MongoDB Stock Drops 9% in After-Hours on Weak Revenue Guidance

MongoDB's stock dips 9% post-hours on lower-than-expected revenue forecasts, despite a 27% revenue jump in the fiscal fourth quarter.

By Barry Stearns

3/7, 20:21 EST
MongoDB, Inc.

Key Takeaway

  • MongoDB's stock fell 9% after-hours due to Q1 sales forecast of $436M-$440M, missing analysts' $452M expectation.
  • Fiscal year revenue guidance of $1.9B-$1.93B also falls short of the expected $2.04B.
  • Despite a 27% revenue increase in the fiscal fourth quarter, market concerns over future growth trajectory persist.

Revenue Guidance Disappoints

MongoDB Inc. experienced a 9% drop in its stock price during after-hours trading following the release of its quarterly results, which included weaker-than-expected revenue guidance. The company provided a first-quarter sales forecast of $436 million to $440 million, falling short of FactSet analysts' expectations of $452 million. For the fiscal year, MongoDB estimated revenue between $1.9 billion and $1.93 billion, while analysts were projecting $2.04 billion.

Financial Performance

In the fiscal fourth quarter, MongoDB reported a net loss of $55.5 million, or 77 cents per share, an improvement from the net loss of $64.4 million, or 93 cents per share, in the same period the previous year. Adjusted earnings stood at 86 cents per share. Revenue saw a 27% increase to $458 million from $361.3 million in the year-ago quarter, surpassing analysts' average revenue estimate of $437 million.

Market Reaction

Shares of MongoDB have surged by 97% over the past year, outperforming the broader S&P 500 index, which has increased by 32%. The market's response to the weaker revenue guidance in the latest quarterly results indicates investor concerns about MongoDB's growth trajectory and future performance.