Why MongoDB Stock Is Crashing Despite Crushing Expectations
Ultramodern database software specialist (NASDAQ: MDB) had a bad market day on Tuesday. The stock was down 13.9% at 11:45 a.m. ET despite an impressive third-quarter report. The stock initially jumped on the earnings news, but MongoDB investors quickly backed down a few minutes later when they noticed that the company also announced a management change.
First things first: MongoDB's third-quarter sales grew 22% year over year, landing at $529 million. Earnings came in at $1.16 per share, up from $0.96 per share in the year-ago quarter. Your average analyst would have settled for earnings of roughly $0.67 per share on sales near $498 million. So far, so good. MongoDB's stock rose more than 10% in the first few minutes of after-hours trading.
But the gains didn't last. MongoDB's stock chart dipped sharply lower when investors noticed the leadership update. Longtime CFO and COO Michael Gordon will leave his MongoDB posts at the end of January, sticking around in an advisory role until a permanent replacement gets comfortable with the job.
Source Fool.com
MongoDB Inc. Stock
The stock is one of the favorites of our community with 120 Buy predictions and 1 Sell predictions.
With a target price of 360 € there is a slightly positive potential of 1.19% for MongoDB Inc. compared to the current price of 355.75 €.
