SoFi CEO enters prepaid forward contract on 1.5 million shares
Investing.com - Wolfe Research has raised its price target on MongoDB (NASDAQ:MDB) to $350.00 from $280.00 while maintaining an Outperform rating on the database software company. Currently trading at $214.34, the stock has significant upside potential according to analysts, with targets ranging from $170 to $405. InvestingPro data shows the company maintains a "GOOD" overall financial health score.
The firm cited MongoDB’s strong quarterly performance, with Atlas accelerating to 29% year-over-year growth, up from 26% in the previous quarter. This growth was driven by enterprise workloads, improved consumption, and strength across geographic regions, particularly among larger U.S. customers. According to InvestingPro data, MongoDB’s overall revenue growth stands at 19.24%, with a impressive five-year CAGR of 37%.
MongoDB added 2,500 Atlas customers in the quarter, with first-half net additions up 79% as self-serve channels and AI-native customers gained traction. The company reported competitive wins against PostgreSQL, specifically in conversational AI applications where Atlas Vector Search delivered superior performance at scale.
Management raised its fiscal year 2026 revenue guidance by $80 million, nearly double the quarterly beat of $39 million, and increased its operating margin guidance by 167 basis points at the high end. The company also reduced its expected Enterprise Advanced headwind from $50 million to $40 million.
MongoDB repurchased $200 million in stock during the quarter while generating $70 million in free cash flow, compared to negative $4 million in the same quarter of fiscal year 2025.
In other recent news, MongoDB reported strong second-quarter results, significantly surpassing both earnings per share (EPS) and revenue forecasts. The company posted an EPS of $1.00, well above the consensus estimate of $0.66, and achieved revenue of $591.4 million, exceeding expectations of $553.94 million. This impressive performance was highlighted by a 29% year-over-year growth in its Atlas cloud service and better-than-expected operating leverage and free cash flow. Following these results, several financial firms adjusted their price targets for MongoDB. RBC Capital raised its price target to $350, maintaining an Outperform rating, while BofA Securities increased its target to $345, citing strong growth initiatives. JMP Securities reiterated its $345 price target and Market Outperform rating, and Goldman Sachs adjusted its target to $325, noting the company’s strong fiscal performance. These developments reflect MongoDB’s continued focus on large accounts and higher-quality workloads, driving better expansion deals.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.