Core Insights - MongoDB's quarterly earnings exceeded expectations, leading to a 15.2% increase in share price in August [1] - The company reported a 13% revenue growth driven by subscription sales, with both top and bottom lines surpassing Wall Street forecasts [2] - MongoDB's free cash outflow decreased significantly from $27 million to $4 million year-over-year, indicating improved cash flow management [3] Financial Performance - The company achieved a $50 million increase in revenue compared to the previous year, allowing for a reduction in its burn rate [3] - MongoDB has approximately $2 billion in short-term liquid assets, enabling it to operate without depleting cash reserves [4] - Despite not being profitable yet, the company has shown a positive cash flow year-to-date, which is a critical milestone [3][4] Market Reaction - Analysts have updated their earnings forecasts for MongoDB following the latest quarterly results, generally raising their outlook for the next two years [5] - The stock price has decreased by 25% over the past year, prompting investors to scrutinize its valuation amid slowing expansion [5] - The price-to-sales (P/S) ratio fell by 35% to 11.4, while the forward price-to-earnings (P/E) ratio dropped 10% to 117, indicating a more reasonable valuation despite still being aggressive [6] Investment Considerations - The stock remains speculative with a revenue growth rate under 20% and a P/S ratio over 10, suggesting caution for potential investors [8] - Long-term investors may find justification for buying at current prices, but should be prepared for volatility due to the company's valuation [8]

Core Insights - MongoDB, Inc. is facing a class action lawsuit from investors due to substantial losses attributed to multiple downward revisions of its fiscal year 2025 revenue guidance [1][6] Company Performance - Initially, MongoDB management expressed confidence in achieving FY 2025 revenue targets, citing initiatives like restructuring sales force incentives and reducing upfront customer commitment pressure [2] - On March 7, 2024, MongoDB revised its full-year guidance downward, attributing the decrease to changes in its sales force compensation model, which negatively impacted upfront customer commitments and multi-year licensing revenue [3] - A further downward revision occurred on May 30, 2024, due to macroeconomic factors affecting customer adoption of its MongoDB Atlas product and ongoing impacts from the sales force restructuring [4] Financial Impact - The cumulative effect of the revenue guidance revisions has resulted in an estimated erosion of shareholder value by $7.5 billion [5] Legal Issues - Investors allege that MongoDB executives provided misleading information regarding the company's revenue outlook and growth potential while downplaying risks from seasonality and macroeconomic fluctuations [6] - The investigation is focused on whether MongoDB downplayed known risks associated with its sales incentive restructuring and macroeconomic conditions [7]

RADNOR, Pa., Sept. 8, 2024 /PRNewswire/ -- The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been against MongoDB, Inc. ("MongoDB") (NASDAQ:MDB) on behalf of investors who purchased or acquired MongoDB securities between August 31, 2023 and May 30, 2024 (the "Class Period"). The case is assigned to the Honorable Gregory Howard Woods III. The lead plaintiff deadline is September 9, 2024. CONTACT KESSLER TOPAZ MELTZER & CHECK, LLP: I ...

NEW YORK, Sept. 07, 2024 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP announces a lawsuit has been filed against MongoDB, Inc. ("MongoDB" or the "Company") (Nasdaq:MDB) and certain of the Company's senior executives. If you suffered losses on your MongoDB investment, you are encouraged to submit your information at https://www.bfalaw.com/cases-investigations/mongodb-inc. Investors have until September 9, 2024 to ask the Court to be appointed to lead the case. The complaint asse ...

RADNOR, Pa., Sept. 06, 2024 (GLOBE NEWSWIRE) -- The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been filed in the United States District Court for the Southern District of New York against MongoDB, Inc. ("MongoDB") (NASDAQ:MDB) on behalf of investors who purchased or acquired MongoDB securities between August 31, 2023 and May 30, 2024 (the "Class Period"). The case is assigned to the Honorable Gregory Howard Woods III. The lead p ...

Shares of the database specialist crashed earlier this year but are making a comeback. Shares of database company MongoDB (MDB -0.29%) were once a highflier, exceeding $500 earlier this year. But that changed after the company announced results for its fiscal first quarter, ended April 30. Management noted a slowdown in revenue growth and reduced its guidance for the current fiscal year. MongoDB stock promptly plunged, eventually reaching a 52-week low of $212.74 in August. But on Aug. 29, the company repor ...

MongoDB, Inc. (NASDAQ:MDB) Citi's 2024 Global TMT Conference September 4, 2024 3:50 PM ET Company Participants Serge Tanjga - Finance and IR Michael Gordon - COO and CFO Conference Call Participants Tyler Radke - Co-head and senior software analyst at Citi Tyler Radke Looks like we had a packed house here for MongoDB. So thanks for joining. Tyler Radke here, co-head of the software sector at Citi. I think this is session eleven of a busy day, so appreciate it. MongoDB. Joining me we have Michael Gordon, the ...

Core Viewpoint - MongoDB stock has the potential to regain $500 within a year, given its recent decline of approximately 42% from around $500 to about $290, trading at 5.9x trailing revenue, which may not be considered expensive if earnings double in the next couple of years [1] Revenue Growth Potential - MongoDB's revenues could grow from approximately $17 billion in FY'24 to around $33 billion by FY'26, reflecting an average annual growth rate of over 40% [2] - The company has achieved close to 30% revenue growth over the last 12 months and an average annual growth rate of about 42% over the past three years, supported by new workload acquisitions and strong Atlas consumption trends [2] AI Integration and Market Position - MongoDB has launched the MongoDB AI Applications Program, providing an end-to-end AI technology stack and professional services to help customers build and deploy AI applications [3] - The increasing adoption of AI across various sectors positions MongoDB favorably to assist businesses in integrating generative AI and modernizing legacy applications [3] Historical Stock Performance - MongoDB stock increased by 245% from $145 in November 2022 to around $500 in February 2024, while the S&P 500 rose about 33% during the same period [4] - The stock has experienced significant volatility, with returns of 47% in 2021, -63% in 2022, and 108% in 2023, highlighting its bumpy historical performance compared to the S&P 500 [4] Future Price Growth Outlook - The timeframe for potential price doubling is flexible, as long as MongoDB maintains a healthy revenue expansion trajectory, with stock price likely responding positively if margins hold up [5]

Core Viewpoint - MongoDB's stock has experienced significant volatility, with a notable increase of 1,100% since its IPO in October 2017, despite a year-to-date decline of nearly 30% [1][3]. Financial Performance - For Q2 of fiscal 2025, MongoDB reported a revenue increase of 13% year-over-year to $463.8 million, surpassing analysts' expectations by $13.9 million [1]. - The adjusted EPS for the same quarter declined by 25% year-over-year to $0.70, but still exceeded the consensus forecast by $0.22 [1]. - For the full fiscal year, MongoDB anticipates revenue growth of 14%-15% and a decline in adjusted EPS of 26%-30%, an improvement from previous forecasts [2]. Business Model and Market Position - MongoDB's platform allows companies to store large amounts of unstructured data in a non-relational database, offering more flexibility compared to traditional relational databases [3]. - The company provides a cloud-based service, Atlas, which supports data analysis through recurring subscriptions and serves over 50,000 customers globally [4]. - Unlike larger cloud providers, MongoDB offers a more flexible integration into various cloud platforms, making it an attractive option for companies using multiple services [5]. Historical Growth Metrics - From fiscal 2018 to fiscal 2024, MongoDB's revenue grew at a compound annual growth rate (CAGR) of 40%, with adjusted gross margins increasing from 72% to 77% and adjusted operating margins improving from negative 49% to positive 16% [6]. - Revenue growth rates have shown a gradual decline, with fiscal 2024 growth at 31%, the slowest since its IPO [7]. Future Outlook - The company expects its adjusted operating margin to decrease to about 10% in fiscal 2025 due to expansion of sales teams and a slowdown in its higher-margin Atlas business [8]. - MongoDB's current stock valuation appears high at 121 times this year's adjusted earnings and 11 times this year's sales, especially as growth rates decline [9]. Stock Dynamics - MongoDB has increased its number of outstanding shares by nearly 50% since its IPO, which may contribute to elevated valuations [10]. - A potential stock split would not fundamentally change the stock's value but could make trading options more accessible [11][12].

NEW YORK, Sept. 03, 2024 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP announces a lawsuit has been filed against MongoDB, Inc. ("MongoDB" or the "Company") (Nasdaq:MDB) and certain of the Company's senior executives. If you suffered losses on your MongoDB investment, you are encouraged to submit your information at https://www.bfalaw.com/cases-investigations/mongodb-inc. Investors have until September 9, 2024 to ask the Court to be appointed to lead the case. The complaint asse ...