Key Stats for MongoDB Stock
- Price Change for $MDB stock: 38%
- Current Share Price: $296
- 52-Week High: $370
- $MDB Stock Price Target: $297
What Happened?
MongoDB (MDB) stock exploded 38% higher on Wednesday following a blowout fiscal second quarter that dramatically exceeded Wall Street expectations across all key metrics.
The database software company reported adjusted earnings per share of $1.00, surpassing consensus estimates of $0.66, while revenue of $591 million exceeded expectations of $554 million.
The company’s flagship Atlas cloud database service drove outperformance, with revenue growing 29% year-over-year and accounting for 74% of total revenue.
MongoDB added more than 2,800 customers sequentially, bringing the total to nearly 60,000, with management noting this represents “the highest ever customer additions in the first half of the year.”
Management raised its full-year guidance, projecting fiscal 2026 revenue of $2.34 billion to $2.36 billion, compared to the previous guidance of $2.25 billion to $2.29 billion.
MongoDB also increased its adjusted earnings outlook to $3.64-$3.73 per share from the prior range of $2.94-$3.12.
See analysts’ growth forecasts and price targets for MongoDB stock (It’s free!) >>>
What the Market Is Telling Us About MongoDB Stock
The massive rally in MDB stock reflects investor relief that MongoDB’s shift in strategy toward enterprise customers is paying substantial dividends.
CEO Dev Ittycheria noted that workloads acquired from large enterprise deals over the past year are “growing meaningfully and faster than expected,” validating the company’s decision to focus on higher-value customers while scaling back efforts in the small and medium business segment.
The growth acceleration comes at a time when many software companies are facing headwinds in consumption, making MongoDB’s 29% growth in Atlas particularly impressive.
Management attributed the strength to both existing workloads scaling faster than anticipated and the addition of AI-native startups choosing MongoDB as their database foundation.
MongoDB’s improving profitability trajectory also drove investor enthusiasm, with non-GAAP operating margins reaching 15% compared to 11% in the prior year period.
This demonstrates an ability to drive growth acceleration and margin expansion simultaneously, addressing previous investor concerns about the trade-offs between growth investments and profitability.
With Atlas consumption trends remaining strong and the AI application development market still in early stages, investors appear increasingly confident in MongoDB’s positioning as a key infrastructure component for next-generation applications.
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
