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On Thursday, RBC Capital analysts reiterated an Outperform rating for MongoDB stock (NASDAQ: NASDAQ:MDB), maintaining a price target of $320.00. The decision follows MongoDB’s impressive start to FY26, marked by significant achievements in both revenue and customer growth. The company’s robust 19.22% revenue growth and healthy gross profit margin of 73.32% underscore this performance. According to InvestingPro analysis, the stock is currently trading slightly above its Fair Value.
MongoDB reported a notable quarter with top- and bottom-line results surpassing expectations. The company’s Atlas platform experienced 26% year-over-year growth, alongside record net customer additions and a significant improvement in operating margins. This performance highlights MongoDB’s effective execution in balancing growth and efficiency. InvestingPro data reveals strong financial health with a current ratio of 5.2, indicating excellent liquidity management. InvestingPro subscribers have access to 12 additional key insights about MongoDB’s performance and prospects.
Despite a revenue beat of approximately $20 million, MongoDB’s management opted for a conservative approach by raising FY26 guidance by only $10 million. This cautious stance suggests a potential for future upward revisions. The strength of Atlas was widespread, showing sequential acceleration and a recovery in May, indicating robust consumption trends.
Additionally, MongoDB’s EA segment outperformed expectations, aided by the timing of renewals. This success underscores the growing importance of MongoDB in the enterprise sector, as noted by RBC Capital analysts.
In other recent news, MongoDB has garnered attention with its first-quarter earnings for fiscal year 2026, surpassing expectations. The company reported a revenue increase of approximately 4%, alongside an operating margin improvement of over 500 basis points. MongoDB’s revised annual revenue guidance appears conservative, possibly due to the new CFO Mike Berry’s recent appointment. Analysts from Monness, Crespi, Hardt upgraded MongoDB’s stock rating from Neutral to Buy, setting a price target of $295, citing strong performance and growth in its Atlas platform. Stifel and Truist Securities also maintained their Buy ratings, with price targets of $275, attributing confidence to MongoDB’s balanced growth across platforms.
Loop Capital raised its price target to $230, maintaining a Hold rating, while noting solid growth in MongoDB’s Cloud Atlas business. Piper Sandler increased its price target to $275, highlighting the accelerated growth in the Atlas platform and the positive impact of the new CFO and a $1 billion buy-back authorization. MongoDB’s updated guidance for fiscal year 2026 includes projected sales of $2.250 billion to $2.290 billion and an operating profit of $267 million to $287 million. These developments reflect the company’s strategic initiatives and optimistic outlook from various analysts. MongoDB’s management and analysts remain focused on future growth opportunities, especially in cloud services and AI-related workloads.
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