Back to News
investment

Bear Of The Day: MongoDB (MDB)

Zacks
Loading...
5 min read
0 likes
⚡ Quantum Brief
MongoDB (MDB) was designated a "Strong Sell" (Zacks Rank #5) on April 9, 2026, despite beating earnings estimates for four consecutive quarters, including a 12.2% surprise in its latest report. The downgrade stems from recent earnings estimate revisions: while annual forecasts rose slightly, the current quarter saw six downward revisions versus three increases, signaling analyst pessimism about near-term performance. The company’s core products—MongoDB Atlas, Enterprise Advanced, and Community Server—remain central to its business model, but market sentiment now overshadows its consistent earnings beats and 18-cent EPS outperformance. Zacks’ ranking system prioritizes estimate momentum over historical results, explaining why MongoDB’s growth potential (Style Score A) couldn’t offset the negative revision trend driving the bearish outlook. The broader AI-driven market shift may further pressure tech stocks like MongoDB, as investors rotate toward "second-wave" AI opportunities, per Zacks’ analysis of evolving sector dynamics.
AI Audio Summary
0:00 / 0:00
Click to play
christian-wiediger-c3ZWXOv1Ndc-unsplash.jpg
Quantum News · Media Library

AAPL TSLA AMZN META AMD NVDA PEP COST ADBE GOOG AMGN HON INTC INTU NFLX ADP SBUX MRNA AAPL TSLA AMZN META AMD NVDA PEP COST ADBE GOOG AMGN HON INTC INTU NFLX ADP SBUX MRNA AAPL TSLA AMZN META AMD NVDA PEP COST ADBE GOOG AMGN HON INTC INTU NFLX ADP SBUX MRNA Stocks Bear Of The Day: MongoDB (MDB) April 09, 2026 — 07:09 am EDT Written by Brian Bolan for Zacks-> MongoDB (MDB) is a Zacks Rank #5 (Strong Sell) despite recently beating the Zacks Consensus Estimate. The stock has a Zacks Style Score for Value of f and an A for Growth. This article will look at why this stock is a Zacks Rank #5 (Strong Sell) as it is the Bear of the Day.Description MongoDB (MDB) engages in the development and provision of a general-purpose database platform. The firm's products include MongoDB Enterprise Advanced, MongoDB Atlas, and Community Server. It also offers professional services including consulting and training. The company was founded by Eliot Horowitz, Dwight A. Merriman, Kevin P. Ryan, and Geir Magnusson Jr. in November 2007 and is headquartered in New York, NY.Earnings HistoryWhen I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market’s expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see.In the case of MongoDB (MDB) I see the company has beaten the Zacks Consensus Estimate in each of the last four quarters. This alone does not make the stock a Zacks Rank #1 (Strong Buy) and it doesn’t make it a Zacks Rank #5 (Strong Sell) either.The Zacks Rank does care about the earnings history, but it is much more heavily influenced by the movement of earnings estimates.The most recent earnings report from MongoDB (MDB) saw the company post $1.65 in EPS when the Zacks Consensus Estimate was calling for $1.47. That 18 cent beat translates to a 12.2% positive earnings surprise.Earnings Estimate RevisionsThe Zacks Rank tells us which stocks are seeing earnings estimates move higher or in this case lower. For MongoDB (MDB) I see annual estimates for next year moving higherof late.The current fiscal year consensus number has increased from $5.61 to $5.83 over the last 60 days. The next fiscal year has also estimates increasing from $6.83 to $6.94 over the last 60 days.Negative movement in earnings estimates are the primary is why this stock is a Zacks Rank #5 (Strong Sell). That said, sometimes the Agreement section can push the rank lower if there is a large discrepancy. In the case of MongoDB (MDB) the current quarter has seen 6 estimate decreases and 3 estimate increases over the last 60 days.It should be noted that a lot of stocks in the Zacks universe are seeing negative earnings estimate revisions. That means that the stocks that are seeing small but negative earnings estimate revisions are falling to a Zacks Rank #5 (Strong Sell). Free Report: Profiting from the 2nd Wave of AI Explosion The next phase of the AI explosion is poised to create significant wealth for investors, especially those who get in early. It will add literally trillion of dollars to the economy and revolutionize nearly every part of our lives. Investors who bought shares like Nvidia at the right time have had a shot at huge gains. But the rocket ride in the "first wave" of AI stocks may soon come to an end. The sharp upward trajectory of these stocks will begin to level off, leaving exponential growth to a new wave of cutting-edge companies. Zacks' AI Boom 2.0: The Second Wave report reveals 4 under-the-radar companies that may soon be shining stars of AI’s next leap forward.Access AI Boom 2.0 now, absolutely free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free reportMongoDB, Inc. (MDB) : Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Tags StocksInvestingHow to Invest Zacks Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at www.zacks.com. More articles by this source-> Stocks mentioned MDB More Related Articles This data feed is not available at this time. Data is currently not available • Sign up for the TradeTalks newsletter to receive your weekly dose of trading news, trends and education. Delivered Wednesdays.

Read Original

Tags

government-funding
startup

Source Information

Discussion

0 professional contributions

Sign in to join this professional discussion.

Be the first to add a constructive contribution.