MongoDB (MDB) closed the most recent trading day at $337.60, moving -2.44% from the previous trading session. The stock fell short of the S&P 500, which registered a loss of 0.51% for the day. Elsewhere, the Dow gained 0.53%, while the tech-heavy Nasdaq lost 1.51%.
Shares of the database platform witnessed a loss of 20.6% over the previous month, trailing the performance of the Computer and Technology sector with its loss of 0.27%, and the S&P 500's gain of 0.93%.
The investment community will be closely monitoring the performance of MongoDB in its forthcoming earnings report. It is anticipated that the company will report an EPS of $1.47, marking a 14.84% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $668.19 million, up 21.84% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $4.79 per share and revenue of $2.44 billion, which would represent changes of +30.87% and 0%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for MongoDB. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 41.36% upward. MongoDB is currently sporting a Zacks Rank of #1 (Strong Buy).
In terms of valuation, MongoDB is currently trading at a Forward P/E ratio of 61.64. This represents a premium compared to its industry average Forward P/E of 20.67.
We can additionally observe that MDB currently boasts a PEG ratio of 2.54. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Internet - Software industry was having an average PEG ratio of 1.17.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 95, putting it in the top 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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MongoDB, Inc. (MDB): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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