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

MongoDB, Inc. (NASDAQ:MDB)’s share 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.

Analysts Set New Price Targets

Several analysts recently commented on the company. Barclays dropped their price objective on MongoDB from $440.00 to $370.00 and set an “overweight” rating on the stock in a research note on Tuesday, March 3rd. Piper Sandler dropped their price objective on MongoDB from $490.00 to $330.00 and set an “overweight” rating on the stock in a research note on Tuesday, March 3rd. Oppenheimer dropped their price objective on MongoDB from $425.00 to $375.00 and set an “outperform” rating on the stock in a research note on Tuesday, March 3rd. UBS Group dropped their price objective on MongoDB from $440.00 to $275.00 and set a “neutral” rating on the stock in a research note on Tuesday, March 3rd. Finally, Bank of America raised their price objective on MongoDB from $350.00 to $375.00 in a research note on Tuesday, May 19th. Twenty-six investment analysts have rated the stock with a Buy rating, seven have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $374.13.

MongoDB Price Performance

The business has a 50-day moving average of $271.03 and a 200-day moving average of $333.98. The firm has a market cap of $26.17 billion, a price-to-earnings ratio of -370.09 and a beta of 1.48.

MongoDB (NASDAQ:MDB) last released its earnings results on Thursday, May 28th. The company reported $1.32 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.18 by $0.14. The business had revenue of $687.62 million for the quarter, compared to the consensus estimate of $664.53 million. MongoDB had a negative return on equity of 1.03% and a negative net margin of 2.89%. As a group, equities analysts anticipate that MongoDB, Inc. will post -0.46 EPS for the current fiscal year.

Insider Transactions at MongoDB

In related news, Director Hope F. Cochran sold 1,566 shares of MongoDB stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $249.33, for a total value of $390,450.78. Following the sale, the director owned 24,093 shares of the company’s stock, valued at approximately $6,007,107.69. The trade was a 6.10% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Dwight A. Merriman sold 6,000 shares of MongoDB stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $314.98, for a total value of $1,889,880.00. Following the completion of the sale, the director directly owned 470,896 shares in the company, valued at approximately $148,322,822.08. This represents a 1.26% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 31,566 shares of company stock worth $8,744,791. 2.60% of the stock is owned by company insiders.

Hedge Funds Weigh In On MongoDB

A number of institutional investors have recently bought and sold shares of MDB. ValueAct Holdings L.P. increased its position in MongoDB by 206.8% during 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 MongoDB during the fourth quarter worth approximately $574,821,000. AQR Capital Management LLC increased its position in MongoDB by 2,567.2% during the second quarter. AQR Capital Management LLC now owns 1,111,647 shares of the company’s stock worth $233,435,000 after buying an additional 1,069,969 shares during the last quarter. Jericho Capital Asset Management L.P. increased its position in MongoDB by 162.1% during the third quarter. Jericho Capital Asset Management L.P. now owns 1,378,540 shares of the company’s stock worth $427,871,000 after buying an additional 852,540 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership increased its position in MongoDB by 162.3% during the third quarter. Arrowstreet Capital Limited Partnership now owns 1,097,059 shares of the company’s stock worth $340,505,000 after buying an additional 678,746 shares during the last quarter. Institutional investors and hedge funds own 89.29% of the company’s stock.

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.