MongoDB (MDB) AI Stock Analysis

• Market Cap: $29.55B
• Dividend Yield: N/A
• Average Volume (3M): 1.42M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.72
• Revenue Growth: 20.93%
• EPS Growth: 68.47%
• Country: US
• Employees: 5,558
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 1.32
• Shares Outstanding: 81,391,760
• 10 Day Avg. Volume: 1,339,958
• 30 Day Avg. Volume: 1,424,311
• PEG Ratio: 5.22
• Price to Book (P/B): 7.32
• Price to Sales (P/S): 10.16
• P/FCF Ratio: 168.91
• Enterprise Value/Market Cap: 0.81
• Enterprise Value/Revenue: 10.38
• Enterprise Value/Gross Profit: 14.50
• Enterprise Value/Ebitda: -739.68
• 1Y Price Target: $465.92
• Price Target Upside: 35.22% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 28
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: $388.00 ▲(12.61% Upside)
• Action: Reiterated Date: 12/09/25
• Date: Action: Reiterated 12/09/25

MongoDB's overall stock score reflects strong financial performance and technical momentum, bolstered by positive earnings call insights and strategic corporate events. While valuation remains a concern due to negative earnings, the company's growth trajectory and strategic focus on AI provide a compelling long-term investment case.

Positive Factors

Atlas-driven revenue growth

Atlas contributing 75% of revenue and accelerating to 30% YoY shows MongoDB’s cloud subscription engine is scaling. A dominant, recurring cloud mix improves revenue visibility, customer lock-in, and upsell potential, underpinning durable top-line growth over quarters.

Material free cash flow improvement

Free cash flow growth of ~45% signals stronger cash generation from operations. Improved FCF reduces reliance on external financing, funds product investment and go-to-market, and supports a sustainable path to profitability and capital allocation over the coming 2–6 months.

Reduced financial leverage

A very low debt-to-equity ratio provides balance-sheet flexibility to invest in R&D and cloud infrastructure without high interest burdens. Combined with recent non-GAAP operating income gains, lower leverage materially lowers financial risk for sustained operational execution.

Negative Factors

Ongoing net losses / negative margins

Persistent net losses and a negative profit margin indicate MongoDB has not fully converted revenue growth into GAAP profitability. Over the medium term, continued losses can limit return on equity, pressure investor patience, and constrain reinvestment if not reversed.

Gross margin compression

A decline from 77% to 74% driven by higher Atlas mix suggests structural margin pressure as cloud becomes a larger share. If Atlas carries lower gross margins than legacy products, rising cloud mix could cap gross-margin expansion and require efficiency gains to sustain operating margins.

AI adoption remains immature

Management’s AI opportunity faces conversion risk: most projects are pilots, not production. If adoption timelines slip, expected AI-driven revenue acceleration may underdeliver, slowing strategic tailwinds and pressuring growth assumptions tied to AI initiatives.

MongoDB Business Overview & Revenue Model

Company Description

MongoDB, Inc. provides general purpose database platform worldwide. The company offers MongoDB Enterprise Advanced, a commercial database server for enterprise customers to run in the cloud, on-premise, or in a hybrid environment; MongoDB Atlas, a hosted multi-cloud database-as-a-service solution; and Community Server, a free-to-download version of its database, which includes the functionality that developers need to get started with MongoDB. It also provides professional services comprising consulting and training. The company was formerly known as 10gen, Inc. and changed its name to MongoDB, Inc. in August 2013. MongoDB, Inc. was incorporated in 2007 and is headquartered in New York, New York.

How the Company Makes Money

MongoDB generates revenue primarily through a subscription-based model that includes various tiers of service for its software products, including on-premises licenses and cloud-based offerings via MongoDB Atlas. Key revenue streams include subscriptions for its enterprise and community editions, support services, and cloud services. The company also earns revenue from professional services, such as consulting and training. Significant partnerships with cloud providers, including Amazon Web Services, Microsoft Azure, and Google Cloud, enhance its market reach and customer acquisition, contributing to its overall earnings.

MongoDB Financial Statement Overview

Summary

MongoDB is on a positive trajectory with strong revenue growth and improved cash flow metrics. While profitability remains a challenge, as evidenced by negative net income and margins, the company has significantly reduced its leverage, enhancing financial stability. Continued focus on operational efficiency and profitability will be key to sustaining growth.

Income Statement

MongoDB has shown consistent revenue growth with a TTM growth rate of 4.46%. The gross profit margin remains strong at 71.62%, indicating efficient cost management. However, the company is still operating at a net loss with a net profit margin of -3.06%, though this is an improvement from previous periods. The negative EBIT and EBITDA margins suggest ongoing operational challenges.

Balance Sheet

The balance sheet shows a significant improvement in the debt-to-equity ratio, now at a low 0.012, reflecting reduced leverage and improved financial stability. However, the return on equity remains negative at -2.43%, indicating that the company is not yet generating positive returns for shareholders. The equity ratio is stable, suggesting a solid asset base.

Cash Flow

MongoDB's cash flow position has strengthened, with a substantial 45.04% growth in free cash flow. The operating cash flow to net income ratio is 0.69, indicating strong cash generation relative to net income. The free cash flow to net income ratio of 0.92 suggests efficient cash management, despite the net losses.

Breakdown	TTM	Jan 2025	Jan 2024	Jan 2023	Jan 2022	Jan 2021
Income Statement
Total Revenue	2.32B	2.01B	1.68B	1.28B	873.78M	590.38M
Gross Profit	1.66B	1.47B	1.26B	934.74M	614.29M	413.30M
EBITDA	-32.52M	-96.53M	-122.34M	-294.27M	-267.12M	-186.03M
Net Income	-70.86M	-129.07M	-176.60M	-345.40M	-306.87M	-266.94M
Balance Sheet
Total Assets	3.57B	3.43B	2.87B	2.59B	2.45B	1.41B
Cash, Cash Equivalents and Short-Term Investments	2.31B	2.34B	2.02B	1.84B	1.83B	957.74M
Total Debt	34.63M	36.50M	1.18B	1.18B	1.18B	979.17M
Total Liabilities	678.21M	648.07M	1.80B	1.85B	1.78B	1.41B
Stockholders Equity	2.89B	2.78B	1.07B	739.51M	666.70M	-5.03M
Cash Flow
Free Cash Flow	354.60M	120.64M	115.40M	-20.21M	-1.09M	-54.45M
Operating Cash Flow	384.40M	150.19M	121.48M	-12.97M	6.98M	-42.67M
Investing Cash Flow	125.84M	-657.44M	188.02M	-33.31M	-852.14M	-262.66M
Financing Cash Flow	-354.71M	202.06M	38.24M	30.20M	890.89M	27.58M

MongoDB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 344.56
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MDB, the sentiment is Negative. The current price of 344.56 is below the 20-day moving average (MA) of 367.40, below the 50-day MA of 396.83, and above the 200-day MA of 301.46, indicating a neutral trend. The MACD of -11.29 indicates Negative momentum. The RSI at 40.95 is Neutral, neither overbought nor oversold. The STOCH value of 42.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MDB.

MongoDB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DOCN	76 Outperform	$6.30B	27.67	―	―	14.20%	204.86%
MDB	75 Outperform	$29.55B	-403.50	-3.23%	―	20.93%	68.47%
ESTC	65 Neutral	$6.43B	-60.07	-12.84%	―	16.98%	-265.85%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CFLT	61 Neutral	$10.97B	-35.78	-27.72%	―	21.58%	18.88%
SNOW	52 Neutral	$60.25B	-44.41	-53.32%	―	28.48%	-19.12%