MongoDB (MDB) Beats Stock Market Upswing: What Investors Need to Know

MongoDB (MDB) closed the latest trading day at $271.85, indicating a +0.54% change from the previous session's end. The stock outperformed the S&P 500, which registered a daily gain of 0.41%. Meanwhile, the Dow experienced a rise of 0.69%, and the technology-dominated Nasdaq saw an increase of 0.8%.

The the stock of database platform has risen by 6.88% in the past month, leading the Computer and Technology sector's loss of 0.01% and the S&P 500's loss of 0.97%.

Market participants will be closely following the financial results of MongoDB in its upcoming release. On that day, MongoDB is projected to report earnings of $0.69 per share, which would represent a year-over-year decline of 28.13%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $495.23 million, up 14.39% from the year-ago period.

MDB's full-year Zacks Consensus Estimates are calling for earnings of $2.43 per share and revenue of $1.93 billion. These results would represent year-over-year changes of -27.03% and +14.48%, respectively.

Any recent changes to analyst estimates for MongoDB should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2% higher within the past month. As of now, MongoDB holds a Zacks Rank of #3 (Hold).

Investors should also note MongoDB's current valuation metrics, including its Forward P/E ratio of 111.38. This expresses a premium compared to the average Forward P/E of 30.5 of its industry.

Investors should also note that MDB has a PEG ratio of 10.71 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Internet - Software industry was having an average PEG ratio of 2.28.

The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 83, putting it in the top 33% 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.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

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