MongoDB (MDB) Stock Forecast & Price Target

MongoDB has demonstrated strong financial performance in FY26, highlighted by the re-acceleration of growth in its MongoDB Atlas offering and increases in Revenue per Employee and Revenue per Sales & Marketing Employee. The company has achieved significant improvements in both Operating Margin and Free Cash Flow conversion, resulting in a notable Free Cash Flow Margin of 22.3% in 3QFY26. Additionally, the positive momentum continues as non-Atlas Annual Recurring Revenue (ARR) increased to 8% year-over-year, providing greater visibility into sustainable growth potential.

MongoDB has experienced faltering consumption trends in its MongoDB Atlas product during FY25, as the growth characteristics of the FY24 customer cohort did not align with previous years' patterns. Despite management's efforts to optimize go-to-market strategies to address this slowdown, the revenue derived from these cohorts remains under pressure, indicating challenges in maintaining strong growth. Additionally, there is concern that external macroeconomic factors and shifts in investor sentiment towards high-growth technology stocks could lead to increased price volatility, further complicating MongoDB's financial outlook.