What's Going On With MongoDB Stock?

MongoDB, Inc. MDB shares are trading lower Tuesday, and the stock is down more than 10% over the past five days amid weakness in the Nasdaq. Here's a look at what to know. 

What To Know:

Despite the recent dip, MongoDB shares have gained more than 80% over the past year on the growing adoption of artificial intelligence. The company expanded availability of its Atlas data platform to six new cloud regions in Canada, Germany, Israel, Italy and Poland last week, 

“Since introducing multi-cloud clusters on MongoDB Atlas that can run across AWS, Google Cloud, and Microsoft Azure, we have made it easy for customers to control where their data resides by distributing it across major cloud provider regions to meet data sovereignty, regulatory, and performance requirements for their applications,” said Sahir Azam, CPO at MongoDB. 

Guggenheim maintained a Sell rating on MongoDB and raised its price target from $250 to $272 on Monday. 

MongoDB is set to report its fourth-quarter financial results after the market close Thursday. According to estimates from Benzinga Pro, the company is expected to report earnings of 47 cents per share and quarterly revenue of $433.831 million. 

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MDB Stock Forecast 2030:

Predicting the future in stock prices over long periods of time is challenging. Wall Street analysts use complex models that take into account interest rates, economic growth, competitive advantages, management teams and historical profitability, among a host of other factors.

If, as an investor, you want to assume most of the major factors remain stable, you can use trend analysis as a helpful tool. Using a longer term trend line or historical performance of the stock, you can aim to forecast a stock's annual rate of return.

For MongoDB MDB, over the past 5 years, it's annualized stock performance is 34.57%, and if you assume that trend continues for another 5 years, you can expect a stock to trade at $1771.85.

Using a trend line (see how to perform this function here), If you choose to use a trend line, connect your two points and look into the future to the point in time in which you're curious. Once you've identified that stock price, you may want to consider what type of conditions would need to exist for the stock to justify the share price – be it an outside influence or managerial decision making.

MDB Price Action: According to Benzinga Pro, MongoDB shares are down 8.6% at $401.23 at the time of publication.

Image: Tung Nguyen from Pixabay