MongoDB (NASDAQ:MDB) Shares Up 1.9% - Time to Buy?

Key Points

• MongoDB's stock price increased by 1.9% during trading, reaching a high of $344.85 before closing at $337.53, although trading volume was down 60% compared to average.
• Brokerages have shown strong support for MongoDB, with several raising their target prices, including Bank of America, which increased its target to $345.00 and gave it a "buy" rating.
• Insider selling activity was noted, with CEO Dev Ittycheria selling over 33,000 shares, indicating a significant shift in ownership despite still holding a substantial stake in the company.

MongoDB, Inc. (NASDAQ:MDB - Get Free Report)'s stock price shot up 1.9% during trading on Wednesday . The stock traded as high as $344.85 and last traded at $337.53. 1,006,345 shares traded hands during mid-day trading, a decline of 60% from the average session volume of 2,515,749 shares. The stock had previously closed at $331.09.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on MDB. Guggenheim lifted their target price on MongoDB from $260.00 to $310.00 and gave the stock a "buy" rating in a research report on Wednesday, August 27th. Wedbush restated an "outperform" rating and set a $300.00 price objective on shares of MongoDB in a report on Wednesday, August 27th. Barclays upped their target price on MongoDB from $270.00 to $305.00 and gave the company an "overweight" rating in a research report on Wednesday, August 27th. Bank of America raised their price target on shares of MongoDB from $275.00 to $345.00 and gave the stock a "buy" rating in a research report on Wednesday, August 27th. Finally, Zacks Research upgraded shares of MongoDB to a "hold" rating in a research note on Friday, August 8th. One investment analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and ten have assigned a Hold rating to the stock. According to MarketBeat, MongoDB presently has a consensus rating of "Moderate Buy" and an average target price of $310.86.

MongoDB Stock Up 0.8%

The firm's 50 day moving average is $238.80 and its two-hundred day moving average is $208.22. The stock has a market cap of $27.14 billion, a price-to-earnings ratio of -340.28 and a beta of 1.49.

Insider Buying and Selling

In related news, CEO Dev Ittycheria sold 33,320 shares of the company's stock in a transaction on Thursday, August 28th. The stock was sold at an average price of $301.29, for a total transaction of $10,038,982.80. Following the completion of the transaction, the chief executive officer directly owned 203,237 shares in the company, valued at $61,233,275.73. This represents a 14.09% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Charles M. Hazard, Jr. sold 833 shares of the firm's stock in a transaction on Tuesday, September 2nd. The shares were sold at an average price of $310.00, for a total value of $258,230.00. Following the completion of the sale, the director owned 47,366 shares in the company, valued at $14,683,460. The trade was a 1.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 58,730 shares of company stock worth $15,966,159. 3.10% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of MDB. Cloud Capital Management LLC bought a new position in MongoDB in the 1st quarter worth about $25,000. Hollencrest Capital Management bought a new position in MongoDB in the 1st quarter worth about $26,000. Cullen Frost Bankers Inc. grew its position in MongoDB by 315.8% in the 1st quarter. Cullen Frost Bankers Inc. now owns 158 shares of the company's stock worth $28,000 after purchasing an additional 120 shares during the last quarter. Montag A & Associates Inc. boosted its holdings in shares of MongoDB by 144.3% in the second quarter. Montag A & Associates Inc. now owns 171 shares of the company's stock valued at $36,000 after acquiring an additional 101 shares in the last quarter. Finally, Promus Capital LLC bought a new position in shares of MongoDB in the second quarter valued at approximately $36,000. Institutional investors own 89.29% of the company's stock.

MongoDB Company Profile

MongoDB, Inc, together with its subsidiaries, provides general purpose database platform worldwide. The company provides MongoDB Atlas, a hosted multi-cloud database-as-a-service solution; MongoDB Enterprise Advanced, a commercial database server for enterprise customers to run in the cloud, on-premises, or in a hybrid environment; and Community Server, a free-to-download version of its database, which includes the functionality that developers need to get started with MongoDB.

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