MongoDB: Early-Stage AI Beneficiary With Reaccelerating Atlas Growth and Expanding Database Moat – Buy Rating Affirmed

William Blair analyst Jason Ader has maintained their bullish stance on MDB stock, giving a Buy rating yesterday.

Jason Ader has given his Buy rating due to a combination of factors tied to MongoDB’s growth trajectory and strategic positioning in AI. He argues that, even after the recent sector-wide pullback in software stocks, MongoDB’s business fundamentals remain strong heading into the fiscal fourth quarter of 2026, underpinned by robust customer additions and net revenue retention above 120%. Ader emphasizes that the company’s cloud offering, Atlas, has reaccelerated for several quarters, and he believes his forecast for Atlas growth is likely cautious given the early-stage nature of AI-driven demand for databases and the company’s systematic land‑expand‑standardize motion that enhances long-term consumption and customer lock-in.

In addition, Ader points to MongoDB’s emerging AI capabilities as a key driver of future value creation, citing the integration of advanced embedding and reranking models from Voyage AI directly into the platform and the onboarding of high-profile AI customers such as Anthropic. He notes that MongoDB’s share of the overall database market remains relatively small across both enterprises and start-ups, leaving substantial room for expansion, especially as AI coding tools accelerate new application development and each new application requires a transactional data store. The company’s expanding multiproduct platform—combining operational database, full-text search, vector search, and native AI integrations—strengthens its competitive moat and broadens monetization avenues. Collectively, these dynamics support his view that MongoDB is well positioned to be a major beneficiary in the AI era, justifying a Buy rating despite near-term volatility in the broader sector.

According to TipRanks, Ader is a 4-star analyst with an average return of 5.0% and a 48.24% success rate. Ader covers the Technology sector, focusing on stocks such as CommVault Systems, Microsoft, and Varonis Systems.

In another report released yesterday, Needham also maintained a Buy rating on the stock with a $500.00 price target.