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Investing.com - Bernstein analyst raised the price target on MongoDB (NASDAQ:MDB) to $338.00 from $319.00 on Wednesday, maintaining an Outperform rating following the company’s quarterly results. According to InvestingPro data, analyst consensus remains strongly bullish with targets ranging from $170 to $405, while the company trades at a significant revenue multiple premium to peers.
MongoDB delivered 24% growth, beating consensus expectations by approximately 7%, with its Atlas cloud service accelerating to 29% growth. The company reported its strongest net new customer additions in six years, surpassing even its Q1 performance.
The database provider also improved both GAAP and non-GAAP operating margins by about 4% and repurchased approximately $200 million in shares during the quarter. Bernstein noted the operating margin beat was "frankly most surprising" in its strength.
MongoDB raised its fiscal year 2026 guidance for both revenue and profitability above consensus expectations, while still maintaining room for potential outperformance. The analyst indicated this conservative guidance creates a favorable setup for the company.
Bernstein maintained its target EV/Sales multiple of 9x while rolling forward its financial model, resulting in the increased price target despite the stock’s strong after-market movement following the results.
In other recent news, MongoDB reported strong second-quarter results, with quarterly revenue reaching $591 million, marking a 24% year-over-year growth and surpassing consensus estimates by $37 million. This performance was largely driven by a 29% year-over-year growth in Atlas consumption revenue, which now accounts for 74% of the company’s total revenue. In response to these results, several financial firms adjusted their price targets for MongoDB. Rosenblatt Securities raised its price target to $305, noting the company’s robust performance in Enterprise Advanced and multi-year renewal deals. Cantor Fitzgerald increased its target to $312, highlighting MongoDB’s revenue and EBIT exceeding expectations by 7% and 52%, respectively. Morgan Stanley set its target at $325, emphasizing customer base growth, cloud expansion, and margin improvements. Mizuho raised its price target to $250, maintaining a Neutral rating, and acknowledged the company’s broad-based enterprise strength. Lastly, Needham also increased its target to $325, attributing the change to the company’s strong Atlas consumption growth.
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