, stated that organizational context is the biggest bottleneck in AI software engineering. That context, already stored inside customers’ Jira and Confluence, is the main reason investors favor Atlassian, and rivals can’t copy it quickly.

What the Downgrade Argued on Monday.com

The catch in this bounce traces to a research note published on Tuesday by JPMorgan Chase. That note cut Monday.com stock to Neutral from Overweight, arguing that the company is struggling to attract new customers. Analyst Samik Chatterjee set a price target of $87 and asserted that a decline in new annual recurring revenue shows the difficulty of sustaining previously strong growth.

MNDY analyst ratings

Chatterjee pointed to Monday.com’s net dollar retention, which measures spending changes among existing customers, slipping to 109% in the second quarter of 2026, and noted longer sales cycles among small and mid-sized business customers. The bank wants a clear change in down-market momentum before turning more positive.

Monday.com shares are rising while the downgrade still stands, which fits sector-wide shifting and leaves its customer-growth questions open.

What to Watch Next

The next test is now underway. It is whether the IGV software ETF can extend its gain and whether Atlassian, HubSpot and Monday.com keep moving together, since a bounce built on sector rotation can fade as quickly as it formed.

Atlassian carries the stronger long-term argument, with its agent tooling anchored in customer context, yet the gain in Atlassian stock rests on sector flows, and a broader software pullback could reverse it.

Monday.com presents the tougher setup until JPMorgan Chase sees the down-market improvement the bank asked for, and investors may choose to reduce their exposure while the downgrade stands.

Contact [email protected] for any questions or corrections.

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David Moadel

David Moadel is financial writer specializing in stocks, ETFs, options, precious metals, and Bitcoin. David has written well over 1,000 articles for leading online publications, helping investors understand markets, income strategies, and risk.His work has appeared in The Motley Fool, InvestorPlace, U.S. News & World Report, TipRanks, ValueWalk, Benzinga, Market Realist, TalkMarkets, Finmasters, 24/7 Wall St., and others.With a master’s degree in education, David has taught at the elementary, high school, and college levels. That teaching background shapes his writing style: clear, educational, and practical. David has also built a loyal social-media audience by providing trustworthy financial content on YouTube, X/Twitter, and StockTwits.

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