Here's Why MongoDB (MDB) Fell More Than Broader Market

The investment community will be closely monitoring the performance of MongoDB in its forthcoming earnings report. The company is scheduled to release its earnings on September 1, 2026. It is anticipated that the company will report an EPS of $1.6, marking a 60% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $733.61 million, up 24.05% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $6.07 per share and a revenue of $2.94 billion, signifying shifts of +22.13% and +27.06%, respectively, from the last year.

Investors might also notice recent changes to analyst estimates for MongoDB. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Empirical research indicates that these revisions in estimates have a direct correlation with impending 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 12% lower. MongoDB currently has a Zacks Rank of #3 (Hold).

In terms of valuation, MongoDB is presently being traded at a Forward P/E ratio of 61.99. This denotes a premium relative to the industry average Forward P/E of 21.6.

Also, we should mention that MDB has a PEG ratio of 5.08. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Internet - Software industry held an average PEG ratio of 1.21.

The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 107, this industry ranks in the top 44% of all industries, numbering over 250.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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This article originally published on Zacks Investment Research (zacks.com).

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