MongoDB (NASDAQ:MDB) Shares Gap Down – Here’s Why

MongoDB, Inc. (NASDAQ:MDB)’s stock price gapped down before the market opened on Tuesday . The stock had previously closed at $326.13, but opened at $314.37. MongoDB shares last traded at $314.96, with a volume of 435,439 shares changing hands.

Wall Street Analysts Forecast Growth

MDB has been the topic of a number of research analyst reports. BMO Capital Markets upped their price target on MongoDB from $285.00 to $360.00 and gave the company an “outperform” rating in a report on Friday, May 15th. Zacks Research raised MongoDB from a “strong sell” rating to a “hold” rating in a report on Friday, May 15th. Truist Financial lowered their price target on MongoDB from $500.00 to $375.00 and set a “buy” rating on the stock in a report on Tuesday, March 3rd. Needham & Company LLC lowered their price target on MongoDB from $500.00 to $300.00 and set a “buy” rating on the stock in a report on Tuesday, March 3rd. Finally, Canaccord Genuity Group lowered their price target on MongoDB from $455.00 to $375.00 and set a “buy” rating on the stock in a report on Tuesday, March 3rd. Twenty-six analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $373.30.

MongoDB Stock Down 5.3%

The business has a fifty day simple moving average of $269.54 and a two-hundred day simple moving average of $334.71. The company has a market cap of $24.82 billion, a P/E ratio of -350.95 and a beta of 1.48.

MongoDB (NASDAQ:MDB) last posted its quarterly earnings data on Monday, March 2nd. The company reported $1.65 EPS for the quarter, topping the consensus estimate of $1.47 by $0.18. MongoDB had a negative return on equity of 1.03% and a negative net margin of 2.89%.The firm had revenue of $695.07 million for the quarter, compared to the consensus estimate of $669.40 million. During the same quarter last year, the company earned $1.28 earnings per share. The business’s revenue for the quarter was up 26.8% compared to the same quarter last year. On average, equities analysts predict that MongoDB, Inc. will post -0.46 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, Director Hope F. Cochran sold 1,566 shares of the company’s stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $249.33, for a total transaction of $390,450.78. Following the transaction, the director directly owned 24,093 shares of the company’s stock, valued at $6,007,107.69. This represents a 6.10% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, Director Dwight A. Merriman sold 10,000 shares of the company’s stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $297.99, for a total value of $2,979,900.00. Following the transaction, the director directly owned 993,316 shares in the company, valued at $295,998,234.84. This represents a 1.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 31,566 shares of company stock valued at $8,744,791. 3.10% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. ValueAct Holdings L.P. boosted its stake in shares of MongoDB by 206.8% in the third quarter. ValueAct Holdings L.P. now owns 2,118,200 shares of the company’s stock worth $657,447,000 after buying an additional 1,427,700 shares during the last quarter. Norges Bank acquired a new position in shares of MongoDB in the 4th quarter valued at $574,821,000. AQR Capital Management LLC lifted its stake in shares of MongoDB by 2,567.2% in the 2nd quarter. AQR Capital Management LLC now owns 1,111,647 shares of the company’s stock valued at $233,435,000 after purchasing an additional 1,069,969 shares during the last quarter. Jericho Capital Asset Management L.P. lifted its stake in shares of MongoDB by 162.1% in the 3rd quarter. Jericho Capital Asset Management L.P. now owns 1,378,540 shares of the company’s stock valued at $427,871,000 after purchasing an additional 852,540 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership lifted its stake in shares of MongoDB by 162.3% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 1,097,059 shares of the company’s stock valued at $340,505,000 after purchasing an additional 678,746 shares during the last quarter. 89.29% of the stock is owned by institutional investors and hedge funds.

About MongoDB

MongoDB, Inc is a software company best known for developing MongoDB, a general-purpose, document-oriented database designed for modern application development. The company’s platform is built to support high-performance, scalable data storage and retrieval for use cases such as cloud-native applications, mobile backends, real-time analytics, and content management. MongoDB offers a mix of open-source software, commercial server distributions, and subscription-based services that include technical support, training and professional services.

The company traces its origins to 2007 when it was founded as 10gen by Dwight Merriman and Eliot Horowitz; it later adopted the MongoDB name and completed a public listing in 2017.