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MongoDB (MDB) Stock Declines While Market Improves: Some Information for Investors

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MongoDB (MDB - Free Report) closed the most recent trading day at $325.51, moving -0.6% from the previous trading session. The stock trailed the S&P 500, which registered a daily gain of 0.87%. Elsewhere, the Dow saw an upswing of 0.67%, while the tech-heavy Nasdaq appreciated by 1.11%.

The database platform's shares have seen a decrease of 7.88% over the last month, not keeping up with the Computer and Technology sector's loss of 5.98% and the S&P 500's loss of 3.97%.

Market participants will be closely following the financial results of MongoDB in its upcoming release. The company is predicted to post an EPS of $0.38, indicating a 32.14% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $438.44 million, indicating a 19.05% increase compared to the same quarter of the previous year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.41 per share and a revenue of $1.92 billion, indicating changes of -27.63% and +14.16%, respectively, from the former year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for MongoDB. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. MongoDB currently has a Zacks Rank of #3 (Hold).

In the context of valuation, MongoDB is at present trading with a Forward P/E ratio of 135.88. This valuation marks a premium compared to its industry's average Forward P/E of 27.89.

Also, we should mention that MDB has a PEG ratio of 12.48. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Software stocks are, on average, holding a PEG ratio of 1.75 based on yesterday's closing prices.

The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 54, positioning it in the top 22% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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