MongoDB Stock Facing Headwinds as Market Rally Continues: What the Numbers Show

The Current Situation

MongoDB (MDB) dips 1.65% to close at $326.27, marking a disappointing session while major indices celebrated gains. The S&P 500 gained 0.69%, the Dow rose 0.67%, and the tech-heavy Nasdaq advanced 0.82%. MDB’s underperformance becomes even more evident over the past month—down 1.4% while the broader market inches forward. The Computer and Technology sector managed a modest 0.07% gain, yet MongoDB continues to lag behind its peers and the overall market momentum.

Earnings Report on the Horizon

All eyes turn to December 1, 2025, when MongoDB will unveil its latest earnings. The consensus expects EPS to hit $0.79, representing a significant 31.9% decline year-over-year. Revenue projections paint a different picture: analysts anticipate $591.22 million in quarterly revenue, up 11.68% compared to the same period last year. For the full fiscal year, Zacks Consensus Estimates project $3.7 earnings per share and $2.35 billion in revenue—reflecting growth rates of +1.09% and +17.31% respectively versus the prior year.

Valuation Concerns Stand Out

Here’s where things get interesting: MongoDB currently trades at a Forward P/E ratio of 89.58, substantially higher than the Internet - Software industry average of 28.61. The PEG ratio tells a similar story at 5.72, compared to the industry average of 1.86. This premium valuation suggests the market has priced in considerable future growth expectations. Whether the company can meet these lofty benchmarks remains a key question for investors deciding their next move.

Analyst Sentiment and Rankings

Recent analyst activity shows subtle shifts in confidence. Over the past month, consensus EPS estimates have ticked upward by 0.55%, suggesting some optimism remains. MongoDB currently holds a Zacks Rank of #2 (Buy), placing it in the favorable category. The Internet - Software industry itself carries strong credentials with a Zacks Industry Rank of 71, positioning it within the top 29% of over 250 sectors. Historical data indicates that top-tier rated industries outperform lower-ranked peers by a 2-to-1 margin.

The path forward for MongoDB hinges on whether management can justify the premium valuation when earnings arrive next month. For now, investors watching this database giant should weigh the growth potential against the stock’s current premium pricing in an increasingly competitive market.